Written questions

Parcels: Fees and Charges

Commons · Question 2997 · Tabled 19 May 2026 · Treasury · Official record

Answered 28 May 2026

Question

Asked by Joshua Reynolds

To ask the Chancellor of the Exchequer, what assessment her Department has made of the impact of the cumulative costs of VAT and associated handling fees applied to parcels sent from distribution centres in Great Britain to customers in the European Union

Answer

Answered by Dan Tomlinson, 28 May 2026

VAT is a broad-based tax on consumption and is normally due in the country where the consumer of the goods or services is located. The application of this destination principle in VAT achieves neutrality in international trade. The VAT rate applied is a m...