Since the UK’s departure from the European Union, businesses involved in importing and exporting have faced significant changes in customs procedures. Understanding these changes is crucial for compliance and efficient trading. In this blog post, we’ll explore how Brexit has altered UK customs declarations and what businesses need to know to navigate these new regulations effectively.
Changes in Customs Declarations Post-Brexit
- Customs Declarations for EU Trade
Before Brexit, goods moving between the UK and the EU were not subject to customs declarations. Post-Brexit, all goods traded between the UK and EU member states now require customs declarations, similar to trade with non-EU countries. This change means additional paperwork and compliance checks for businesses. - Import and Export Declarations
All goods entering the UK from the EU must now have an import declaration, and goods leaving the UK for the EU require an export declaration. These declarations must include:
• EORI Number: Businesses need an Economic Operator Registration and Identification (EORI) number to trade with the EU.
• HS Codes: Accurate classification of goods using Harmonized System (HS) codes.
• Commercial Invoice and Packing List: Detailed descriptions and values of the goods.
• Certificate of Origin: Indicates the origin of the goods if required. - Increased Border Checks
Goods moving between the UK and the EU are now subject to customs checks at the border. This includes potential physical inspections to ensure compliance with regulations. Businesses need to prepare for possible delays and ensure all documentation is accurate and readily available.
Impact on Tariffs and Duties
- Trade Agreements
Post-Brexit, the UK has negotiated various trade agreements with different countries, including a Trade and Cooperation Agreement (TCA) with the EU. These agreements influence tariffs and duties on goods. Businesses should familiarize themselves with the specifics of these agreements to take advantage of preferential rates. - Rules of Origin
To benefit from zero tariffs under the TCA, businesses must comply with rules of origin requirements, proving that goods originate in the UK or EU. Proper documentation and record-keeping are essential to demonstrate compliance with these rules.
Northern Ireland Protocol
The Northern Ireland Protocol adds another layer of complexity. Goods moving between Great Britain and Northern Ireland are subject to different rules:
• Goods moving from Great Britain to Northern Ireland: Customs declarations are required, but simplified procedures may apply for certain goods.
• Goods moving from Northern Ireland to Great Britain: Generally, no customs declarations are needed unless the goods are at risk of entering the EU.Understanding these specific rules is critical for businesses operating in or through Northern Ireland.
Steps to Adapt to Post-Brexit Customs Declarations
- Invest in Training and Resources
Ensure your staff is trained in the new customs procedures and regulations. Investing in appropriate software for customs declarations can also streamline the process. - Work with Customs Experts
Consider partnering with customs brokers or consultants who can provide expert guidance and ensure compliance with the new regulations. - Stay Informed
Keep up-to-date with the latest changes in customs regulations by regularly checking updates from HMRC and other relevant authorities.
Conclusion: Simplify Post-Brexit Customs with Flytta
Adapting to the post-Brexit customs landscape is challenging but essential for smooth trading operations. By understanding the new requirements and preparing accordingly, businesses can navigate these changes effectively. Flytta offers comprehensive customs declaration tools to help you manage these complexities. Our AI solutions stay automatically updated on all regulatory changes using direct integrations with HMRC, ensuring your compliance and streamlining your customs processes.
Completing UK customs declarations is a detailed process requiring accuracy and attention. By following these steps, you can navigate the system more effectively. However, if you prefer the easier way and cost-effective way, Flytta offers comprehensive customs declaration services. Our automated trade system:
- Prepares your declaration and sends it to the relevant software (Descartes E-customs, ASM Sequoia or Cargowise)
- Automatically collects all of your trade documents such as invoices, packing lists etc.
- Identify and assigned Commodity Codes
- Calculates all Duty and Taxes
Contact Flytta today to learn more about our comprehensive customs clearance solutions and how we can support your import and export activities.