Please find below this week’s EU Exit and Trade update from the BEIS Infrastructure and Materials team. In this edition, we cover information on the following:
- Further guidance for importing into Northern Ireland from Ireland, including on import VAT
- Guidance from specific EU Member States for UK businesses in the event of a no-deal Brexit
- Details of more webinars from HMRC and BEIS
- Update to REACH Legislation
- Additional guidance on when ‘placing on the market’ is considered to have taken place
- Details for a new Home Office contact centre for enquiries on its Settlement Scheme for current EU27 workers in the UK; and
- New information added about the exhaustion of Intellectual Property rights
If there is no change to the current legal timetable for the UK’s exit from the EU (this time next week), I will write again with a recap of the main actions businesses need to take and details of how to get in touch with the different Government Departments if you have questions.
Further guidance for importing into Northern Ireland from Ireland, including on import VAT
HMRC have published new guidance for businesses who move goods from Ireland to Northern Ireland if UK were to UK leave the EU without a deal. In short, for most goods crossing between Ireland and Northern Ireland will not be subject to Customs Duty or customs declaration. However, in a no deal scenario, import VAT will become due on goods that move from Ireland to Northern Ireland at the relevant rate. UK businesses will be able to account for import VAT in two different ways depending if they are VAT registered and non-VAT registered. The VAT procedures for moving goods from Ireland into Northern Ireland are summed up here. Businesses moving goods into Northern Ireland from any other country, or from Ireland directly to Great Britain, should follow the relevant customs procedures outlined here.
Guidance from EU Member States for UK businesses in the event of a no deal Brexit
If the UK leaves the EU without a deal, customs processes and documentation for importing and exporting goods will change. EU countries may impose different requirements on their side of the border. In practical terms, this means border controls will resume and the free movement of capital, goods, services and people (workers, students and travellers) will cease. Previously, we shared no deal preparations for France, and have now included links to no deal advice for Belgium, Netherlands and Spain. You may want to familiarise yourself with any processes that you may need to comply with if the UK becomes a third country to the EU.
HMRC and BEIS Webinars: Importing & Exporting in a potential no-deal EU Exit
There are two webinars being run next week, the first covering basic customs procedures on Monday 8 April 10-11am and the second covering customs procedures alongside VAT, goods regulations/CE marked products and general sources of EU Exit information, to be held on Thursday 11 April 11-12pm.
Businesses can register to participate in Thursday’s webinar here.
Update to REACH Legislation
DEFRA has laid a short amending Statutory Instrument (SI) that will address two specific concerns raised by industry about ensuring continuity of registrations of imported chemicals at the point of no-deal exit. Since laying the REACH SI on 9 January, a number of stakeholders have raised two technical points regarding the scope of the ‘notification’ transitional provisions for existing UK Downstream Users. In response to industry’s concerns and suggestions, DEFRA has laid an amending SI to clarify that:
- UK-based Only Representatives (ORs) will be able to make notifications for imports sourced by existing UK Downstream Users (DUs) and distributors. If the notification is completed by an OR within 180 days of the UK leaving the EU, the DU or distributor is exempted from the duty to notify. DUs and distributors sourcing from the EU/EEA are advised to liaise with their suppliers, to ensure that a notification is completed by one or other party within 180 days.
- Notification provisions apply to imports from 3rd countries coming to the UK directly, if covered by a registration held by an OR based in another EU/EEA country.
The amending SI and explanatory notes are available here. The SI will now make its way through the parliamentary processes, with the intention that it will come into force at the point that the UK leaves the EU, supporting continuity for UK-EU supply chains. Guidance on the HSE website will be updated to reflect these provisions.
Additional guidance on when ‘placing on the market’ is considered to have taken place
The Home Office has a new contact centre for enquiries on its Settlement Scheme for current EU27 workers in the UK
Intellectual Property – new information added about the exhaustion of rights
Please see IP and Brexit the Facts