Brexit Preparation Guide (2) - Customs Export Declarations

On the 15th of August the Government released their policy paper 'Future Customs Arrangements: a future partnership paper' on proposed customs arrangements with the EU post-Brexit. They proposed a 'limited-time interim period' where both UK and EU business would benefit from time to fully implement the new customs arrangements, in order to avoid a cliff-edge.

The document identifies two broad approaches to a border with the EU, but there is very little of substance to help UK business plan ahead. The first approach 'a highly streamlined customs arrangement' involves utilising the UK’s existing third country processes (NES export declarations to HMRC) for UK-EU trade. The second approach 'a new customs partnership with the EU' would seek to align customs with the EU in a way that removes the need for a UK-EU customs border. This is qualified in the policy paper with the statement 'This is of course unprecedented as an approach and could be challenging to implement'.

On the surface, option one seems the most likely of these two options and would certainly be the fallback position, should the 'alignment approach' fail. Under this scenario port infrastructure would look to be improved for 'as frictionless a customs border as possible', but Export and Import goods would need to be declared to HMRC, as per current third country rules.

HMRC has estimated there are 192,000 exporters in the UK who ship goods to EU countries, but have never shipped outside the EU to third countries. If your company fits into this category, read the guide below to find what you would need to do to declare goods for export.

Brexit Preparation Guide - Supply Chain Mapping

Supply chain between the UK and Europe is an area that will be greatly affected over the coming years by the UK's withdrawal from the EU.

Though the exact nature of the changes will not become apparent for some time, mapping supply chains can help companies understand both the risks and the opportunities these changes might bring.

Whatever the outcome of Brexit negotiations, it is wise to start that planning now, to ensure you remain competitive in the changing market. Early and effective scenario planning combined with analysis of the potential consequences of a post-Brexit economy might even improve your position.

Could a Conservative Parliamentary election victory mean a 'Softer' Brexit & what would this mean for International Traders?

Having called a snap election, the Conservative Party is currently 21 points ahead in the first election poll since the announcement. On news of the election, the pound rose to a six-month high, largely due to speculation that five more years until the next election would lead to a 'softer' Brexit. How would a 'Soft' Brexit effect UK importers and Exporters?

What is CDS and why is it an important part of Brexit?

CDS stands for the 'Customs Declaration Services' programme and is a large scale implementation currently being undertaken by HMRC to replace the CHIEF servers (these are the servers which currently process all import, export & freight declarations). The new CDS system is due to be rolled out in December 2018, but the project has just been given an unofficial amber-red status by HMRC.