Senior retail figures have backed Sadiq Khan’s call to re-introduce VAT free shopping for tourists, claiming the move would make a “huge difference” to the sector.
Kay Buxton, chief executive of Marble Arch London BID, said that the Chancellor Jeremy Hunt “missed a trick” at the last Budget by not reintroducing tax-free shopping and claimed the move could increase spending in the capital by £2.1bn.
Buxton explained: “Research from the Association of International Retail found that reintroducing tax-free shopping would have brought in an additional 1.6 million visitors in its first full year.
“It also estimated that these new visitors would have spent an extra £2.1bn on shopping, along with an additional £1bn on other goods and services such as hotels, restaurants and other leisure activities which would have been a vital boost for these businesses.”
Mayor Khan called for the reintroduction of VAT-free shopping, which has not been available … Read more