British retailing giant Marks & Spencer has warned that new EU customs rules, which will impose a charge of €3 on every item shipped from the UK to Ireland, could negatively affect its Irish business. As a result, it is calling for an exemption on the duty for UK-Ireland trade.
The new EU customs rules, due to be introduced on July 1 st , mean that online purchases from outside the EU will incur a charge of €3 per item. Previously, provided that they were valued at less than €150, such goods did not require import duty to be paid by consumers when they were sent to Ireland, under the so-called “de minimis” regime.
Now, amid concerns over the impact cheap Chinese imports from retailers such as Shein and Temu is having on the competitiveness of the European Union, new charges will apply from July 1 st .
These include a €3 per item charge, and possible administration fee of €6.95 from An Post. In addition, the European Commission is to introduce a handling charge per order in November of about €2.
British retailers have been shutting up shop around Ireland in recent years, including brands such as Claire’s Accessories, New Look, Russell & Bromley and Ted Baker. Now it is feared that Irish consumers may face similar challenges when looking to buy online with UK-based retailers, as the introduction of a new customs duty might make selling across the Irish Sea unviable.
A spokeswoman for Marks & Spencer (M&S) told The Irish Times that the changes “add significant cost and complexity to M&S operations in Ireland”. As a result, she said the changes risk undermining its ability to offer a full product range to Irish customers, “as well as impacting future investment decisions”.
The retailer, which posted Irish revenues of some €371 million in the 12 months to the end of March 2025, and employs more than 1,000 people here, recently invested €10 million “to lower prices for our customers in Ireland and remain committed to offering trusted value”.
Now it fears the new charge might affect its ability to do business here. As a result, it is calling for trade between the UK and Ireland, likely of the order of the previous €150 limit, to be excluded from the charge.
“We would welcome a de minimis exemption between the UK and Ireland to avoid unnecessary costs for retail businesses and customers,” a spokeswoman said.
Aidan Finnegan, deputy director general of the British and Irish Chamber of Commerce, said the chamber has been advocating on the issue on behalf of their retailing members, at Irish, UK and EU level.
Finnegan said the new customs duties could make it “unviable for some retailers” to continue trading online in Ireland.
He highlighted the concerns among its members, including one, who sells 90 per cent of their stock under the €150 threshold, and another, who has set aside €7-€10 million for the additional costs associated with the change.
“It will be tough on Irish consumers at the end of the day,” Finnegan said, noting that they will likely face less choice when shopping online with UK retailers, and higher prices.
Under the Windsor Framework, the new rules will not affect online trade from Northern Ireland to the Republic. According to Revenue, “there is no impact on all-island trade” and customs duty is not payable on such trade.
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