Five new freeports wrongly announced due to Downing Street ‘blunder’

The Government has wrongly announced the creation of five new freeports following a Downing Street “blunder”.

Rachel Reeves will not reveal new free ports in her budget for Wednesday despite Downing Street saying last Friday that the UK plans to build five more duty-free sites.

Instead, the chancellor is expected to announce “next steps” for the five existing free ports, which will receive formal permission to host customs sites within their borders, officials said.

Reeves will also endorse plans for a separate “investment zone” in the East Midlands, put forward by the previous Conservative government last year.

“Financial Times” what broke the storyquotes one official as saying the announcement was a “total communications failure.”

Government sources said the error arose due to the difference between customs points and free ports.

About seven of 12 UK freeports have a number of customs zones that provide them with certain benefits, such as paying duties on finished products only when they are placed on the market and receiving tax benefits when hiring new personnel.

It is understood that five more will be given permission to open such sites within their borders under the Labor Government’s plans.