LONDON – On Sunday, the British government said that the UK plans to announce up to 10 post-Brexit freeport locations by the end of this year to begin operations in 2021.
While Britain is in the process of developing its own trade policy for the first time in decade post-Brexit, the government launched a 10-week consultation to set out its freeport, or free trade zone, plans.
On completion of this consultation, sea, air, rail ports can bid for freeport status.
Rishi Sunak, Chief Secretary to the Treasury said that Freeports unleash the proud historic ports’ potential and boosts and regenerates communities. New businesses will be attracted leading to a spread in jobs, investments and opportunities.
Freeports are those areas wherein imported goods can be held or processed without custom duties to be exported again. Importing raw materials and making export-worthy finished goods is also of use.
The government was considering tax measures to increase infrastructure, construction and machinery investment in freeports to raise productivity.
Tax changes could also be used to reduce the costs of hiring workers in freeport sites.
Freeports can be used to trial customs, green technologies and transport before being adopted widely across the economy.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field.