Reuters News 10 May 2021
(Reuters) - Companies in freeports in Britain will not get to enjoy the full benefits of the new tax-efficient zones if they are exporting to certain countries including Canada, Norway, Switzerland and Singapore, the Financial Times reported https://on.ft.com/33uMoUI on Sunday, citing government officials.
Freeports are a special kind of port where normal tax and customs rules do not apply. Goods that arrive into freeports from abroad are not subject to tariffs that are normally paid to the government.
However, the recent post-Brexit trade agreements with 23 countries include clauses which specifically prohibit manufacturers in freeport-type zones from benefiting from the deals, the FT report added, citing officials.
In March, Finance Minister Rishi Sunak said freeports will be set up at East Midlands Airport, Liverpool, Felixstowe, Plymouth, Thames, Teesside, Humber And Solent.
(Reporting by Nandakumar D and Kanishka Singh in Bengaluru)
