Great Britain: government looking to create up to ten freeports

On 10 February UK PM Boris Johnson’s team announced the government’s intention to create up to 10 freeports in locations across the UK and which would be operational in 2021. The aim is to set up freeports in areas of post-Brexit economic hardship and create thousands of jobs. Within these zones no duty will be paid on goods until they enter the full UK market, meaning none at all is paid if they are re-exported from the port. The UK government indicated that one of the features of these freeports is the potential for lower labor costs compared with the rest of the UK but it nonetheless promised, “The UK’s high standards with respect to security, safety, workers’ rights, and the environment will not be compromised.” The first step toward these freeports comes in the form of a 10-week consultation to inform on the policy, which closes on 20 April 2020. A tender will open following the consultation so areas can bid to become one of the zones. These freeports can be coastal port locations but necessarily so. Business Secretary, Andrea Leadsom stated, “Freeports represent a fantastic opportunity for our businesses to increase their trade with companies from all over the world. Not only will they help create jobs and level up the UK, but they underscore our commitment to championing global free trade.”