Temporary tariff regime for no deal Brexit published

13 Mar 2019 01:57 PM

Government has published details of the UK’s temporary tariff regime for no deal, designed to minimise costs to business and consumers while protecting vulnerable industries.

Government has this morning (Wednesday 13 March) published details of the UK’s temporary tariff regime for no deal, designed to minimise costs to business and consumers while protecting vulnerable industries. The government is publishing this approach ahead of the vote in Parliament on No Deal to ensure MPs are fully informed.

This regime is temporary, and the government would closely monitor the effects of these tariffs on the UK economy. It would apply for up to 12 months while a full consultation and review on a permanent approach to tariffs is undertaken.

British businesses would not pay customs duties on the majority of goods when importing into the UK if we leave the European Union without an agreement.

Under the temporary tariff, 87% of total imports to the UK by value would be eligible for tariff free access.

Tariffs would still apply to 13% of goods imported into the UK. This includes:

Trade Policy Minister George Hollingbery said:

Our priority is securing a deal with the European Union as this will avoid disruption to our global trading relationships. However, we must prepare for all eventualities.

If we leave without a deal, we will set the majority of our import tariffs to zero, whilst maintaining tariffs for the most sensitive industries.

This balanced approach will help to support British jobs and avoid potential price spikes that would hit the poorest households the hardest.

It represents a modest liberalisation of tariffs and we will be monitoring the economy closely, as well as consulting with businesses, to decide what our tariffs should be after this transitional period.

The government has also confirmed today that it will take a temporary approach to avoid new checks and controls on goods at the Northern Ireland land border if the UK leaves the EU without a deal. The UK’s temporary import tariffs will therefore not apply to goods crossing from Ireland into Northern Ireland.

These tariffs would apply equally to all other trading partners, except for those where we have a free trade agreement in place and around 70 developing countries that will benefit from preferential access to our market.

The government will lay the appropriate legislation in light of the outcome of the vote on no deal today.

Notes for editors