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This SME owner’s point on uncertainty matches many others, although there are points we do know on temporary exports
You may have seen web entries, or Google ads offering Brexit ATA Carnets. There is no such thing, whilst there could be superficial changes, the ATA carnet system operates under a global convention, not via the EU.
After the transition period, we officially leave the EU 31st January 2020. Carnets are not required for EU countries before then, although there is a high probability they will be after we leave.
We agree that the future remains unclear, political decisions on Brexit could politely be described as fluid. The London Chamber of Commerce and Industry, in conjunction with HMRC, have however planned in principle.
The intentions are:
No Deal Withdrawal – A no deal would leave the UK to operate on World Trade Organisation terms. Whilst confirmation is technically needed, the ATA carnet system is expected to be available for UK – EU temporary exports and imports.
Once within the EU, you would still in effect be within one country. A new ATA Carnet document, with the UK reclassified as a non EU member has been prepared, with amendments to reflect the change of status.
The security rate against value of goods is expected to be 40% across the EU. As with all aspects of an evolving situation, seeking clarification before travelling can do no harm.
Withdrawal Agreement – A deal of any form within the time frame is questionable but if one which includes temporary exports is finalised by December 2020, the position above may change.
The problem is of course that we don’t know how. Political soundbites of being rule makers, not rule takers may well be replaced with compromise, although remaining part of the single market looks improbable.
Possibly an extended ‘End use’ system could be brought in for some categories of goods. The option will remain of going through each country’s individual customs procedure, which may require a temporary import bond.
Each business will need to review options to see which are best for them and should plan for other contingencies, although the majority may share a conclusion.
The most straightforward, cost effective route for temporarily exporting goods to the EU is likely to be an ATA Carnet. They can be used in all EU and EEA member states and with import/export controls likely, they are the government’s current recommendation.
Useful Contacts
Our support team are available to help during business hours, on 01753 767819. They will naturally be kept up to date, on major, or micro changes. We are also starting to publish information on personal travel after Brexit, as far as this is known.
HMRC can be contacted via the Salford ATA Carnet Unit on 0300 057 9060, or the Imports & Exports Helpline on 0300 200 3700.
The latter can offer local contacts, as does our page listing carnet contacts at ports and airports. We can’t guarantee this is up to date in changing times but a few of the mobile numbers have proven invaluable.
Caught In The Overlap
If the UK leaves without a deal, there will be shipments, or hand carried items, caught within changing times. The following scenarios assume a carnet journey beginning before no deal and completing afterwards:
- 1. Goods shipped to a third (non EU) country on an ATA carnet and returning overland via the EU. In this situation, a set of transit vouchers will be required to cross the EU, or importation/re-exportation vouchers for a working visit.
- 2. Items destined for a third country are being sent via the EU on an ATA carnet and are still in transit at the time of no deal. For this case, our understanding is that the carnet will be allowed to stand and the journey completed.
- 3. Goods which entered the EU without a carnet before no deal but are returning after a no deal. In principle, duties may be payable. You could use proof of UK purchase to reclaim on return, or a duplicate list procedure for hand carried goods
In position 3, you may also be able to prove UK origin through your accounts, or inventories, or original shipping documents. HMRC acknowledge this will apply quite short term and are likely to use common sense.
That will hopefully be true in most scenarios, perhaps host countries will help by issuing any vouchers required, or simply waive the need for an about turn.
In conjunction with HMRC, the London Chamber have produced a pdf on what may happen if we leave on World Trade Organisation terms. This remains similar to information above, you are welcome to download, or read.
We do sympathise with the London Chamber, in changeable times, whatever they produce could be rapidly out of date. You are welcome to read our carnet news section, where Brexit developments and related export information are as current as possible.
Whatever takes place, you should be able to request support and information from your ATA carnet provider. Our staff are closely watching the situation unfold and will be happy to offer up to date advice.