The UK will be leaving the customs union on 31st December 2020.
What happens next is dependant on whether or not we can secure a trades deal with the EU.
Outcome 1:
We secure a free-trade agreement and carry on a tariff free relationship with the EU.
Outcome 2:
Customs declarations
- From 1st January 2021 members of the EEA (European Economic Area) will need to make customs declarations whenever goods enter or leave the UK.
- The simplest way to do this is by using an intermediary (custom agent, freight forwarder etc)
- Otherwise, a declaration can be made online via the CHIEF system (Customs Handling of Import and Export Freight)
Duty Deferment
- A duty deferment account allows business to make a payment for tax and duties once a month rather than on every individual consignment
EORI Number
- An Economic Operators Registration and Identification number will be required for businesses that move goods between the UK and EU.
- There are increased costs for someone without an EORI number- eg storage
- EORI not needed for service only businesses
- EORI number takes 10 minutes to apply for and takes a week to come through
As a response to COVID-19 the UK government have decided to put back full border checks for EU consignments coming in to the UK. This is delayed until 1st July 2021.
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