Customs duty from Canada to United Kingdom: Import Duty Guide

Key Takeaways

• The UK-Canada Trade Continuity Agreement, in force since 1 April 2021, rolls over the EU-Canada CETA’s terms and gives 0% duty on qualifying originating goods.
• Canada and the UK are also both CPTPP members, giving a second, overlapping route to preferential treatment for some product categories - Canada was a founding CPTPP member, and the UK acceded in December 2024.
• Talks on a permanent, upgraded UK-Canada FTA began in March 2022 but stalled in January 2024 over hormone-treated beef and cheese tariff quotas - no replacement deal has been confirmed since.
• The UK imported an estimated £15.6 billion in goods from Canada in the four quarters to the end of Q1 2026 - a fraction of the volume from Germany, China, or the US.
• 20% VAT and the £135 duty-free threshold apply the same way they do for any other origin.

Canada-UK Trade at a Glance

Canada is a comparatively small source of UK goods imports next to the site’s other tracked lanes. The UK imported an estimated £14.5 billion in goods from Canada in the four quarters to the end of 2025, rising to about £15.6 billion in the four quarters to the end of Q1 2026 (gov.uk Canada Trade and Investment Factsheet, July 2026) - roughly a fifth the size of the Germany or China lanes.

Is There a Free Trade Agreement Between Canada and the UK?

Yes, through two overlapping routes. The primary one is the UK-Canada Trade Continuity Agreement, in force since 1 April 2021, which rolled over the terms of the EU-Canada Comprehensive Economic and Trade Agreement (CETA) after Brexit rather than starting from scratch (gov.uk guidance; Global Affairs Canada). This continuity agreement was always meant to be temporary, replaced eventually by a permanent, upgraded bilateral deal - negotiations for that began in March 2022, but collapsed in January 2024 after the UK declined to change its food-safety rules on hormone-treated beef, and a time-limited side deal on Canadian cheese tariff-rate quotas expired at the end of 2023, restoring tariffs as high as 245% on some cheese categories (BBC; CITP). As of this writing, no confirmed date has been set for resuming or concluding an upgraded agreement - the continuity agreement remains what’s actually in force.

Separately, Canada and the UK are both members of CPTPP (the Comprehensive and Progressive Agreement for Trans-Pacific Partnership) - Canada as a founding member, the UK having acceded in December 2024. This gives a second, independent route to preferential treatment for goods that qualify under CPTPP’s own rules of origin, on top of whatever the continuity agreement already covers.

How Much Will You Pay Importing from Canada to the UK?

The FTA column in the table below reflects CPTPP-qualifying treatment specifically, since that’s the agreement this site’s sourced product-level data can confirm rates against. The bilateral continuity agreement likely extends similar 0% treatment to many of the same product categories, but its own product-by-product rate schedule isn’t yet included in that table - check the specific commodity code against both agreements before assuming a rate, since rules of origin differ slightly between the two. Outside of whichever agreement applies, the standard mechanics hold: below £135 (CIF value), 20% VAT only; above £135, 20% VAT plus the applicable duty rate plus a courier handling fee.

Shipping and Customs Practicalities from Canada

Canada Post parcels bound for the UK are handed off to Royal Mail for final-mile delivery rather than routed through a separate Canadian courier network in the UK. Royal Mail publishes its own gift-specific allowances distinct from the general £135 threshold: gifts valued up to £39 are duty- and tax-free, gifts between £39 and £135 may attract VAT but not duty, and gifts over £135 are treated the same as any other import (Royal Mail, Send Parcels & Letters to Canada). Non-gift goods follow the standard £135 threshold regardless of origin. A CN23 customs declaration is required on postal items from Canada, as with any international shipment outside the UK-EU customs arrangement.

Frequently Asked Questions

Is there a Canada-UK free trade agreement?

Yes - the UK-Canada Trade Continuity Agreement, in force since April 2021 and rolling over the EU-Canada CETA’s terms, plus overlapping coverage through both countries’ CPTPP membership. A planned permanent, upgraded replacement has been stalled since talks collapsed in January 2024.

Why did the permanent UK-Canada trade deal negotiations stall?

Talks broke down in January 2024 over the UK’s food-safety rules on hormone-treated beef and the expiry of a temporary deal on Canadian cheese tariff quotas, which saw tariffs on some cheese categories rise as high as 245%. No resumption date has been confirmed since.

Does CPTPP membership give Canada extra benefits beyond the continuity agreement?

It can, for goods that specifically qualify under CPTPP’s own rules of origin - this is a second, independent agreement alongside the bilateral continuity agreement, not a replacement for it, and the two don’t necessarily cover identical product categories or rates.

How does Canada compare to the UK’s other major import sources?

Canada is much smaller - around £15.6 billion in UK goods imports in the four quarters to Q1 2026, compared to roughly £89.8 billion from Germany or £69.7 billion from China over a similar period.