Britain rethinks no-deal tariffs after industry’s warnings
THE UK government has revamped the tariffs it will levy after a no-deal Brexit, following warnings from industry that its earlier plans risked making domestic producers uncompetitive.
Import duties for heavy goods vehicles will be reduced to 10pc, in a boost to the road haulage industry, while levies for bio-ethanol will be raised and new tariffs for clothing introduced, the Department for International Trade said.
Under earlier plans, imported trucks would have faced a tariff of as much as 22pc, prompting opposition from the industry.
Prime minister Boris Johnson has promised the UK will leave the European Union on October 31 with or without a deal, triggering the biggest upheaval in the country’s trading arrangements in a generation.
A hard Brexit would subject Britain to the import duties the EU imposes on non-members, so it is introducing its own levies.
“Our temporary tariff regime will support the UK economy as a whole, helping British businesses to trade and opening up opportunities for business to import the best goods from around the world at the best prices for British consumers,” trade minister Conor Burns said.
The department also confirmed it would start a review of its tariffs on Brexit day, allowing it to make changes to its planned temporary levies.
Road hauliers said the decision to reduce the tariffs planned on imported trucks following a no-deal Brexit did not go far enough.
“There should be no additional financial penalty on buying new vehicles,” James Hookham, of the Freight Transport Association, said.
Import duties for heavy goods vehicles will be reduced to 10pc