Brits Spend £742m On Eu Tax-free Shopping

British visitors spent a record-breaking £742 cardinal (€871 million) connected VAT-free shopping successful nan EU past year – a fivefold summation since 2021 – fuelling unit connected nan UK authorities to reinstate its ain tax-free shopping scheme, which was scrapped aft Brexit.

EU tax-free shopping lures British shoppers abroad

The surge successful British spending overseas has been confirmed by nan Association of International Retail (AIR), which reported a 16 per cent year-on-year emergence for nan first 22 weeks of 2025. France unsocial now accounts for 35 per cent of each British VAT-free purchases, pinch Paris starring nan charge.

Retailers opportunity nan UK’s determination to axe tax-free shopping successful 2021, while EU countries connection rebates to Brits, is damaging UK precocious streets.

“Every lb spent by British and world visitors successful Europe alternatively of nan UK threatens growth, denies nan Exchequer gross and undermines nan competitiveness of our retailers, manufacturers, hospitality businesses and iconic brands,” said Walpole CEO Helen Brocklebank via Business Matters.

AIR estimates that bringing nan strategy backmost could boost UK GDP by £3.65 cardinal (€4.2 billion), create 73,000 jobs, and make £500 cardinal (€574 million) successful VAT.

The closing of Mulberry’s main shop connected London’s Bond Street successful 2023 was attributed to nan nonaccomplishment of VAT-free shopping, claiming a diminution successful request from overseas consumers. Despite increasing calls from manufacture giants for illustration Burberry and Primark, nan Treasury has stood firm.

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