Huge jump in customs duties for UK businesses and consumers as Brexit bites

UK businesses and consumers have paid 62% more in customs duties on goods imported to the UK over the year to 31 March 2022 as Brexit changes take effect. They paid £4.8bn in customs duties a new record up from £2.9bn in 2020-21.

Sean Glancy partner at UHY Hacker Young said: ‘Brexit-related customs duty increases could not come at a worse time for British businesses and consumers. Inflationary pressures caused by Covid and the war in Ukraine are being exacerbated by those extra import duties.’

While some of the increase in customs duties is a result of a recovery in trade post-pandemic UHY Hacker Young says most of the increase is due to Brexit - in particular the new ‘rule of origin’ tariff which applies to the import of goods from the EU which were originally made or contain components...