HMRC's policy paper confirms the UK will remove its £135 low value import customs duty relief by October 2028 at the latest, brought forward from the March 2029 date announced at Budget 2025 — a change that will add duty to the landed cost of a large share of the stock UK resellers currently source from overseas.
- The £135 low value import (LVI) relief will be removed by October 2028, six months earlier than the previously announced March 2029 date.
- Consignments below £135 will move into a dedicated LVI regime with a reduced data set and duty payable quarterly.
- Excise goods, restricted items, GB–NI movements under the Windsor Framework, and consumer-to-consumer parcels worth £39 or less are excluded.
- A new "fiscal representative" role is introduced — a UK-established business taking joint and several liability for an overseas seller's customs and potentially VAT debts.
What's changing, and why it matters for resellers
Under the current relief, goods valued below £135 can enter the UK without customs duty being applied. HMRC's reform, published 13 July 2026, removes that relief entirely by October 2028. For a reseller sourcing sub-£135 stock from overseas — much of it via platforms like AliExpress — that means duty gets added to landed cost on products that previously cleared UK customs duty-free.
The margin question this actually raises
Unlike the EU's approach, the UK is not adding an interim flat levy before the full reform lands — so the change, when it arrives, moves landed cost in one step rather than gradually. Two years is not a long runway, and the practical question for a reseller sourcing sub-£135 goods is straightforward: once duty is added to landed cost, does the product still clear a margin worth running?
That's a margin calculation, not a customs one — it means pricing a specific product at its current source cost, adding the duty that will eventually apply, and checking whether the number still works before committing to a sourcing decision built around the current relief.
Where resellers actually source this stock
For many UK resellers, platforms like AliExpress are where sub-£135 stock is priced and sourced in the first place — checking a product's landed cost with duty added, before running it through a margin or vetting process, is the practical first step ahead of the 2028 change.
Frequently asked questions
When does the UK's £135 duty-free import relief end?
By October 2028 at the latest, according to HMRC's policy paper — six months earlier than the March 2029 date previously announced at Budget 2025.
What is a "fiscal representative" under the new import rules?
A UK-established business that takes on joint and several liability for an overseas seller's customs and potentially VAT debts on low value imports. Advisers expect these to be scarce and expensive.
How should a reseller prepare for the change?
By pricing current sub-£135 products with duty added to landed cost now, to check whether the margin still works once the relief is removed, rather than waiting until 2028.