Brexit

When and How?

On the 23rd June 2016, the British public voted in the referendum to leave the European Union, known as Brexit. As a result, Brexit will have an impact on the Customs arena and have major impact on businesses processes and compliance. It is likely to be a time of great change for importers, exporters, shipping and logistics professionals so being prepared and keeping up to date with changes is key.

On the 29th March 2017, Prime Minister Theresa May, triggered Article 50 of the Treaty of Lisbon, giving the UK 2 years to negotiate exit from the EU. No matter what happens at the end of the negotiation process, the customs and business landscape for border controls will change.

Implications On Customs

Not straight forward, but the divorce between the UK and the EU is happening. The next chapter is where the process will become very complex. Negotiating, agreeing and re-establishing trade relations with member EU states, understanding barriers to entry and how the ‘free movement’ will work are high priorities of concern for importers and exporters.

To date, the EU dictated customs regulations and the UCC is, for now, at the heart of the clear majority of UK processes and customs procedures that provide the legal basis for UK Customs regulations. After the UK leaves the EU, HMRC will no longer need and may not wish to follow the direction of customs policies in the EU. The UK government will be free to dictate its own international trade policy and act in the best interests of its citizens and businesses when it comes to custom control and regulations.

Brexit is likely to change how HMRC apply processes and what UK businesses must do to comply. During the negotiation period, it is likely that the direction of the UK and the EU Customs Union will be discussed in detail. Areas affected are likely to be free movement of goods into and out of the UK
Customs Procedure Codes, AEO, Duty Reliefs (GSP, ATR etc), Anti Dumping Duty, Tariff Suspensions, Movement of Road goods. These are just a few of the day to day processes we take for granted which are surrounded by EU legislation.

Considerations

Are you prepared and is your business ready? Do you know if and how your business processes will change? Are your shipping processes in good order before the changes start?

What are the critical issues that you may want to talk to your suppliers, customers or trade association about?

Have you considered becoming AEO approved sooner rather than later?

How Can We Help?

Let us document your process, identify pinch points and monitor the impact of negotiations as we approach exit from the EU.

We can represent your interest in trade negotiations and get your point across.

 

We’d love to hear from you, so please get in touch and lets work together!

Get a free compliance assessment for your business or discuss barriers to trade!