'Scary'About half of the posters Bill Philpot makes and sells from his Suffolk-based studio are sold to
slotxo European customers.His first sale after new post-Brexit rules took effect came from a French customer.But that customer is far from being amused. In addition to the poster's £ 80 cost, Mr Philpot said customers had to pay an additional 34 euros (£ 30), a French tax, commission from UPS shipping companies (to speed through customs) and a new union sales tax. Europe The 73-year-old, who used his advertising career before setting up an Art Deco poster business 15 years ago to supplement retirement income, said he was "shocked" by the additional expenses.Mr Philpot, who lives in Great Glemham near Framlingham, said he was "truly scared" that he "might lose [his] business.The customer will stop buying - € 34 (30 pounds) is a very heavy item," he said.It's a simple business. I get about half a dozen orders a week.When potential customers pay for these new services, they will stop buying from me and from other small businesses in the UK."
New rulesThe new rules are in effect for those in the UK, whether they are imported from or exported to Europe.What licenses or duties to pay depend on what is exported, the value of the product, the origin of the product, and which country it is sent to as recommended by the government.As of January 1, the UK government has issued a rule that VAT must be collected at the point of sale rather than imported.This basically means that overseas retailers shipping to the UK are expected to register UK VAT and send it to HMRC if the sales value is less than € 150 (£ 135).This has led many European retailers to decide they will no longer ship their products to the UK.
'A huge downside'Anne Neill runs Walkers.Style. Online women's clothing store for 30 years She said her first "delight" in announcing a tax-free deal with the EU on Dec. 24 raised "shocking" concerns.A "significant proportion" of her customers reside in EU countries, she said, and the latest orders are now being charged, with an unexpected charge of more than € 100 per order.We have been monitoring the Brexit situation since 2016 and I fear the import tariffs will put me at the edge of my European rivals," Ms Neill said.When the trade deal was announced I was delighted but on Friday our customers started reporting unexpected billing issues right at their doorstep. Now all the stock has to come back to us and Cost It's a big deal for me. It's no bigger.
The company's suppliers, based in Lowestoft, Suffolk, are all European designers. But the country of origin of the orders often comes from far-flung areas, often China, not what the company dominates.This means that merchandise can now be subject to three tariffs, putting UK retailing into the state. "Great disadvantage"She said her "bright" business was not under threat. But faced with "Serious problems" and she wrote to the MPs to pressure the change "instantaneously".
'The dust still settles'Ipswich-based Elmy Cycles was founded in 1922, but company owner Steve Grimwood said Brexit "is affecting the entire industry".The freight goes through the roof," he said. "A lot of the parts are being built outside of the UK and often in the Far East and dust is still settling ahead.Like Bianchi and Ridley, some of our bike suppliers are based in Europe, but they are holding delivery until mid-January when they know more about how the new tariffs will work, or they account for 5% to 10% price. That adds up to cover additional costs.Mr. Rimwood predicted that there would be "Massive shortage" of bikes later this year.People think you can do anything in the UK. But it's not that easy, ”he says.“ A lot of the bike parts are made in Asia - but the manufacturing companies have design patents that are tightly regulated.
Without too much political fuss, this doesn't prove to be a seamless change to the contract, the lead time is typically six months - at the moment they're more like Summer 2022.The Small Business Federation said many small companies do not have the time, money or clarity needed to prepare for new trading arrangements with the European Union.A spokeswoman for the Cabinet Office said: “The UK has left the EU Customs Union and the only market has new rules and procedures that businesses have to follow.Any business unsure of what to do should go to GOV.UK, join our free webinar, watch import and export short films.The government will continue to work closely with businesses to ensure they can trade effectively under the new rules.
