Sunak Waives Taxes on Medical Kit as U.K. Lags on Virus Testing

(Bloomberg) --

U.K. Chancellor of the Exchequer Rishi Sunak waived import duties and value-added tax on vital medical equipment amid an escalating row over whether the National Health Service has enough of it to battle the coronavirus outbreak.

The measure, introduced on March 27, will remove tariffs of as much as 12% of the value of ventilators, protective clothing, virus testing kits and other gear coming from outside the European Union, the Treasury said in an e-mailed statement. The move is aimed at ensuring items reach health-care workers faster and making the U.K. a more attractive market for equipment makers based outside the EU, the government said.

“Dealing with coronavirus is a collective national effort and I will do everything I can to help us win this battle,” Sunak said in the statement.

Prime Minister Boris Johnson’s government is facing growing criticism as the U.K. falls behind other countries in testing the population for the virus. It has blamed the issue on global supply chain issues. It is also under pressure to increase the amount of protective equipment available for front-line nurses and doctors.

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