Brexit’s new border tax will ’cause chaos and food shortages’ in weeks

A border tax on food will increase inflation and cause food shortages when it is introduced at the end of April, a Labor MP has warned.

From April 30, importers will have to pay up to £145 to bring small quantities of products such as cheese, salami and fish through the port of Dover or the Eurotunnel, according to guidance published on Wednesday. The fee, known as the common user charge, has been introduced as a result of Britain leaving the EU following the Brexit vote.

Now, Labor backbencher Stella Creasy has said it could cause “chaos”, and urged MPs to stop the accusation.

In a video posted on X, Creasy said: “This is not about UK vs EU food. It’s about our supply chains and how they fit together.”

Creasy said the fee would apply to “pretty much most food items” and “isn’t going to keep our food safe”. She added: “We wouldn’t need this fee if we signed a veterinary contract with Europe. There will be a separate fee if you want to bring live animals into this country… And these fees will be coming in 28 days – pushing inflation up and creating food shortages this summer.”

What is the ‘common user fee’?

The common user charge is to be introduced on 30 April for commercial movements of animal products – such as cheese, salami and fish – as well as plants and plant products, through the Port of Dover and Eurotunnel. The charge applies to imports from all countries entering and leaving the country.

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The charge applies even if the authorities do not check vehicles for their goods. The fee will be charged per type of product imported, and will vary from £10 to £29 depending on the risk products involved. It will also be capped at £145 for mixed consignments.

Small amounts of food for personal use, such as items bought by tourists visiting the continent and returning to the UK, will not need to pay the fee.

What have critics said?

Importers, along with Creasy, warned that the new charges could lead to higher prices for consumers during the ongoing cost of living crisis. Phil Pluck, chief executive of The Cold Chain Federation – which represents businesses running the temperature-controlled supply chain in the UK, said: “Ultimately, this will increase business costs and food prices and potentially lower choices for the shopkeeper.”

He said it was “extremely disappointing” that the charges were announced “at the last minute”, leaving businesses with little time to make any necessary changes.

Andrew Opie, director of food at the British Retail Consortium, a trade association for UK retail businesses, said it was “particularly disappointing” that the government had announced the cost of the fees was so close to being introduced.

James Barnes, chairman of the Horticultural Trades Association, said the announcement “confirms our fears that UK horticultural competitiveness will be hit again by rising costs without any material gains in a month’s time”. He warned that the charges would “undoubtedly increase costs” and increase the likelihood of empty shelves in supermarkets.

What does the government say?

While critics say there could be a £145 fee every time businesses bring food into the country, the government insists this figure was “within and at the bottom of the range we consulted with the industry”.

A spokesman added: “The fee is designed to recover the costs of running our state-of-the-art border facilities, where essential biosecurity checks will protect our food supply, farmers and the environment against costly outbreaks of disease entering the UK through the short college. The fees have followed extensive industry consultation and have been capped specifically to help smaller businesses.”

The introduction of post-Brexit border checks has been repeatedly delayed due to fears they could fuel inflation, but the introduction began at the start of this year. In the guidance published by the government, they say the new model is “significantly different” from the model due to be introduced in July 2022. They say it will introduce “the best possible arrangements for those who import from the EU, and that it will be improved. the experience of those importing from non-EU countries”.

The government claims it will “reduce the complexity of UK security, biosecurity and public health border controls” by reducing paperwork and using digital processes.

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