Liverpool Freeport receives final approval

The Liverpool City Region (LCR) Freeport has now, on Tuesday 10 January 2023, received final Government approval. Up to £25 million of seed funding will now be made available to boost development in the region, in addition to potentially hundred of millions of points in locally retained business rates to upgrade infrastructure and stimulate regeneration.

Freeports benefit from a range of subsidies, including tax reliefs, customs advantages, reduced business rates, planning, regeneration, and trade and investment support. Tax incentives include SDLT relief for qualifying purchases of land and buildings, a zero rate of employer NICs for new employees and enhanced capital allowances.

The LCR Freeport is expected drive growth in the UK’s advanced manufacturing, biomanufacturing, logistics, and low carbon industries. Once fully operational, it is estimated that it could create more than 14,000 jobs and generate around £850 million for the local economy.

Steve Rotheram, mayor of the Liverpool City Region, commented on the news to say:

“I want to attract investors into our area who believe in, and support, our local ambitions – those who will help us to protect workers’ rights and uphold standards, and who want to work with us to deliver regeneration and funding in the areas that need it most.

‘The establishment of the LCR freeport has the potential to help our drive to attract international investment, create more well paid, highly skilled jobs for local people and build on our existing strengths and promote our international competitiveness.”

The LCR Freeport is now among four other newly operational Freeports announced at the end of last year, others being Freeport East, Teesside Freeport, Plymouth and South Devon Freeport and Solent Freeport.

HMRC’s Freeport Induction Pack is available from GOV.UK, providing additional guidance for local businesses interested in taking advantage of the benefits available:

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1117579/Freeports_induction_pack_accessible.pdf

Your usual DSG contact will also always be happy to assist you with business planning concerning freeport status or any similar matters.

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