The De Minimis rules are changing in the UK and the EU. Currently in the UK, goods worth less than £132 can enter the country without paying customs duty. However, this rule will be phased out by March 2029. From the 1st July 2026, the EU will also remove their De Minimis exemption for goods under €150.
Why is the De Minimis limit changing?
The government initially introduced the De Minimis limit because it was fast and cost-efficient. Goods below £132 were seen as too trivial to be worth the time and paperwork to charge customs duty.
However, there will now be import charges for all goods because the De Minimis rule was harming local UK businesses. Without import tax, many businesses were buying goods for affordable prices from overseas and undercutting domestic prices.
Ending De Minimis exemption aims to help support domestic businesses and implement a fairer UK trade tariff.
The end of De Minimis also means that all goods entering the country will be more thoroughly checked so that they meet UK standards. This provides more protection for consumers.
What De Minimis changes mean for businesses
UK businesses who source their products overseas have four years to budget for increased expenses on their imported goods. The cost of customs duty depends on the type of goods and where they originated from. The price should vary from 0%-25% of the total cost of the item.
For businesses with customers in the EU, the buyers will be required to pay import tax from 1st July. Consider this in your costs and make clients aware of the changes.
At MI Transport, we can help you stay up to date with De Minimis changes and offer smooth and efficient cross-border delivery services. For more information, you can contact warren.boxford@mitransportltd.co.uk or call 0333 577 5100.