Summary
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On 13 July 2026, HMRC published its policy paper “Reforming the customs treatment of low value imports into the UK,” confirming the removal of the current £135 customs-duty relief (LVI Relief) and new customs arrangements for these goods. UK retailers have long viewed the surge in low-value goods sold by overseas sellers and online marketplaces as an existential threat. The measure follows the EU’s abolition of its €150 de minimis from 1 July 2026. [sanctionsn…kenzie.com], [gov.uk]
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Removal is now expected by October 2028 at the latest—brought forward from the previously announced March 2029 deadline given import volumes that have trebled in two years. Below-£135 consignments will fall within a dedicated LVI regime (no opt-in to standard declarations), using a reduced data set and unique reference numbers, with duty payable quarterly. Exclusions cover excise goods, restricted/trade-defence items, GB–NI movements under the Windsor Framework, and consumer-to-consumer parcels worth £39 or less. [sanctionsn…kenzie.com], [hillierhopkins.co.uk]
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A key change is the “fiscal representative” concept: a UK-established business assuming joint and several liability for overseas sellers’ customs (and potentially VAT) debts on LVIs. Advisers warn such representatives may be scarce and charge a premium given the liability risk. Unlike the EU, the UK will not replicate the interim €3 duty levy. Businesses have roughly two years to prepare processes and IT for the new data, payment and compliance requirements. [hillierhopkins.co.uk], [vatcalc.com]
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