As Britain is preparing to leave the European Union, the U.K. government just presented a 206-page manual for how the country will trade with the EU starting January 1st 2021.

The plan includes:

  • Smart Freight System, a system that allows truckers to file information electronically and receive approval from the tax authorities before being allowed to travel toward the U.K.-EU border.
  • A new government computer system, hauliers will still need permission before moving goods to the U.K.-EU border.
  • Spending of 705 million pounds ($883 million) on border infrastructure.

Given the changes, the government has urged businesses to get help. "The U.K.’s tax authority has previously estimated that, after Brexit, firms will need to file 400 million extra customs declarations annually, at an average of 32.50 pounds each."

Unfortunately things won't be as they were before, now exporters will soon need to obtain Economic Operators Registration and Identification number, work out the code for their goods and calculate their value.

Their advice? “Get someone to deal with customs for you.”

We've summarized the original article from Bloomberg. To read the full article, click on the below link:
https://www.bloomberg.com/news/newsletters/2020-07-14/supply-chains-latest-brexit-plan-spells-out-u-k-paperwork-pain?srnd=economics-vp