Shortening timeframe on closing loophole for low-value imports by just 6 months labelled ‘pathetic' and 'really shows no sense of understanding how big an issue this is for high streets.’

Read the latest update from Andrew Goodacre, CEO

 

Hello,

It is not very often that 2 campaigns yield some success on the same day, that happened last Tuesday! Which campaigns am I referring to? Well, for some time we have been asking for the duty-free loophole on low value items to be removed. The second campaign has been focused on clamping down on the VAT fraud being committed by thousands on on-line sellers. Both these issues are putting independent retailers at a disadvantage, and both are damaging high streets throughout the UK

In terms of the VAT issue, the government will be launching a consultation on mandating on-line marketplaces to collect VAT on all sellers, not just those registered overseas. This is a no-brainer because the systems are already in place, and the current loss is estimated at almost a billion pounds. We will pushing for these changes to come into place as soon as possible

The second issue on low value items is a kind of win because the government is now committed to bringing this in 6 months earlier than originally promised. The new deadline is October 2028. However, I really do not see this as good news and think it is rather pathetic. The intention to close this loophole was first announced in April 2025. It is going to take the UK more than three years to do something the USA did in 9 months and Europe will do next year. At first I called it a win – in reality it is actually another sign that this government really does not understand the damage being done to UK retailers and high streets. We will be urging a new government to show a greater sense of urgency on this issue. 

Talking of the new government, we are busy assessing how best to engage the new ministers as and when they are announced. We all expect Andy Burnham to become PM. In his campaign for Makerfield, he said he would significantly reduce business rates for high streets. We will hold him to account on this promise but I fear it might be another broken election promise.


Thank you.

Andrew

 

>> Click here to watch Andrew join forces with other leading figures in the retail industry to demand the same product safety standards for online sellers that high street businesses already have to abide by.

Bira CEO Andrew Goodacre
 

Bira's advocacy takes your voice to the heart of Parliament

Bira is at the forefront of championing the cause of independent traders and shopkeepers across Britain.

Our campaigns cover a wide spectrum of issues crucial to the success of independent traders including:

  • Combatting the rising tide of retail crime
  • Advocating for changes in legislation that promote fairness and flexibility
  • Fighting for fairer business rates
  • Overall reducing the regulatory burden
  • £1 billion damages claim against Amazon by UK retailers
Learn more about our advocacy efforts
 

Catch up on key industry insights with podcast episodes available now

High Street Matters will discuss crucial subjects such as consumer trends, relevant government legislation, business rates, parking and staffing, providing top tips to help to help businesses stay ahead of the retail curve.

We’re talking to a cross section of our members from across the UK, from single retail outlets to small chains, and from large department stores to leisure and hospitality.

Listen to the series, available now.

High Street Matters podcast
 

Latest Resources