UK plans to create 'freeports,' cut taxes: Sunday Telegraph

 

FILE PHOTO: Britain's Chancellor of the Exchequer Rishi Sunak reacts as he leaves Downing Street, in London, Britain July 8, 2020. REUTERS/Hannah Mckay

 

LONDON (Reuters) - British finance minister Rishi Sunak is preparing to introduce sweeping tax cuts and an overhaul of planning laws in up to 10 new “freeports” within a year of the UK's becoming fully independent from the European Union in December, the Sunday Telegraph said.

 

Sunak will open the bidding for towns, cities and regions to become freeports, which would place them outside UK customs territory, in his autumn budget later this year, the newspaper said, citing a copy of the plans it said it had seen.

Sunak plans to confirm the successful bids by next spring and introduce major tax and regulatory changes in those areas at next year’s budget, the Telegraph added.

 

They include research and development tax credits, generous capital allowances, cuts to stamp duty house-purchase tax and business rates, and local relaxations of planning laws.

 

The successful bidders designated as freeports will ultimately be legally outside UK customs territory, with goods imported, manufactured or re-exported without incurring national tariffs or import VAT until they enter the rest of the economy.

 

The paper said the government believes the policy can transform ports into international hubs for manufacturing and innovation, with the economic and regulatory incentives designed to encourage firms to establish new factories and processing sites in the areas.

 

In a second wave of measures, customs duties, import VAT and national insurance contributions would be cut from April 2022, the paper said, making the freeports fully operational within 18 months of Britain's departure from the EU customs union and single market.

 

(Reporting by Stephen Addison; Editing by Leslie Adler)

 

-- © Copyright Reuters 2020-07-12

 

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That will <deleted> off the cronies in Brussels big time. ????

Edited July 12, 20205 yr by Phuketshrew

I was hoping someone would do this,I am sure it would

help to bring back some of those companies that jumped

ship and went to EU, and hopefully will bring more business

to the UK,as the country desperately needs jobs.

 

This is going to upset the EU........good.

regards worgeordie

Excellent news.

 

I wonder if this announcement will lead to Michel Barnier finally waking up to the fact that there will be no level playing field. We are out. If you want a trade deal you can have one, the UK will continue to open up to the world outside your protectionist racket either way.

 

So if you want to continue selling your Germanic automobiles with their fake emissions stats and your overrated Italian and French wine you better wake up pretty soon, otherwise our cars will be coming from Korea and Japan and our wine from Australia, south Africa and south america. Up to you Michel. Tick tock xx

I hope that Barnier and Merkel choke on their cornflakes when they read this.

5 minutes ago, JonnyF said:

Excellent news.

 

I wonder if this announcement will lead to Michel Barnier finally waking up to the fact that there will be no level playing field. We are out. If you want a trade deal you can have one, the UK will continue to open up to the world outside your protectionist racket either way.

 

So if you want to continue selling your Germanic automobiles with their fake emissions stats and your overrated Italian and French wine you better wake up pretty soon, otherwise our cars will be coming from Korea and Japan and our wine from Australia, south Africa and south america. Up to you Michel. Tick tock xx

When you say 'continue to open up to the world', I presume you mean 'start to open up' because the government's accomplishments to date in that area have been somewhat meagre. 

 

Are trade blocs now being termed 'protectionist racket'? That's some doublethink right there - a bit like the rebranding of a 'no deal brexit' as a 'ozzie rules brexit' or whatever last week's <deleted> slogan was. 

4 hours ago, Phuketshrew said:

That will <deleted> off the cronies in Brussels big time. ????

 

4 hours ago, worgeordie said:

 

This is going to upset the EU........good.

regards worgeordie

 

1 hour ago, JonnyF said:

I wonder if this announcement will lead to Michel Barnier finally waking up to the fact that there will be no level playing field.

 

1 hour ago, terryw said:

I hope that Barnier and Merkel choke on their cornflakes when they read this.

Probably as much as when they heard about the trade deficit that Brexiteers love to talk about ???? 

 

Getting excited about remotely relevant facts I’m wondering whether that’s just lack of knowledge or already desperation. 
 

And, of course, you’re wondering why the UK didn’t build any freeports already, like the 20 other ones in the EU. 

1 hour ago, RuamRudy said:

When you say 'continue to open up to the world', I presume you mean 'start to open up' because the government's accomplishments to date in that area have been somewhat meagre. 

 

Are trade blocs now being termed 'protectionist racket'? That's some doublethink right there - a bit like the rebranding of a 'no deal brexit' as a 'ozzie rules brexit' or whatever last week's <deleted> slogan was. 

laughing at you - not with you LMFAO

6 hours ago, RuamRudy said:

When you say 'continue to open up to the world', I presume you mean 'start to open up' because the government's accomplishments to date in that area have been somewhat meagre. 

 

Are trade blocs now being termed 'protectionist racket'? That's some doublethink right there - a bit like the rebranding of a 'no deal brexit' as a 'ozzie rules brexit' or whatever last week's <deleted> slogan was. 

Trade deal is already done with South Korea.

 

Japan wants it done by the end of the month.

 

https://www.japantimes.co.jp/news/2020/06/23/business/economy-business/japan-uk-six-weeks-trade-deal/

 

So much easier when you dont need the agreement of 28 nations. More to come shortly. It's going to be another 4 tough years for the Europhiles, especially the Scots who want to be independent (of England but not the EU).

 

 

https://fullfact.org/europe/free-ports/

 

 

https://www.theguardian.com/business/2020/jul/12/sunak-economic-v-shaped-recovery-obr-forecasts-job-growth?CMP=Share_iOSApp_Other

 

 

 

https://www.theguardian.com/politics/2020/jul/11/rishi-sunak-is-borrowing-his-way-out-of-this-crisis-but-well-all-have-to-pay-it-back?CMP=Share_iOSApp_Other

 

Edited July 12, 20205 yr by Bluespunk

8 hours ago, JonnyF said:

Excellent news.

 

I wonder if this announcement will lead to Michel Barnier finally waking up to the fact that there will be no level playing field. We are out. If you want a trade deal you can have one, the UK will continue to open up to the world outside your protectionist racket either way.

 

So if you want to continue selling your Germanic automobiles with their fake emissions stats and your overrated Italian and French wine you better wake up pretty soon, otherwise our cars will be coming from Korea and Japan and our wine from Australia, south Africa and south america. Up to you Michel. Tick tock xx

You forgot the chlorinated chicken from US.... ????????????????????????

"The successful bidders designated as freeports will ultimately be legally outside UK customs territory, with goods imported, manufactured or re-exported without incurring national tariffs or import VAT until they enter the rest of the economy."

 

And export it where?

We are leaving our biggest market. 

"to have any noticeable effect, UK trade policymakers would need to offer a wider set of incentives in addition to just free zones. Yet, such incentives could be limited in scope by World Trade Organisation rules and “level playing field” obligations (state aid rules) included in a future trade agreement with the EU that the UK would be bound by.

Analysis of free zones operating within the US by Drs Serwicka and Holmes suggested limited evidence on their ability to create genuinely new jobs rather than just encourage companies to shift jobs from other parts of the country."

https://blogs.sussex.ac.uk/uktpo/2019/02/27/any-free-port-in-a-storm-analysing-the-potential-of-free-zones-in-post-brexit-britain/

 

"Within the EU, there are currently 80 free zones located across 21 EU Member States, according to a list for the EU Member States provided by the Directorate-General for Taxation and Customs Union (DG TAXUD)."

https://blogs.sussex.ac.uk/uktpo/publications/what-is-the-extra-mileage-in-the-reintroduction-of-free-zones-in-the-uk/

 

I'm curious as to why this is news today when the idea was first muted when Liam Fox was Brexit secretary...?

52 minutes ago, evadgib said:

I'm curious as to why this is news today when the idea was first muted when Liam Fox was Brexit secretary...?

I suspect C19 lockdown has softened the edges and the Tories not taking their eye off Brexit as will need something to brag about at the next election.  There's not much else at the moment.  

10 hours ago, Rookiescot said:

"The successful bidders designated as freeports will ultimately be legally outside UK customs territory, with goods imported, manufactured or re-exported without incurring national tariffs or import VAT until they enter the rest of the economy."

 

And export it where?

We are leaving our biggest market. 

Have you heard the fable of the frog under the coconut shell?

 

It's a big world out there.

35 minutes ago, JonnyF said:

Have you heard the fable of the frog under the coconut shell?

 

It's a big world out there.

The UK has not just suddenly appeared on planet earth. If those markets exist we were already trading with them.

You guys have convinced yourselves there are vast untapped markets available when that is simply not the case.

1 minute ago, Rookiescot said:

The UK has not just suddenly appeared on planet earth. If those markets exist we were already trading with them.

You guys have convinced yourselves there are vast untapped markets available when that is simply not the case.

How do you know, your own words, not the Guardian or Independents columnists ...?

I’ve said all along, Brexit is about some people and some businesses avoiding taxes.

 

The rest of the nation will pay the price.

 

24 minutes ago, Rookiescot said:

The UK has not just suddenly appeared on planet earth. If those markets exist we were already trading with them.

You guys have convinced yourselves there are vast untapped markets available when that is simply not the case.

The EU has proved to be incapable of making comprehensive FTA's with several massive markets. The US and India spring to mind for starters. So yes, there are several markets that can be further opened up. And yes, we will also be buying from these places where in the past we bought from the EU, which won't do the EU much good when one of their best customers starts shopping next door because the UK is now free to remove tariffs on essential items such as food and clothing.

 

You seem to ignore the fact (or minimize the impact) that the EU doesn't have trade deals with these huge markets, and in the same breath you claim that the UK will be devastated if we don't have every single trade deal in place by 31 December. You can't have it both ways.  It's a long term project, it will have taken over 4 years just to leave so if it takes 4 more years to get the trade deals signed then we can live with that.

 

It was never about a couple of GDP % points anyway, that was a Remainer strawman argument. It was about independence and sovereignty (I mean real independence, not wishing to leave the UK so you can run and hide behind the EU's skirt like the Scottish view of independence).

12 minutes ago, JonnyF said:

The EU has proved to be incapable of making comprehensive FTA's with several massive markets. The US and India spring to mind for starters. So yes, there are several markets that can be further opened up. And yes, we will also be buying from these places where in the past we bought from the EU, which won't do the EU much good when one of their best customers starts shopping next door because the UK is now free to remove tariffs on essential items such as food and clothing.

 

You seem to ignore the fact (or minimize the impact) that the EU doesn't have trade deals with these huge markets, and in the same breath you claim that the UK will be devastated if we don't have every single trade deal in place by 31 December. You can't have it both ways.  It's a long term project, it will have taken over 4 years just to leave so if it takes 4 more years to get the trade deals signed then we can live with that.

 

It was never about a couple of GDP % points anyway, that was a Remainer strawman argument. It was about independence and sovereignty (I mean real independence, not wishing to leave the UK so you can run and hide behind the EU's skirt like the Scottish view of independence).

Where you refer to the EU being ‘incapable’ of making a comprehensive FTA with the US, you mistake not buckling to US demands as being ‘incapable’.

 

To help you understand the difference Johnson will demonstrate buckling to US demands.

 

Striking any deal with India is fraught with the complexities of Indian internal politics, and of course India’s demand that there will be no trade deal without privileged visa access for Indian nationals.

 

 

 

Edited July 13, 20205 yr by Chomper Higgot

How do you think it works when a small nation is trying to set up a trade deal with a far larger country? Who do you think holds all the cards?

The US has already said "Everything" is on the table regarding the UK. Including the NHS. Happy to lose the NHS?

India has already said a trade deal will need to include ease of movement between India and the UK. Happy with all that potential immigration are you?

6 minutes ago, Rookiescot said:

How do you think it works when a small nation is trying to set up a trade deal with a far larger country? Who do you think holds all the cards?

The US has already said "Everything" is on the table regarding the UK. Including the NHS. Happy to lose the NHS?

India has already said a trade deal will need to include ease of movement between India and the UK. Happy with all that potential immigration are you?

Lose the NHS? ???? I think you mean we might buy some medicine from the US. Don't get too excited and try to overhype it. Project Fear is dead and buried there is no need to try to resurrect it, it's too easily debunked.

 

Yes that is India's opening position in the negotiation. I assume you realize an opening position is just that, or are you the type of person that happily pays 1000 Baht for a pair of fake Raybans at the night market because that was the first price the vendor gave you? 

 

57 minutes ago, JonnyF said:

are you the type of person that happily pays 1000 Baht for a pair of fake Raybans at the night market because that was the first price the vendor gave you? 

Why am I not surprised that Brexiteers wear fake Raybans from third-world night markets...

1 hour ago, JonnyF said:

Lose the NHS? ???? I think you mean we might buy some medicine from the US. Don't get too excited and try to overhype it. Project Fear is dead and buried there is no need to try to resurrect it, it's too easily debunked.

 

Yes that is India's opening position in the negotiation. I assume you realize an opening position is just that, or are you the type of person that happily pays 1000 Baht for a pair of fake Raybans at the night market because that was the first price the vendor gave you? 

You think American healthcare will stop with medicines? 

So you think India is not going to dictate the terms? If Brexit has shown anything its that the UK is not going to get preferential treatment from any country. You all believed that the EU would grant all your wishes but its not happening is it. Little Britain is exactly that. English exceptionalism only exists among English nationalists. No-one else believes in it. 

1 minute ago, Rookiescot said:

You think American healthcare will stop with medicines? 

So you think India is not going to dictate the terms? If Brexit has shown anything its that the UK is not going to get preferential treatment from any country. You all believed that the EU would grant all your wishes but its not happening is it. Little Britain is exactly that. English exceptionalism only exists among English nationalists. No-one else believes in it. 

You're at it again.......????

 

9 minutes ago, welovesundaysatspace said:

 

Why am I not surprised that Brexiteers wear fake Raybans from third-world night markets...

Fake news. ????

 

Another strawman. Why am I not surprised? I'm disappointed you didn't throw in some Project Fear to back up your false claim. Maybe a quote from an unnamed source in a Guardian article. "Brexiteers regret vote to leave as Thailand proposes adding 2000% levy on fake Raybans to UK tourists post Brexit". ????

18 minutes ago, welovesundaysatspace said:

 

Why am I not surprised that Brexiteers wear fake Raybans from third-world night markets...

Your posh then....?  ????

8 minutes ago, Rookiescot said:

You think American healthcare will stop with medicines? 

So you think India is not going to dictate the terms? If Brexit has shown anything its that the UK is not going to get preferential treatment from any country. You all believed that the EU would grant all your wishes but its not happening is it. Little Britain is exactly that. English exceptionalism only exists among English nationalists. No-one else believes in it. 

Only the EU is being difficult about a trade deal. The bloc has been pouting and sulking like a rejected teenage girl but they are starting to back down on the ECJ already.

 

https://www.ft.com/content/df91b328-a01f-41e5-9a89-6fcbc4055180

 

Japan is rushing us to sign one.

 

https://www.japantimes.co.jp/news/2020/07/01/business/japan-britain-trade-deal-july/

 

 

11 minutes ago, JonnyF said:

Fake news. ????

 

Another strawman. Why am I not surprised? I'm disappointed you didn't throw in some Project Fear to back up your false claim. Maybe a quote from an unnamed source in a Guardian article. "Brexiteers regret vote to leave as Thailand proposes adding 2000% levy on fake Raybans to UK tourists post Brexit". ????

Strawman you say.