Thursday, 21 May 2020
Chamber responds to publication of UK Global Trade Tariff
The Government today published the UK’s new MFN tariff regime, the UK Global Tariff (UKGT), which will replace the EU’s Common External Tariff on 1 January 2021, at the end of the Brexit transition period.
It aims to support the UK’s economy by making it easier and cheaper for businesses to import goods from overseas.
It is a simpler, easier to use and lower tariff regime than the EU’s Common External Tariff and will be in pounds, not euros. It will scrap red tape and other unnecessary barriers to trade, reduce cost pressures and increase choice for consumers and back UK industries to compete on the global stage.
David Pearson, Director of Partnerships at East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire), said: “The new UK Global Tariff will provide welcome clarity for businesses as they look to develop new working relationships with their counterparts within the EU.
“While the new regime will provide Government with some leverage in future trade talks, it also demonstrates the importance of reaching a UK-EU agreement to avoid substantial increases in costs for businesses on both sides of the Channel.
“With any tariff changes, there are both winners and losers. Support will be required for the industries, places and people affected by tariff changes, which will have been compounded by the impacts of the ongoing coronavirus pandemic.”