UK retailers urge government to end parcel tariff loophole sooner

British retailers have welcomed the government's decision to start charging customs duties on low-value e-commerce parcels but said a March 2029 timeline is too late and risks making the country an international outlier.

UK retailers have been squeezed by rapidly growing ultra-low-cost platforms like AliExpress, , , and more recently Haul, which send packages directly from factories in China to shoppers' doorsteps, benefiting from a customs waiver on parcels worth less than 135 pounds ($179).

"I will stop overseas online firms from undercutting our high street" by applying customs duty on parcels of any value, Reeves told parliament in her budget speech on Wednesday. But the finance ministry said the change would be made in March 2029 "at the latest", with a consultation on the policy to run until March next year.