Eleven international brands have penned an open letter to UK Chancellor Rishi Sunak urging him to rethink his decision to scrap tax-free shopping in the UK in January 2021. “We were deeply troubled to hear of the UK government’s proposal to end tax-free shopping for international visitors,” write the companies, including Gucci, Salvatore Ferragamo and Tiffany & Co., adding that the decision will cause the UK to lose billions of revenue as savvy international shoppers will opt for other, more convenient destinations to make their luxury purchases.
“As global brands operating in the UK, we greatly value Britain’s status as a world-leading shopping and tourism destination, attracting visitors from around the world, and have invested in the UK accordingly. But the Treasury’s plan would give the UK the least competitive duty-free regime in Europe and put this status at risk,” reads the letter, which was signed by Kering’s group managing director Jean-François Palus and De Beers’ CEO Céline Assimon among others. “We believe that in the midst of the economic disruption caused by the global pandemic this would be the worst possible time to disincentivise visitors from coming to the UK.”
