John Paul Scally is head of Lidl Ireland, which has a 12% share of the market

German discounter Lidl has fired the first shot in the battle over who should bear the financial brunt of a no-deal Brexit, indicating to British suppliers that it expects them to pay EU import tariffs for goods delivered to its Irish business.

Lidl wrote to suppliers last week asking for confirmation that they would be “delivery duty paid-ready” as the chances rise of the UK leaving the single market bloc without a deal on October 31.

If goods are sent with delivery duty paid, the seller bears the costs and risks of transporting them to their destination. That would include tariffs on exports to the EU, which would come into force automatically in a no-deal scenario under World Trade Organisation rules.

“Lidl obviously believes we