Global Daily Tax News, UK To Mirror EU In Ending Duty Waiver For Low-Value Imports, (Dec 1, 2025)

In line with changes announced by the European Union, the UK Government has confirmed plans to remove its customs duty exemption for low-value consignments.

Currently, goods with a value of GBP135 or less may typically be imported free of customs duty. Low-value consignment relief, which afforded a VAT exemption to goods worth up to GBP15, was earlier repealed from 2021.

The Government is proposing the repeal of the customs duty relief from March 2029 at the latest, as part of the 2025 Autumn Budget. The Government is seeking feedback on the proposals by March 6, 2026, in response to a newly released consultation paper that covers the design of the new arrangements, including what data to collect, how the tariff should be applied, whether to apply an additional fee on LVIs to fund administration, and potential changes to VAT collection to reflect the new arrangements.