Brexit: have your say on the future of customs

Brexit: have your say on the future of customs

The Government is calling on businesses, traders and the public to have their say on the future of customs.

The call for evidence comes after the introduction of full customs controls in January this year, forcing thousands of traders to change the way they do business.

Here’s how you can get involved.

What is happening?

This is your chance to make your views and opinions on the new customs regime heard.

The Government is asking businesses at the heart of international trade – such as traders, intermediaries, freight forwarders, fast parcels operators and hauliers – to describe their experiences and suggest changes to policy or processes that could be made to make the regime simpler, easier and more responsive to stakeholders’ needs.

The consultation comes after the launch of full customs controls on 1 January 2022.

What can I change?

HM Revenue & Customs (HMRC) is asking businesses to share their thoughts on:

  • Improvements to help traders access a quality customs intermediary sector
  • How the benefits of the Simplified Customs Declarations Process (SCDP) can be expanded
  • How the Transit facilitation can be improved.

How can I have my say?

The Call for Evidence will run for 12 weeks until 2 May 2022. Click here to get involved.

An opportunity to say “what’s going well and where things could be improved”

Commenting on the launch of the consultation, Lucy Frazer, Financial Secretary to the Treasury, said: “Our aim is for the UK to have the world’s most effective border by 2025. We’re taking this forward across a number of long-term programmes, including the Single Trade Window, which will streamline how traders share information with government.

“This call for evidence complements that by giving traders and the wider border industry the opportunity to have their say on what’s going well and where things could be improved.

“I would encourage as many people as possible to respond to this call for evidence via GOV.UK, so we can ensure we have a customs system that makes the UK the best place in the world to do business.”

Get advice today

For help and advice with related matters, please get in touch with our team today.

Half of firms “not confident” in trading with EU following introduction of full customs controls

Half of firms “not confident” in trading with EU following introduction of full customs controls

More than half of businesses are not confident in trading with the European Union (EU) following the introduction of full customs controls, a major study has found.

The research, published by the Institute of Export and International Trade (IOE&IT), suggests that traders are still getting up to speed with the new rules which came into force this year.

Here’s what the report says.

New rules tripping up traders

The survey shows that a large number of importers and exporters are still unfamiliar with the new customs controls that came into force on 1 January 2022.

This includes the requirement to make full import customs declarations and pay relevant tariffs at the point of import, as well as using the correct country code for the country of origin and the country of dispatch when you complete a customs declaration.

The new rules also introduce Sanitary and phytosanitary (SPS) checks on imports of agri-food products or products of plant origin from the EU in stages throughout 2022.

According to the poll, one in two (50 per cent) traders would not consider themselves “confident” in applying the new rules, with 16 per cent indicating that they are “not confident at all”.

But just two thirds (65 per cent) of businesses say they have undertaken additional training to adjust to the new post-Brexit trade rules and processes – suggesting why there may be a gap in knowledge and understanding.

A quarter (25 per cent) of firms have also not made any Brexit-related changes to their import or export arrangements.

Traders relying on external support

The report suggests that one in two (47 per cent) businesses have called on external support – such as a customs consultant or a freight forwarder – to deal with the new trade rules and processes, while one in five (21 per cent) firms have hired additional staff.

What support is available?

  • Firms can use the Export Support Service to ask questions about international trading, such as exporting to new markets, what paperwork you will need to sell your goods overseas, and rules for a specific country.
  • If you move goods in or out of Northern Ireland, the Trader Support Service will guide you through any changes due to the implementation of the Northern Ireland Protocol.
  • Complete the trader checklist to find out what actions you need to take to comply.

Get advice today

For help and advice with related matters, please get in touch with our team today.

Do you know the new UK commodity codes?

Do you know the new UK commodity codes?

From 1 January 2022, businesses may need to change the commodity codes they use for goods that they import or export overseas.

The changes come after full customs controls were introduced at the beginning of this year.

If you are an international trader, here’s what you need to know.

What are the new UK commodity codes?

The UK introduced its 2022 integrated tariff on 1 January 2022, incorporating the World Customs Organisation’s (WCO) changes to the Harmonised System Nomenclature.

Commodity codes are used to quickly classify goods for customs and tax purposes.

The full list of changes can be found here.

What do I need to do?

You must check whether the UK commodity codes for your goods have changed.

This is required to complete full import or export declarations and other paperwork, and to ensure that you pay the right Customs Duty and import VAT.

The new commodity codes may also help you check if you need a licence to move your goods, if your goods are covered by an existing trade agreement, or if your goods are covered by the Agricultural Policy, anti-dumping duties, UK safeguarding measures, or tariff quotas.

If you are not able to complete customs declarations yourself, you can get someone to deal with customs for you.

Where can I find the new commodity codes?

The Trade Tariff tool can help you find the right commodity code. To use the tool, you may need to identify the type of product being traded, the purpose of the product, the materials used to make it, the production methods used to make it, and the way it is packaged.

Get advice today

For help and advice with related matters, please get in touch with our team

What are the new rules for importing goods into Great Britain?

What are the new rules for importing goods into Great Britain?

Full customs controls came into force on 1 January 2022 – one year after the Brexit transition period came to an end.

If you import goods from Europe into Great Britain, here’s what you need to know.

What’s changed?

Until 31 December 2021, businesses were able to delay making declarations on goods – apart from controlled goods, such as alcohol, weapons, chemicals, or drugs – brought into Great Britain (England, Scotland and Wales) from Europe.

This meant that you could delay sending HM Revenue & Customs (HMRC) full information about your goods by up to 175 days after import.

Delayed imports were introduced after the end of the Brexit transition period to give traders time to prepare for new customs controls and procedures.

But from 1 January 2022, businesses are now required to make full customs declarations and pay any tariffs at the point of import.

What are the new rules from 1 January 2022?

  • Traders will have to make full import customs declarations and pay relevant tariffs at the point of import.
  • Your goods may be directed to an Inland Border Facility for customs checks if these checks cannot be done at the border. From this date, you must also submit an “arrived” export declaration if your goods are moving through one of the border locations that use the arrived exports process.
  • You must use the correct country code for the country of origin and the country of dispatch when you complete your customs declaration. The EU country code can no longer be used.
  • Pre-notification requirements of Sanitary and Phytosanitary (SPS) goods are required.
  • UK commodity codes have changed.

Future changes

Some customs controls have been delayed further to give businesses more time to prepare. This means:

  • Safety and Security Declarations at entry will not be required until 1 July 2022.
  • Certification and physical checks for all remaining regulated animal by-products, all regulated plants and plant products, all meat and meat products, and all remaining high-risk food not of animal origin will not be required until 1 July 2022.
  • High-priority plants and plant products checks will be transferred from the place of destination to designated Border Control Points (BCP) from 1 July 2022.
  • Physical checks on live animals will take place at designated border control posts where a facility is operational at the point of entry from 1 July 2022.
  • Certification and physical checks will be introduced for all dairy products from 1 September 2022.
  • Certification and physical checks will be introduced for all remaining regulated products of animal origin, including composite products and fish products, from 1 November 2022.

Get advice today

For help and advice with related matters, please get in touch with our team today.

New COVID financial support announced

New COVID financial support announced

Following the impact on businesses in England of the current ‘Plan B’ covid measures and the impact of Omicron on trade in the hospitality sector in particular, the Government has announced a new support package.

The package comprises three elements:

  • Dedicated support for the hospitality and leisure sectors in the form of one-off grants worth up to £6,000 per premises. There will also be more than £100 million in discretionary funding for local authorities to support other businesses.
  • The reintroduction of the Statutory Sick Pay Rebate Scheme (SSPRS) for employers with fewer than 250 employees. This will apply to up to two weeks’ COVID-related absence and is effective immediately, with employers able to make retrospective claims from mid-January.
  • £30 million for cultural organisations through the Culture Recovery Fund.

There will also be £154 million in funding to the devolved administrations in Wales, Scotland and Northern Ireland to provide similar support.

The grants for the hospitality and leisure sectors will be administered by local authorities and the Treasury says they will be available “in the coming weeks”.

For advice, contact us today.

What is the Export Support Service and how can it help my business?

What is the Export Support Service and how can it help my business?

With less than one month to go until the introduction of full customs controls, businesses are turning to the Export Support Service for crucial advice.

But what is the new platform and how could it help your business?

Here’s what you need to know.

What’s changing?

If you export goods and services to Europe, you will be impacted by several changes from 1 January 2022.

The new processes – known as full customs controls – will affect the way you handle customs declarations, border controls, rules of origin, and commodity codes, as well as how you will account for VAT and other fees and charges.

What is the Export Support Service?

Described as “all the support you need, all in one place”, the Export Support Service is the Government’s one-stop-shop for advice on European trade.

It was launched in October this year after businesses called for a single point of contact for exporters entering new markets.

Traders seeking to start or expand existing global trading operations can ask dedicated experts a range of questions, including:

  • Specific advice on exporting to new markets
  • What paperwork you will need to sell your goods abroad
  • How to make supplementary, export, and customs import declarations
  • How to navigate licences, certificates, and authorisations
  • Guidance on recognising professional qualifications
  • Queries around the rules of origin
  • Rules for a specific country or product, such as food, drink, medicinal, pharmaceutical, or animal-derived goods.

How do I use the Export Support Service?

Exporters can ask a question by phone using the details below, or ask a question online here.

  • Export support team
    Telephone: 0300 303 8955
    Textphone: 18001 0300 303 8955
    Monday to Friday, 8am to 6pm (excluding public holidays)
    Find out about call charges

Get advice today

For help and advice with related matters, please get in touch with our team today.

Plan B – What does it mean for you and your business?

Plan B – What does it mean for you and your business?

As infection rates of the Omicron COVID-19 variant rise across the UK, the Government has decided to implement its Plan B measures to restrict the spread of the virus.

Although this announcement was expected, and details of it widely publicised beforehand, here is what you need to know:

  • The return of work from home guidance – From Monday (13 December), office workers should work from home, where possible, to reduce the number of people they come into contact with. Anyone who cannot work from home, due to the requirements of their employment, should continue to go into work.
  • Mandatory Covid-status certificates in certain settings – From next Wednesday (15 December) ‘Covid passports’, demonstrating that a person has been vaccinated and taken a negative lateral flow test, will be required to enter some indoor and larger outdoor venues, including:
    • nightclubs
    • unseated indoor events with more than 500 attendees
    • unseated outdoor events with more than 4,000 guests
    • large outdoor events with crowds of more than 10,000 people.

A full list of conditions for this requirement can be found here.

  • Mandatory face coverings in more locations – From 9 December, the rules on face coverings will be extended to hospitality venues, such as cinemas, theatres and places of worship. However, they won’t be needed in places “where it is not practical to wear one”, like when eating, drinking or exercising.

At present, the Government hasn’t given any indication of additional financial support to help businesses with these rules.

However, these new measures for England are much less stringent than those announced last winter and many similar rules are already in place in Scotland, Wales and Northern Ireland.

While certain industries may experience a greater impact due to these changes, early indications are that the wider economy should be less affected due to the preparedness of many businesses.

Here for you

It is understandable, given the events of the last few years, that you may have concerns about the latest restrictions.

We just want to reassure you that whatever happens we are here and ready to offer our support, so let us know if you have any concerns.

Everything you need to know about the new WTO Services Domestic Regulation

Everything you need to know about the new WTO Services Domestic Regulation

New World Trade Organisation (WTO) rules are set to cut the cost of global trade by billions of pounds every year, it has been announced.

The Department for International Trade (DIT) – who helped broker the agreement – said the deal represents a massive win for service businesses in the UK.

Here’s what you need to know.

What’s changing?

The UK is among 67 WTO members to have agreed to implement the Services Domestic Regulation, a deal that will cut red tape around licensing and qualifications.

The other signatories include the US, China, Russia, Japan, Germany, France and Canada.

According to reports, the agreement could reduce service trade costs by around seven per cent per year – around £113 billion annually.

The regulation will cover approximately 90 per cent of global services trade, meaning Britain – the second-largest services exporter – will be among the primary beneficiaries of the new rules.

The deal comes after Britain formally joined the WTO as an independent member last year, following its departure from the European Union.

Benefits for British businesses

The DIT said the new regime will make it easier for small and medium-sized enterprises (SMEs), as well as larger businesses, to “navigate foreign markets and obtain authorisation to export overseas”.

Examples of just some of the benefits include:

  • Faster processing times for licensing applications
  • The acceptance of electronic copies of qualifications
  • An end to unreasonable and hidden fees.

“Historic deal” delivers trade rules “fit for the 21st century”

Commenting on the announcement, the Government said the “historic deal” delivers trade rules “fit for the 21st century”.

“As the world’s second largest services exporter, the UK is particularly aware of how important it is to cut red tape and get trade flowing to build back better from the pandemic,” said Secretary of State for International Trade Anne-Marie Trevelyan.

Miles Celic, Chief Executive Officer at TheCityUK, added: “This agreement will be celebrated by the UK’s financial and related professional services industry. It is an essential step towards removing the types of trade barriers most often experienced by services exporters.

“This necessary and innovative agreement will reduce costs for UK businesses, support women’s economic empowerment, and is a significant win for the WTO and wider multilateral economic cooperation.”

Get advice today

The new regulations are set to come into force from 2023.

For help and advice with related matters, please get in touch with our team today.

 

New digital export strategy to boost trade in wake of Brexit

New digital export strategy to boost trade in wake of Brexit

The Government’s new digital export strategy could boost international trade by billions of pounds every year, it has been suggested.

The report – published by the Board of Trade – outlines new measures and support that will help traders in the wake of Brexit.

Here’s everything you need to know.

How big is the UK’s digital trade sector?

According to the latest statistics, the UK exported over £200 billion worth of digitally delivered services in 2019. This includes everything from purchasing items online to streaming music.

While the 2020 figures have yet to be released, experts believe that the digital economy has exploded throughout the Coronavirus pandemic.

But the Government believes more can be done to help UK businesses capitalise on the “huge opportunities” digital trade presents.

How will the Government support digital businesses?

The report sets out a number of measures designed to break down barriers and help businesses export digital products and services around the world. This includes:

New trade deals –The Government is negotiating comprehensive digital provisions like those agreed with Japan, Australia, and New Zealand, and digital-focused agreements like the Singapore Digital Economy Agreement.

Export Academy – The Department of Trade’s Export Academy was recently expanded to help even more traders start or grow their international sales. You can find more on the Export Academy here.

Improving market access – The new strategy will focus on five primary goals. These are:

– Open digital markets;

– Free and trusted data flows;

– Consumer and business safeguards;

– Digital trading systems; and

– Partnerships to shape global rules, norms, and standards.

Export Support Service – Firms can use the Export Support Service to ask questions about international trading, such as exporting to new markets, what paperwork you will need to sell digital goods overseas, and rules for a specific country.

Sign up to the Trader Support Service – If you export digital goods to Northern Ireland, the Trader Support Service will guide you through any changes due to the implementation of the Northern Ireland Protocol.

Live webinars and videos – HM Revenue & Customs (HMRC) has published a range of helpful videos and webinars to support businesses in the wake of Brexit.

“Digital trade has taken centre stage in the UK Government’s trade strategy after Brexit”

The strategy has been widely welcomed by experts across the industry, such as techUK CEO, Julian David.

“Digital trade has taken centre stage in the UK Government’s trade strategy after Brexit. techUK is a longstanding advocate for, and supporter of, a UK strategy that combines advanced digital trade provisions in bilateral trade agreements with international regulatory cooperation,” he said.

“Today’s Board of Trade report outlines the right priorities for the UK to continue to advance its leadership, both in new bilateral agreements, like the Digital Economy Agreement with Singapore, and in multilateral forums, at the G7 and the WTO. We support the vision outlined in this report that allows the world-leading UK tech sector to scale up and offer their services to customers across the world and we will continue to work closely with the government to deliver on those promises.”

Get advice today

For help and advice with related matters, please get in touch with our team today.

Take advantage of the extension to the Recovery Loan Scheme

Take advantage of the extension to the Recovery Loan Scheme

Find out how your businesses can benefit from this Government-backed funding

Although much of the COVID-19 financial support has been withdrawn, the Government still wants businesses to access funding to aid their recovery.

That is why the Chancellor, Rishi Sunak, has extended the Recovery Loan Scheme until 30 June 2022 – instead of it ending on 31 December this year.

Intended to bridge the gap between the previous Coronavirus loans and regular credit conditions, the Recovery Loan could be worth up to £10 million per business, or up to £30 million across a business group.

However, as part of the extension to this scheme, certain criteria will change from 1 January 2022, including:

  • The scheme will only remain open to small and medium-sized enterprises
  • The maximum amount of finance available will decrease to £2 million, per business
  • The Government guarantee offered to lenders will fall from 80 per cent to 70 per cent.

To apply for the Recovery Loan Scheme, businesses need to check the list of accredited lenders on the British Business Bank’s website here.

Not sure if you are eligible or need help making an application?

Speak to us for assistance