The chief executive of Associated British Foods, (owner of Primark), has warned that the Government’s delay in addressing a tax loophole benefits Chinese firms and is harming UK retailers. He has urged ministers to eliminate a rule allowing firms like Shein and Temu to ship parcels worth up to £135 without duty. While Chancellor Rachel Reeves announced plans for a crackdown, it may not occur until March 2029! Mr Weston said: “The current delay benefits those without a UK footprint and is unacceptable.” Other industry leaders, including Andrew Goodacre of the British Independent Retailers Association, support immediate measures to level the playing field for UK businesses. He said an interim flat fee would raise “enough money to remove business rates for high streets, fund High Street investments and with change left over.” In further support the chief executive of homeware retailer Dunelm, commented: “We would welcome anything that creates a level playing field.”

BFS Comment:

One can only hope that Ms Reeves will listen to Mr Goodacre’s comments and takes swift action to plug at least one hole in our leaking balance of payments! Particularly interesting are his comments on the revenue that could be raised and what it would fund!

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