Monsoon Accessorize chief executive Nick Stowe has called for the UK to take the same stance as the US and shut tax loopholes that give online giant Shein advantages over UK retailers.
In the last few days new US president Donald Trump has imposed tariffs on Chinese imports into the country, and ended ‘de miminis’ exemptions that allowed goods worth less than $800 to be imported without the need to pay certain taxes.
The changes have led the US Postal Service to stop accepting parcels from China and Hong Kong until further notice.
Stowe did not believe the UK should introduce all the measures Trump has, but told Radio 4’s Today programme that the unfair tax advantage enjoyed by Shein should be addressed by the government as it seeks to raise money, incuding by imposing big costs on retailers such as through changes to National Insurance.
He said: “I don’t think we should stop the parcels. I think we should demand that Shein pay their fair share – they should pay customs duty on product that they import. It’s long been a request of the UK retail community that this loophole should be closed.
“If you look at the situation in the UK in terms of tax requests on retailers, we’re being asked to pay extraordinary amounts of fund the gaps in public financing. It seems extaordinary to me that you would turn to UK retailers and raise their taxes but ignore the fact that people like Shein are avoiding paying their customs duty in importing products into the UK.
“If we need the tax revenue then they should contribute to that.”
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