Gordon’s got an eye on Jersey

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The following comes from para 5.136 of the Pre_Budget Report:

The Government continues to monitor the £18 VAT-free threshold for imports of small consignments from outside the EU. Despite the attempts of the Channel Island authorities to limit the exploitation of these rules, the cost of this relief has increased in the last six months to around £90 million per annum. The Government will assess the case for reform to protect tax revenues and will take into account the wider public interest, by balancing the compliance costs on carriers and importers with the impact on UK based retailers.

It's good to know others are also keeping a watchful eye on Jersey. But it has to be said that this is the wrong approach. Economic benefits do not need to assessed in this case. EU law has to be complied with, and it's the Treasury's job to make sure that happens. On this one it's time for action, now. This loophole must be closed.