Amazon and eBay face new tax rules in bid to save the high street

• Ministers are reportedly planning a tax crackdown on major online marketplaces like Amazon, eBay, and Temu to ensure VAT is collected from third-party sellers.
• The measures – which were reported by The Times – target overseas retailers, particularly Chinese sellers, who evade the 20 per cent VAT to undercut UK high street competitors.
• The policy is expected to raise up to £1bn, which will be used to fund business rate cuts for local high street shops and family businesses.
• Tax experts have welcomed the tighter rules but warned that online platforms should collect all VAT on their sites to close remaining loopholes.
• The policy proposal comes alongside IMF forecasts upgrading UK economic growth for 2026 to 1.3 per cent, driven by artificial intelligence.

IN FULL

Chancellor targets Amazon and Temu in tax crackdown to deliver Budget for ‘white van man’