A new paper setting out proposals for a future customs
relationship with the EU has been unveiled today by the
Government in the first of a series of papers on the UK’s future
partnership with the EU.
The document highlights the UK’s strong starting position
and how we can build on the strong foundation through two broad
approaches:
-
A highly streamlined customs arrangement between the UK
and the EU, with customs requirements that are as
frictionless as possible. This would aim to continue some
existing arrangements we have with the EU, reduce or remove
barriers to trade through new arrangements, and adopt
technology-based solutions to make it easier for businesses
to comply with customs procedures.
-
A new customs partnership with the EU by aligning our
approach to the customs border in a way that removes the need
for a UK-EU customs border . One potential approach would
involve the UK mirroring the EU’s requirements for imports
from the rest of the world where the final destination is the
EU.
The paper also sets out new details on an interim period
with the EU. The proposed model, which would mean close
association with the EU Customs union for a time-limited period,
would ensure that UK businesses only have to adjust once to a new
customs relationship. This would minimise disruption and offering
business a smooth and orderly transition.
Secretary of State for Exiting the EU said:
“The approaches we are setting out today will benefit both
the EU and UK and avoid a cliff-edge for businesses and
individuals on both sides.
“The way we approach the movement of goods across our
border will be a critical building block for our independent
trade policy. An interim period would mean businesses only need
to adjust once to the new regime and would allow for a smooth and
orderly transition.
“The UK is the EU’s biggest trading partner so it is in the
interest of both sides that we reach an agreement on our future
relationship. The UK starts from a strong position and we are
confident we can deliver a result that is good for business here
in the UK and across the EU.”
Chancellor of the Exchequer, said:
“Our proposals are ambitious, and rightly so. They set out
arrangements that would allow UK businesses to continue to trade
with their European partners in the future, while expanding their
markets beyond the EU.”
“And in the near term they will reassure people and
companies that, the day after we leave the EU, they will still be
able to go about their business without disruption as we make a
smooth transition to our bright future outside the EU and deliver
a Brexit that works for Britain.”
The leading document crucially sets out that the UK will be
guided by what delivers the greatest economic advantage to the
UK, and by three key objectives: to ensure trade with the EU is
frictionless as possible, to avoid any form of hard-border
between Ireland and Northern Ireland and to establish an
independent international trade policy.
International Trade Secretary, said:
“Leaving the Customs Union will allow us to operate a fully
independent trade policy in Britain’s national interest which
will benefit UK businesses and consumers.
“We will seek a new customs arrangement that ensures that
trade between the UK and the EU remains as frictionless as
possible and allows us to forge new trade relationships with our
partners in Europe and around the world".
As we leave the EU and establish an independent trade
policy, the Government will prioritise ensuring that the UK and
EU businesses and consumers can continue to trade freely with one
another as part of a new free trade agreement. In 2016, UK
imports and exports from the EU totalled £553 billion
alone.