Debenhams will close its online business in Ireland to avoid Brexit tariffs, the company has announced.
Irish customers were informed that it is no longer possible for Debenhams to deliver orders to the Republic of Ireland “due to uncertainty around post Brexit rules”.
Under Brexit trade rules goods must “originate” in either the UK or the EU - under so-called “Rules of Origin” - in order to qualify for zero-tariffs.
For example, if Tesco imports a pair of pyjamas from China into the UK and then sends them to Ireland for sale in its 151 stores here, they could be hit by a 12% tariff.
“Clearly goods imported from Asia and re-distributed to the EU are not from the UK - they are from China or Bangladesh or wherever, Sam Lowe from the Centre for European Reform explained to ITV News.”
“That good will now be subject to a tariff when entering the UK and then again when entering the EU”.
At least fifty major UK retailers, including Marks and Spencer and Tesco, are in the process of going through their products lines, to establish how many of them will be now subject to tariffs from the EU.
Tariffs can be applied to food and e-commerce and well as clothing.
