Following the Chancellor’s decision to end the de minimis threshold, Chris Clowes, executive director at global supply chain and logistics consultancy, SCALA, commented:
“Phasing out the de minimis threshold marks an important step towards fairer competition for UK retailers and stronger accountability and product safety for consumers. While some ultra-low-cost imports – including those from major eCommerce platforms like Shein and Temu – may become more costly once the change eventually comes into force, the long-term outcome should be a more level playing field for compliant businesses across the UK.
“The reform is also likely to shift more stockholding and fulfilment activity into the UK, increasing demand for domestic warehousing and reducing reliance on direct-to-consumer air freight. This would enhance resilience within supply chains and support wider sustainability goals.
“However, with implementation not due until 2029, responsible UK retailers and logistics providers will continue to operate in an uneven marketplace in the meantime. A phased programme introduced sooner would give businesses greater certainty, encourage investment in UK-based distribution models, and limit avoidance behaviours. Earlier action would provide clarity for the market and reinforce consumer protection.”
Share