Reinstate tax-free shopping for international visitors. We think the lack of tax free shopping discourages tourists, harms retail and hospitality sectors, and drives spending to rival destinations like Paris and Milan. We think it is damaging the UK economy and costing British jobs.
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Since scrapping the VAT refund scheme in 2021, the UK has become one of the only European countries not to offer tax-free shopping to international tourists. We think this policy undermines our global competitiveness. Independent research shows that restoring tax-free shopping could boost GDP, increase employment, and generate significant tax revenue. We think tourists should feel welcome and valued — not penalised for choosing the UK. We call on the Government to reverse this short-sighted decision without delay.