Shipping to the UK from Canada: Duty, VAT and the End of the 135 Pound Relief
Quick answer: Shipping from Canada to the UK, you generally pay UK import VAT at 20 percent on almost every consignment, but goods that are made in Canada and meet Canada-UK Trade Continuity Agreement rules of origin qualify for 0 percent preferential duty at any value. The separate 135 pound duty relief ends by October 2028.
The United Kingdom remains a top market for Canadian companies. While trade is strengthened by the Canada-UK Trade Continuity Agreement (TCA), there is a common misconception that "free trade" means "no fees."
In reality, while the agreement may eliminate duty on qualifying Canadian-made goods, it does not eliminate Value Added Tax (VAT) or other import fees. All commercial consignments to the UK are subject to scrutiny by His Majesty's Revenue and Customs (HMRC).
