On 8 January 2018, the Department for International Trade (DIT) released Preparing for a UK trade policy: a guide to trade legislation, a guide to the Trade Bill which establishes a new trade policy after leaving the EU, and the trade-related tax measures in the Taxation (Cross-Border) Trade Bill.

The government have introduced the Trade Bill into Parliament to ensure that the UK is ready for when it leaves the EU, providing continuity for individuals, businesses and international trading partners.

Additionally, the government has also introduced the Taxation (Cross-Border Trade) Bill which, amongst other things, will allow the UK to set preferential or additional duties in certain circumstances. For example, preferential rates for developing countries (unilateral preferences) and additional duties relating to trade remedies following an independent investigation.

According to DIT, the Trade Bill will:

  • create the necessary powers for the UK to transition trade agreements that currently exist between the EU and other countries (and which we are party to through our EU membership)
  • enable the UK to have continued access to £1.3 trillion worth of government contracts and procurement opportunities in 47 countries
  • allow the UK to implement the Agreement on Government Procurement (GPA) as an independent member instead of as part of the EU
  • establish a new independent UK body, the Trade Remedies Authority, to defend UK businesses against unfair trade practices
  • ensure the UK government has the legal ability to gather and share trade information, as evidence to support UK businesses against surges in imports and unfair practices

Further tax-related elements of the UK’s trade policy will be legislated in the Treasury’s Taxation (Cross-Border Trade) Bill

Trade Bill documents include: