Drapers Zoe Hu and Sabina Weston The government announced plans last month to consult on introducing a new tax-free shopping scheme for Great Britain, and said it would modernise the one in place in Northern Ireland. The government abolished the VAT Retail Export Scheme (RES) on 31 December 2020, when the Brexit transition period ended, arguing that it offered little benefit to many … Read More
VAT free shopping U-turn ‘major blow’ for West End as tourists shun London for Paris and Milan
Emily Hawkins 20.10.22 Scrapping VAT free shopping for tourists is a “major blow” for London and the country’s economy, a group representing luxury stores in the West End and other retail hotspots has said. Paul Barnes, chief executive of the Association of International Retail (AIR) – whose members range from Bicester Airport to Heathrow Airport – told CityA.M. the policy had been “one … Read More
Everything that Jeremy Hunt has thrown out of the mini-Budget
The Telegraph Tim Wallace, Hannah Boland, Charlotte Gifford, Lauren Almeida and Eir Nolsoe 17.10.22 Tourists will not benefit from the return of tax-free shopping to Britain as Mr Hunt sought to claw back £2bn in savings, prompting fierce criticism from industry leaders. Retailers said the U-turn would be a hammer blow to tourism and the high street. Paul Barnes, chief … Read More
UK falling behind EU rivals on tourist spending after duty chances
Financial Times Daniel Thomas 07.03.22 Britain is losing its position as the favoured destination for high spending international tourists to the EU after the government abolished tax-free shopping at the start of last year, according to a new study. Global Blue, the tax-free shopping refund agency, compared the behaviour of Gulf state tourists in the EU in 2019 with their … Read More
How the UK became the sick man of European tourism
CNN 13/11/21 A spokesperson for the UK’s Association of International Retail told CNN that the axing of the scheme is predicted to lead to a drop of 38% in retail sales to non-EU visitors, compared to 2019 — a loss of £1.2 billion ($1.6 billion) to the economy. But that’s not all. “There are also likely to be indirect losses as high-spending … Read More
The Importance of Tax-Free Shopping to the UK economy, Jobs and Tax Revenues
You can read the December briefing here.
AIR’s December 2020 Briefing
You can read the December briefing here.
AIR’s response to HMT’s Mythbuster Note
You can read AIR’s response to HMT’s Mythbuster Note here.
The Treasury’s Technical Note on VAT RES and airside tax-free shopping and AIR’s response.
You can see the Treasury’s Technical Note here, and AIR’s response here.
AIR’s long briefing
You can read the long briefing here.
