Tax Reliefs

Tax Reliefs to drive new investment

UK Freeports have a targeted set of tax reliefs to help attract new investment. These reliefs only apply on the designated tax sites at Felixstowe, Harwich and Gateway 14.

Stamp Duty Land Tax (SDLT) Relief is available

for certain qualifying purchases of land and buildings within Freeport tax sites. SDLT relief is available until 30 September 2026.

Enhanced Structures and Buildings Tax relief is offered

to firms constructing or renovating structures and buildings for non-residential use within Freeport East tax sites. This measure will give relief at a higher rate of 10% compared to the existing national rate of 3% and is available until 30 September 2026.

Enhanced Capital Allowance Tax relief is available

for companies investing in qualifying new plant and machinery assets. The measure will make available a 100% enhanced capital allowance (also known as a first-year allowance) to companies operating within a tax site of Freeport East. This relief is available until 30 September 2026.

National Insurance Contributions (NICs)

for employers with a business premises within a Freeport East tax site can be applied at a zero rate on the earnings of all new hires up to £25,000 per annum for 36 months. The employee must spend 60% or more of their working time at the tax site.

Employers will get relief on National Insurance Contributions (NICs) for all new hires starting in April 2022 until April 2026. This relief will be available for the full 36-month period. The intention is to extend it for up to an additional five years, pending a review.

Up to 100% business rate relief over 5 years for eligible businesses

within a Freeport East tax site, and certain existing businesses where they expand, until 30 September 2026. This relief will be available for five years meaning that if a business first received relief on 30 September 2026, the relief may be applied up to 29 September 2031.