Important BREXIT update
In the result of a no deal Brexit, HMRC have taken additional steps following the newly announced measures which incorporate Transitional Simplified Procedures.
As of 13th March 2019 HMRC have announced details of a temporary tariff system in case of a vote on a no deal Brexit.
The temporary system is proposed to apply for 12 months and HMRC will be carefully supervising the results of the tariffs on the economy.
Click here for more information on this subject and the direct link to the HMRC brief.
In brief, in the case of a no deal UK businesses will not pay customs duties on a variety of goods which will be imported to the UK. The procedures will cover 87% of the UK’s total imports by value. Some foods, automotive, ceramics, fertiliser, fuel and goods from developing countries will be subject to tariffs which will occupy the outstanding 13%. HMRC proposed measures show their commitment to preparing for all possibilities although the Government’s focus is to secure a deal. Furthermore, confirmation of a temporary method will be taken to avoid new checks and controls on goods at the Northern Ireland land boarder. Please note these temporary import tariffs do not affect any goods crossing the Republic of Ireland to Northern Ireland. Lastly, we would like to note these tariffs will concern all trading partners equally, aside from those which the UK has a free trade agreement with. Moreover, many developing countries will also benefit from preferential access to the UK market.