The long farewell: leaving the EU (news flash)

The first, the Customs Bill:  Legislating for the UK’s future customs, VAT and excise regimes sets out the Government’s approach for legislation for a free and frictionless boarder for trade in goods. The paper does not set out details of what the arrangements might look like as these are subject to negotiation. But, it does pave the way for a transition period to enable businesses in the UK and the EU to prepare for changes. We expect a ‘Customs Bill’ to be published this autumn to provide for ‘most negotiated outcomes’ relating to customs, VAT and excise regimes for cross border transactions. The Bill will essentially allow the government to create a standalone customs regime and to allow VAT and excise regimes to continue to function whatever the outcome of the negotiations.

The second, Preparing for our future UK trade policy explores the Government's approach to establishing an independent international trade policy as the UK exits the EU. The Government wishes to develop its own trade policy, to ensure that UK and EU businesses and consumers can continue to trade freely with one another while also boosting trade relationships with ‘new allies’ outside of the EU. This is not a new message but it is clearly subject to detailed negotiations on the exit from the EU. What any trade deal might look like, remains to be seen.

While there is no deadline for providing feedback to the customs white paper, responses are encouraged by 3November. Responses to the UK trade policy white paper should be given by 6November. 

Contributor: Gemma Davis, senior associate, Penningtons Manches