The UK Government has announced reforms to the Internal Market Act, aimed at simplifying cross-border trade between England, Scotland, Wales, and Northern Ireland. These changes are designed to reduce friction and give businesses greater confidence when trading across the UK.
Following feedback from businesses, the reforms seek to clarify the rules that apply across the four nations, while still respecting the ability of devolved administrations to set policies in line with local priorities.
What’s Changing?
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More consistent rules UK-wide – Businesses can expect clearer, more aligned regulations across borders, helping to avoid confusion or unexpected costs.
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Fewer internal trade barriers – Particularly in situations where differences in rules are minimal and don’t carry major economic consequences.
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Improved transparency and consultation – New processes will make it easier for businesses to engage with policy developments and share feedback.
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Devolved decision-making remains – Local governments retain control over regional policy, but in a more collaborative and business-aware framework.
Why This Matters
The UK’s internal market underpins more than £129 billion in trade annually – a crucial figure for many small and medium-sized enterprises. This is particularly significant for businesses in Scotland, Wales, and Northern Ireland, where trade with the rest of the UK often accounts for over half of their external commerce.
What Business Owners Should Consider
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Simpler trading within the UK – If your business operates across more than one UK nation, you may benefit from smoother processes and a reduced risk of falling foul of varying regulations.
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Stay informed – Watch for consultations and upcoming rule changes, especially in sectors like food, retail, chemicals, and manufacturing, where regulatory alignment is likely.
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Plan with greater certainty – Streamlined rules can offer more stability around pricing, logistics, and investment decisions.
This reform package could mark a positive shift for UK-wide trade, offering businesses more consistency and less red tape. If your operations span multiple UK nations, now is a good time to assess how these changes could benefit your business model.
See: https://www.gov.uk/government/news/improved-trade-rules-to-boost-business-and-growth-across-the-uk