Government publishes updated GB-EU Border Operating Model

Containers

The UK Government has ramped up preparations for the end of the transition period by publishing an updated Border Operating Model, which provides further detail on how the GB-EU border will work and the actions that traders, hauliers and passengers need to take.

The updated Border Operating Model gives traders further information on the changes and opportunities they need to prepare for as a result of the UK leaving the EU Single Market and Customs Union. These steps will be needed regardless of whether the UK reaches a trade agreement with the EU.

Key points of the updated Border Operating Model include:

  • Mapping out the intended locations of inland border infrastructure. The sites will provide the necessary additional capacity to carry out checks on freight.
  • An announcement that passports will be required for entry into the UK from October 2021 as the Government phases out the use of EU, EEA and Swiss national identity cards as a valid travel document for entry to the UK.
  • Confirmation, after extensive engagement with industry, that a Kent Access Permit will be mandatory for HGVs using the short strait channel crossings in Kent. The easy-to-use ‘Check an HGV’ service will allow hauliers to check if they have the correct customs documentation and obtain a Kent Access Permit.

In a further move to support the customs intermediaries sector, the Government is also announcing that it will exercise an exemption within EU state aid rules to increase the amount of support that businesses can access from the Customs Grant Scheme. To date, the Government has provided more than £80m in funding to support the customs intermediary sector with training, new IT and recruitment.

You can find the official news story on the UK Government website which includes a link to the updated Border Operating Manual itself.

If you’d like to discuss this news, or trading with the EU more generally, please contact us.

UK and Japan agree historic trade agreement

UK strikes trade deal with Japan

The UK has secured a free trade agreement with Japan, which is the UK’s first major trade deal as an independent trading nation.

The government says that the deal (agreed in principle on Friday 11th September) is tailored to the UK economy and secures additional benefits beyond the EU-Japan trade deal, giving UK companies exporting to Japan a competitive advantage in a number of areas.

The deal is also being seen as an important step towards joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This would give UK businesses a gateway to the Asia-Pacific region..

You can read more details of the deal on the Institute of Export website and the UK Government website.

If you’d like to discuss this news, or trading with the Asia-Pacific region more generally, please contact us.

 

£50m grant scheme now open

Applications are now open to access £50m of funding to boost UK customs intermediaries

HMRC and PWC have announced that intermediaries can now apply for funding from the £50m grant scheme in order to increase their capacity to make customs declarations and to help meet increased demand at the end of the transition period on 1 January 2021.

HMRC have acted on feedback from stakeholders and applicants and changed the structure of the grant scheme in order to improve it.

Eligible organisations include those that operate as, or intend to operate as:

  • Customs intermediaries (such as customs brokers, fast parcel operators and freight forwarders);
  • Traders who make their own customs declarations; and
  • Organisations which recruit, train and place apprentices into businesses to undertake customs declarations.

Your organisation must also have been established in the UK for at least 12 months prior to application.

The grant supports:

  • Costs associated with recruitment and hiring of new employees to complete customs declarations or other declarations required to complete customs processes;
  • Training costs for organisations who complete customs declarations; and
  • Funding for IT which is directly related to increasing capacity or productivity within the customs brokerage function.

Applications are considered on a first come, first served basis. The scheme is currently set to run until 30 June 2021, or when the funds are allocated. Early applications are encouraged to avoid disappointment.

If you have an open application that you have created but not yet submitted, you have until 5 August 2020 to do so.

For further information, visit the PWC website FAQ page here.

If you are a grant holder looking for a customs training provider, we can design a training package specifically for your business. Please visit our Customs Training page, or contact us for more details.

HMRC updates guidance on AEO

HMRC has updated their guidance on AEO, adding clarity to the application process itself.

The HMRC Guidance page, ‘Check if Authorised Economic Operator status could benefit you‘ is an excellent summary of the benefits of AEO and how to apply.

Since the launch of AEO back in 2008, VARTAN has proudly supported over 100 companies in acheiving their AEO accreditations. Understanding HMRC’s expectations allows VARTAN’s experts to mitigate any risks or issues that could impede an application.

If you’d like to discuss AEO’s benefits and the application process, please contact us.

What about Brexit?

For about three years we hardly heard about anything else in the UK. Now, of course, the focus is on the coronavirus pandemic.

It would be easy to forget that we are in a transition period up to 31 December. The BBC’s Europe Eeditor, Katya Adler, reminds us that there has only been one round of EU-UK trade negotiations so far. Will any real progress be made by video conference?

You can read Katya’s article here.

If you need advice on Brexit and its impact on Customs, imports or exports, please contact us.

BIFA welcomes new CDS timetable

Feight forwarders say HMRC is acting pragmatically

The British International Freight Association (BIFA) has welcomed the latest announcement by HM Revenue and Customs (HMRC) of an extension to the implementation timetable of CDS – the new computer system which will replace CHIEF.

The announcement means that traders will not need to move from CHIEF to CDS by the end of September 2020 as originally scheduled and dual-running of both systems will continue with CHIEF remaining operational beyond 2020.

For the full story please see the BIFA website here.

For advice on this, or any other Customs, import or export topic, please contact us.