The British Beauty Council, British Fashion Council, British Retail Consortium and Walpole, have expedited their efforts for the reintroduction of tax-free shopping for overseas customers.
In a letter to Chancellor, Rachel Reeves, the group of industry leaders urged the Government to reinstate the shopping incentive, urging that now is the ‘opportune moment’ to reinstate tax-free shopping for international visitors.
The measure was initially scrapped shortly after Brexit in the UK and is something that the EU still implements, generating heightened incentive for tourists to visit cities such as Milan and Paris for their shopping endeavours.
Millie Kendall OBE, CEO of The British Beauty Council, states: ‘There is evidence to suggest that the full impact of reinstating tax-free shopping for overseas visitors could increase Treasury revenues by £350m each year.
‘Reinstating this policy will not only help retail directly but the increased footfall and spending power will support wider industries such as spas and salons, bars and restaurants, theatres and tourist attractions.’
There are many direct and indirect benefits of tax-free shopping including increased tourism and footfall. Victoria Brownlie, Chief Policy Officer and Sustainability at the Council says: ‘ All are feeling the strain of cost of living pressures, supply cost increases, energy cost hikes. So, encouraging those from overseas to spend in the UK would have significant benefits to businesses and, by default, the Exchequer.’
Read the full letter below:
