Brexit has led to many changes for Britons who choose to live in, or spend extended periods of time in, Spain. Some of these changes are huge, such as the right to remain in the country and receive a residency card. Some of these changes are not as big, but still have great significance. Once of these changes is the impact that Brexit has had on the cost of international postage between Spain and the UK.
Most of us were aware that Brexit was going to affect importation and exportation businesses, and the way they shipped their good internationally, but were less clear about the consequences this would have for individual people living in Spain after Brexit. Now though, it is very clear that thanks to the taxes imposed on sending and receiving packages to and from the UK and Spain, the cost of postage is considerably higher as a direct result of Brexit.
The Rise in Customs and Taxes Costs
It doesn’t matter whether you’re ordering goods from a UK business or receiving a package from friends and family based in the UK. The issue is also a two-way problem, affecting residents living in Spain who which to send gifts to friends and relatives based in the UK, and indeed Spanish businesses hoping to export their goods to the UK. In some cases, the price increase added in terms of customs and taxes (which must be paid before the parcel or package can be collected) are considerable. Here are some examples shared by those effected by the issue on social media:
Graham Hunt, an estate agent in Valencia tweeted “Daughter’s friend just received a package from the UK. Not allowed to pick it up without paying customs and taxes, in this case €79. That’s a price increase of 20 percent.”
Journalist Eugene Costello, a Spanish resident, experienced similar issues when sending an item to his daughter back in the UK. He tweeted: “I live in Valencia and recently sent an old laptop to my daughter. ParcelForce are withholding it until the bill of £146 is paid. Can this be right? An old laptop sent by a Dad to his daughter, so she can work online since her school is shut?”
The Official Reason For the Change
According to the UK government website “Most goods arriving in the UK are liable to any or all of the following taxes: Customs Duty, Excise Duty and Import VAT”. It is also clearly stated that these taxes must still be paid whether the person in the UK has:
Paid for the goods or is receiving them as a gift
If the goods are new or used (including antiques)
If the goods are for your private use or for re-sale.
If you are sending a gift from Spain to the UK, import VAT usually only applies to goods whose value is over £39, or the equivalent in Euros. Customs Duty is due only if the value of the goods cost over £135. These are key figures to keep in mind when sending a gift, as if you can keep the value below these amounts you can circumnavigate many of these issues.