Question to the HM Treasury:

To ask the Chancellor of the Exchequer, pursuant to the Answer of 18 November 2022 to Question 87732 on Duty Free Allowances, what assessment he has made of the implications for his policies of evidence from Norway and Switzerland of the impact of the introduction of arrivals duty stores in those countries; and if he will commission a cost benefit analysis of such a policy being applied in the UK.

As mentioned in the answer to Question 87732, duty-free on arrival, which would apply to inbound passengers, could undermine the UK high street and run counter to public health objectives. Any new tax relief will also impose additional pressure on the public finances, to which excise duty makes a significant contribution. Any loss in tax revenue would have to be balanced by a reduction in public spending, increased borrowing or increased taxation elsewhere.

Although there are no plans to introduce such a scheme, the government keeps all taxes under review.