Duty-free limit to rise

International jet-setters will have reason to celebrate and more drink due to a new EU directive that raises the duty-free limit.

New regulations will allow air travellers to import £340 worth of goods compared to the old limit of £120 and the wine allowance will double to four litres.

Chancellor Gordon Brown has been campaigning for a £1,000 limit but other EU states are said to be worried about a flood of cheap goods from Eastern Europe. To ease fears, land and sea travellers will have a lower tariff of around £160, but limits on perfume are to be abolished.

The old system was instigated in 1969 and EU tax Commissioner Laszlo Kovacs said that the new system was "disproportionate" in the amount of tax gained for costs involved.

However, limits on spirits are to remain, as are cigarette allowances, which can now be lowered at a national level.

All EU countries will have to apply the same limits and Britain cannot raise its allowance, but the new rise is likely to cheer those who regularly take trips abroad.