The new East Anglian Freeport was given the go-ahead in last month’s Budget by Chancellor Rishi Sunak.
A bid that was backed by 20 East Anglian MPs, Freeport East will focus on Harwich and the Port of Felixstowe alongside proposals for tax and customs sites inland. This includes the planned new development at Gateway 14 near Stowmarket and Port One in Great Blakenham.
This exciting announcement means there are a number of good things on the horizon for both the logistics industry and the entire nation.
New Freeport East Advantages
The main aim for Freeport East is to create a truly unique global trade hub for Great Britain. However, there are many other advantages that stem from this goal which will benefit our local area greatly.
Exemption from Import Taxes
Essentially, Freeports are known as a tax-free zone; the area that is covered by the Freeport is seen and treated as if it were not part of the country. In regard to tax purposes, this means that they are exempt from import taxes on goods that are not destined for the UK. Therefore, manufacturers will have the ability to import goods tax-free before exporting their products elsewhere, presenting an attractive, cost-effective option.
New Jobs & Economy Boost
As mentioned above, the new East Anglian Freeport will deliver fantastic opportunities for our supply chain. In addition to this, it will drive an unprecedented economic boost to the region estimated to be up to £650million. This long-term economic benefit could see the region’s gap from the rest of the country closed.
Also, it will provide a catalyst for highly skilled job creation with an estimated 13,500 jobs generated. Almost immediately, this Freeport will offer opportunities in both emerging and expanding industries. Not only will there be jobs in the logistics industry, but additional employment will be available in specialised production and manufacturing, research and development, and throughout the energy sector.
Increased Green Credentials
One of the other main factors of the Freeport’s bid was the East’s growing energy sector and the regional benefits it can bring. For example, the Hydrogen Green Energy hub is a promising start for the decarbonisation of container shipping. Also, Sizewell currently has a hydrogen generator and once this expands, Freeport will be able to use this as an alternative energy source.
What Does This Mean for Cross Country Carriers?
It’s clear to see that the benefits of the new East Anglian Freeport are not limited to one region, they will impact the entire supply chain. We are excited to see the opportunities this will bring both our customers and our local community.
We believe Freeport East is paving the way for a greener and brighter future for the logistics industry and we are looking forward to being a part of it.
If you have any enquiries or questions, please contact us directly today.
