A significant element of the UK government’s levelling up plan to create thousands of jobs, regenerate more deprived areas and attract overseas investors is the introduction of freeports. These special low-tax trading zones allow all kinds of businesses to trade.
Under the UK model, freeports can encompass two different kinds of sites. On customs sites, authorised businesses will be able to import certain goods with simplified customs documentation and without paying tariffs. Domestic goods can also be held in a customs site and used in any manufacturing process. And on tax sites, authorised businesses will benefit from reduced stamp duty, lower business rates and lower national insurance contributions for new employees.
