FREEPORTS & GREEN FREEPORTS
About Freeports
Freeports in England and Wales, and Green Freeports in Scotland are a major government initiative which were announced in 2021 in the UK. They aim to simplify import and export processes for UK businesses by improving cash flow and making Duty and VAT savings for importers, alongside wider community and tax benefits.
There are 12 Freeport zones, covering key ports and their wider city regions, where some normal customs and tax rules do not apply.
UK Freeports
As of 2024, the 12 Freeport zones are listed below, and any businesses within these regions will be eligible to apply for Freeport customs site status:
- Freeport East (Felixstowe)
- Liverpool City Region
- Thames Freeport
- East Midlands Freeport
- Plymouth and South Devon Freeport
- Inverness and Cromarty Freeport
- Celtic Freeport
- Anglesey Freeport
- Humber Freeport
- Solent Freeport (Southampton and Portsmouth)
- Teeside Freeport
- Forth Green Freeport
Freeport Customs Site Benefits
Being a Freeport customs site will allow you to import and export your product with a C21, meaning the amount of information declared to HMRC is dramatically reduced.
All goods imported into a customs site are completely Duty and VAT suspended, with no time limit for removal (as is the case with inward processing).
Manufacturers may benefit from ‘duty inversion’, meaning they pay a lower rate of duty on their finished product, instead of on their raw materials.
All re-exports from customs sites are fully duty free.
Freeport offers all the benefits of existing customs authorisations such as inward processing, customs warehousing, temporary admission, under one single authorisation.
Who should apply?
Freeports and Green Freeports may benefit some businesses, such as manufacturers, more than others. However, any business located within the Freeport zones who are paying import duty will likely receive some benefits from the Freeport procedure by becoming a Freeport customs site.
Brightfinch offer expert consultancy for Freeports, offering step-by-step support, consultancy and guidance to ensure your business can make the most of the opportunity.