EU VAT clearance is worth a lot of money, or more importantly saves a lot of money. Essentially, if a Superyacht leaving an EU shipyard makes her first port of call outside of the EU all the work done in the yard can be exempt from VAT.
Is this a new thing?
For the UK yes it is, but in general no. Yachts leaving Dutch or German yards for example always used to go to Norway for their VAT clearance because Norway isn’t part of the EU.
So what has changed?
Nobody likes to use the word but BREXIT is what changed the game somewhat. Now the UK is no longer part of the EU, Superyachts leaving Northern European yards can head south to the UK rather than North to Norway. This is particularly beneficial in winter as, although the UK weather is not great, it tends to be a lot less frosty than Norway in December. Plus the UK tends to be en route to wherever the yacht in question is heading next. EU VAT clearance achieves the same thing wherever you do it but at least in the UK there are multiple benefits.
What are the benefits of doing EU VAT clearance in the UK?
Winter accessibility: Norway tends to be off limits to most yachts in winter due to weather. The UK definitely doesn’t have great weather in the winter but at least the sea doesn’t freeze! As we see more and more yachts leaving yards between November and February this is a serious consideration.
Formalities in the UK are substantially cheaper than most other places. Here at MGMT your VAT clearance is included as part of your customs and immigration fee. We charge a flat rate for this depending on size starting at £950 +VAT to a maximum of £1500 for the largest yachts.
Most yachts that come to us in winter stay for a while. This is either for some downtime, to avoid bad Atlantic weather or have a Christmas boss trip. London is one of the greatest and most diverse cities on earth and is stunning at Christmas. Yes of course the Caribbean is lovely but Christmas in London is also pretty hard to beat!
Of course the UK in Summer is a different story altogether. We are seeing so many more yachts cruising the entire UK in the summer each year. MGMT produces detailed and bespoke itineraries for all of these yachts to suit the individual tastes of the owners and guests on board. But more of that another time. Most yachts come in for VAT clearance and then return with guests the following summer. What the UK has to offer guests is so diverse most yachts have to return at least twice to experience it all!
Our services extend far beyond VAT clearance. As the UK’s largest dedicated Superyacht agent we can do literally anything you need. Have a look at our brochure here to give you a better idea
So, whether it is EU VAT clearance, a quick stop in for fuel after leaving the yard, or an extended stay and guest trip we look forward to showing you what we at MGMT and the UK have to offer.