How Brexit affects international trade

The consequences of the United Kingdom’s exit from the EU without an agreement

En el caso de que Reino Unido abandone la Unión Europea sin acuerdo previo, todos los

In the event that the United Kingdom leaves the European Union without a prior agreement, all trade between these states will be affected as the UK, for all intents and purposes, will be considered a third country.

This means that it will cease to have the benefits that all EU member states have:

• All VAT and special tax simplifications will be removed.
• Customs formalities and trade measures specific to the importation of goods from third countries will be reintroduced.

This will ultimately result in higher costs and a delay in the time taken to receive goods.

Importing into the UK after Brexit

To import goods into the UK, simplified clearances will be possible:

• The operator will present a summary declaration at the end of the month.
• The duty will be paid by the 15th of the month following the entry date of the goods.
• If registered in the UK, the operator will be able to settle their import VAT charges using a differed VAT system.

The effects of Brexit on importing into the EU from the UK

Products imported into the EU from the UK will be subject to customs procedures intended for the import of products from third countries, i.e. all benefits of being an EU member will be lost and to clear the goods:

• An import SAD must be submitted.
• Depending on the nature of the goods, certain certificates, checks, prior authorisations or licences may be required.
• Relevant duties must be paid without benefitting from any tariff reductions.
• VAT payments are on an accrual basis.

The consequences of Brexit on exports to the UK

Where goods are exported from the EU to the UK the following must be submitted:

• The relevant export declaration.
• Depending on the goods, certain additional documentation.

If the UK’s exit from the EU affects your exports or imports and you would like to receive further information, contact our customs team

By Asun Cano
Customs Department