Misery for London as US and Chinese buyers flock to Paris and Milan

On Dec 9, 2023

American and Chinese customers now splash the money in Paris and Milan

Published: 01:42, 9 December 2023 | Updated: 02:06, 9 December 2023

London‘s lack of tax-free procuring resulted in European shops cashing in as a substitute throughout a booming Black Friday weekend.

American and Chinese customers who as soon as splashed their money within the UK’s designer shops shopped in Paris and Milan, the place they’ll profit from a 20 per cent VAT refund.

There are tax-free procuring schemes throughout most of Europe, however the UK’s model was scrapped by Rishi Sunak in 2021 when he was chancellor. As prosperous vacationers from the US and China return to the UK after the pandemic, there are fears British retailers are lacking out.

The Mail’s Scrap the Tourist Tax marketing campaign is looking for the break to be reinstated.

More than 400 companies have signed an open letter calling on Chancellor Jeremy Hunt to take away the tax. New knowledge reveals that US vacationers splashed the money in European cities final month.

American and Chinese consumers who once splashed their cash in the UK's designer stores shopped in Paris and Milan, where they can benefit from a 20 per cent VAT refund. Pictured: Christmas shoppers in London

American and Chinese customers who as soon as splashed their money within the UK’s designer shops shopped in Paris and Milan, the place they’ll profit from a 20 per cent VAT refund. Pictured: Christmas buyers in London

There are tax-free shopping schemes across most of Europe. Pictured: Christmas lights in Milan

There are tax-free procuring schemes throughout most of Europe. Pictured: Christmas lights in Milan

More than half of all spending by American tourists in Europe during the Black Friday period was in France, which took 55 per cent of sales. Pictured: Giant Father Christmas and Christmas tree decoration in Paris

More than half of all spending by American vacationers in Europe through the Black Friday interval was in France, which took 55 per cent of gross sales. Pictured: Giant Father Christmas and Christmas tree ornament in Paris

Tax-free sales to US tourists grew by more than 50 per cent across Europe on Black Friday compared to 2019, rising to 70 per cent on Cyber Monday

Tax-free gross sales to US vacationers grew by greater than 50 per cent throughout Europe on Black Friday in comparison with 2019, rising to 70 per cent on Cyber Monday

Black Friday is an American low cost procuring vacation which occurs the day after Thanksgiving. But it has grow to be an important gross sales day for retailers world wide within the run-up to Christmas, together with within the UK.

Tax-free gross sales to US vacationers grew by greater than 50 per cent throughout Europe on Black Friday in comparison with 2019, rising to 70 per cent on Cyber Monday.

There was a 100 per cent surge in tax-free spending by American guests in Europe on November 20, launching the procuring bonanza. The quantity spent per transaction elevated by greater than 65 per cent in comparison with the earlier week, in line with the info from retail cost supplier Planet.

More than half of all spending by American vacationers in Europe through the Black Friday interval was in France, which took 55 per cent of gross sales. It was adopted by Italy, which accounted for 19 per cent.

Paul Barnes, chief government of the Association of International Retail, mentioned: ‘This is one more piece of proof displaying the injury being completed to the British economic system by ending tax-free procuring.’