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Economic Development

Frank Field MP calls for post-Brexit free ports and says they could help create jobs and growth

Here's exactly what a free port is, how it works - and what the EU thinks of the idea

The Port of Liverpool, with a Stena Line Ferry in the foreground

There are new calls for post-Brexit free ports to be established in a bid to help boost jobs and growth.

Frank Field MP wants the Government to help businesses in ports like Merseyside by establishing areas that are physically within a country, but legally outside it for customs purposes, meaning goods do not incur import duty.

The pro-Brexit Birkenhead MP said he has been lobbying with Teesside MP Simon Clarke to establish free port areas as part of the economic programme once the º£½ÇÊÓÆµ has left the EU.

They are the subject of controversy however, with the EU arguing free ports can lead to money laundering or "terrorism financing", making it even harder to forge a post-Brexit trade deal with the bloc.

Mr Field said: "I’ve been lobbying hard to ensure that businesses along the River Mersey can opt to be part of a free port. Rishi Sunak, the new Chief Secretary to the Treasury, will be the person who decides on the financing in conjunction with Liz Truss, the new International Trade Secretary.

(Image: PA Archive/PA Images)

"A free port along the Mersey could provide a major boost to our manufacturing industry and create large numbers of jobs in our area. Safeguards would, of course, be required to prevent the scheme from being abused, but a new free port could provide such an exciting new opportunity for industries in Merseyside."

As well as Merseyside, there are also plans for Teesside to become a free port, a plan led by mayor of Tees Valley, Ben Houchen.

 

What exactly is a free port?

A free port is an area that is physically within a country but legally outside it for customs purposes, meaning goods that enter do not incur import duty.