Businesses cleared to get freeport tax breaks
GOVERNMENT SAYS BENEFITS APPLY FROM THIS MONTH
TAX incentives for businesses in the East Midlands Freeport areas will come into effect before the end of the month.
The government has confirmed that eligible companies investing in its three zones – around East Midlands Airport, the Ratcliffe on Soar power station site and the East Midlands Intermodal Park, near the Derbyshire Toyota plant – could access benefits from March 22.
In all, eight freeports are being created across the UK, to streamline planning rules, offer tax and business rates relief and allow businesses to import and export without tariffs or red tape.
The government believes the three East Midlands “tax sites” will support 61,000 jobs and bring an extra £8.9 billion into the local economy over 30 years.
The new policy will particularly favour companies supporting the freeport objectives of promoting growth in advanced manufacturing and logistics, and “turbo-charging the drive towards net zero”.
The East Midlands sites are the UK’s only inland freeport. The region is seen as a golden triangle with quick road and rail access to all corners of the UK.
Former East Midlands Airport boss Penny Coates, who chairs of the East Midlands Freeport board, said: “The government’s approval for our tax sites means the East Midlands Freeport now offers a total of 533 hectares of prime, strategic development land where companies can not only benefit from a fantastic location with fantastic global transport links; they can also benefit from a comprehensive package of special incentives that make our freeport one of the best places to invest in the UK.
“That’s why this announcement is the moment when we can really start to turn our ambitions for the freeport into reality, delivering wellpaid green jobs for communities, supporting levelling up and helping achieve a net zero economy.”
Leicestershire County Council leader Nick Rushton said: “Freeports are a key element of levelling up the UK and I’m delighted to have reached this major milestone.
“This is a big moment for the East Midlands. The innovative plans will power up the region’s economy, create much-needed jobs and put the East Midlands firmly on the map.
“We can now get to work on starting to deliver its promise.”
Clare James, East Midlands Airport’s managing director, said: “We look forward to continuing our work public and private sector partners to make a success of the UK’s only inland freeport, and to playing our role in the future prosperity of the East Midlands.
“By building on the strengths of the region’s leading sectors, including advanced manufacturing, logistics and R&D, the freeport is wellplaced to drive future investment and economic growth, which will create new and diverse jobs.”
Andrew Pilsworth, managing director for national logistics at Segro, which runs the Gateway logistics park just north of the airport, said: “We welcome the approval of the East Midlands Freeport as a way of accelerating the contribution Segro, our customers and partners can make to delivering benefits as well as driving forward the levelling up agenda.”
John Williams, executive chairwith man of Maritime Transport, which operates the new rail freight terminal which links East Midlands Gateway to the UK’s busiest container port at Felixstowe, said: “Maritime Transport is excited about the governments’ confirmation of tax site designation.
“The designation and accompanying benefits will undoubtedly attract and accelerate investment into the region.”