Chancellor Rishi Suank in talks to fast-track ten tax-haven ‘freeports’ in preparation for no deal Brexit
RISHI Sunak is hoping to fast-track plans to create ten tax-haven “freeports” to help Britain’s economy cope with a no deal Brexit, The Sun has learnt.
The 10 designated cities, towns and ports will be free of import duties and red tape - designed to attract major international investment to revive former industrial heartlands that have been neglected for years.
⚠️ Read our Brexit live blog for the latest news & updates
The destinations of the freeports were due to be announced in the spring.
But The Sun understands the Chancellor wants to speed-up the bidding process in time for him to announce which cities, towns and ports will be awarded freeport status in his November Budget.
That will allow them to be set up months earlier than expected - in early 2021 - and help them “turbocharge” Britain’s economy following the end of the transition period on December 31.
The freeports were only due to become fully operational from April 2022 - 18 months after the UK formally cuts ties with the EU.
Mr Sunak hopes that announcing the freeport destinations this autumn will bring this date forward to next year.
The move also hands Britain an ace in the deadlocked Brexit talks as the freeports will attract global trade away from rival ports and cities in the European Union.
The Chancellor wants the freeports to become “international hubs” for manufacturing and innovation – attracting major global corporations to set up new factories and processing sites.
The Sun says
GOOD on Rishi Sunak for cracking on with the Government’s bold plan to open ten new freeports across Britain.
Freeports — special zones exempt from tax and red tape — are a brilliant way of capturing new trading opportunities.
In pushing for them, the Chancellor is delivering for every part of the coalition that won the Tories the election.
For traditional free marketeers, freeports serve as a welcome sign that post-Brexit Britain will be nimble and outward-looking.
And for those in the industrial heartlands who put their trust in the Conservatives for the first time last December, it could mean thousands of new, decently paid manufacturing jobs.
EU chiefs: Do your worst. With ambitious and imaginative policies such as this, we have a feeling that post-Brexit Britain is destined for success.
The cities, towns, ports and regions designated as free ports will be legally outside the UK’s customs territory.
That means that goods imported and manufactured within the designated area will not incur import tax or VAT until they enter the rest of the economy.
The areas will also benefit from major research and development tax credits, extra capital allowances, cuts to stamp duty and business rates and a sweeping reduction of planning laws.
GOT a story? RING The Sun on 0207 782 4104 or WHATSAPP on 07423720250 or EMAIL exclusive@the-sun.co.uk