UK retailers are stepping up pressure on the government to accelerate plans to scrap a duty exemption that has helped drive the growth of overseas e-commerce rivals.

The focus is on the so-called “de minimis” threshold, which currently allows imported goods worth £135 or less to enter the UK without being charged customs duty.

UK retailers say this exemption puts them at a disadvantage, as international sellers can offer lower prices while local businesses must factor in tariffs and additional costs.

Other major markets are already moving ahead with reform. The European Union has recently confirmed it will abolish its own low-value import threshold from 1st July 2026, introducing duties on all goods including a €3 flat duty fee for low-value shipments. The United States removed its equivalent exemption last year.

In contrast, the UK has proposed a much later timeline, aiming to phase out the policy by March 2029. Officials say the delay reflects the need to build the necessary systems and infrastructure to support the change.

Retailers warn that waiting several more years could inflict long-term damage on the UK’s online retail sector. They are calling for quicker action to level the playing field, support domestic businesses, and limit the growing influence of low-cost international platforms.

MultiFreight continue to track the situation closely and understand the government is yet to formally comment.