CUSTOMS BILL
“New bills on trade and customs will help to
implement an independent
trade policy”
The purpose of the Bill is to:
• Provide new domestic legislation to replace EU
customs legislation and modify elements of the indirect taxes
system. This will allow the UK to operate standalone customs and
indirect taxes regime on exit from the EU, whatever the outcome
of the negotiations.
The main benefits of the Bill would
be:
• To allow the Government to operate standalone
domestic customs and indirect taxes regimes when the UK leaves
the EU, whatever the outcome of negotiations. The Bill will allow
the UK to continue to provide a world-leading customs service
after the UK exits the EU. In order to provide continuity for
businesses, the customs legislation will mostly be based on
existing EU law.
The main elements of the Bill are:
-
To provide a domestic legislative framework allowing the
Government to:
-
charge customs duties on imported goods and adjust the
rates of these duties;
-
collect payments of customs duties, administer the
customs regime, and tackle duty evasion;
-
control the import and export of goods.;
-
accommodate potential negotiated arrangements with the
EU.
Territorial extent and application
-
The Bill would apply to the UK. Customs, VAT, and excise
regimes are reserved matters.
Key facts
-
The UK delivers a highly effective customs service. The
UK maintained 5th place
globally in the World Bank logistic performance index in
2016.
-
The UK handled 55 million customs declarations in 2016 -
99% of them electronically.
-
The UK annually collects around £28 billion in import
VAT, nearly £8 billion in excise duties on imports, and over £3
billion in Customs Duty.
