Government sets out vision for post EU trade and customs policy

10 Oct 2017 12:39 PM

Trade and customs white papers pave the way for legislation that will ensure the UK is ready for the first day after EU exit.

The government has taken a significant step in preparing to leave the EU by setting out arrangements for post-Brexit trade and customs policy.

Trade and Customs White Papers published yesterday paved the way for legislation that will ensure the UK is ready for the first day after exit.

The Trade White Paper published by the Department for International Trade establishes the principles that will guide future UK trade policy as well as laying out the practical steps that will support those aims.

These include:

International Trade Secretary Dr Liam Fox said:

We want to build a future trade policy that delivers benefits for the UK’s economy and for businesses, workers and consumers alike.

This paper is the first exciting step and sets out the principles behind an approach which will help British businesses to make the most of trade opportunities, contribute to a growing economy and create prosperity for communities up and down the UK.

Also published yesterday was the Treasury’s Customs Bill White Paper, which sets out plans to legislate for the standalone customs, VAT and excise regimes the UK will need once it leaves the EU.

In August the government set out its proposals for an ambitious new customs relationship with the EU and confirmed that, regardless of the outcome of negotiations, the UK would need new customs laws in place by March 2019. Responding to calls from businesses for continuity, yesterday’s White Paper confirms that the UK’s new legislation will, as far as possible, replicate the effect of existing EU customs laws.

In addition, while the government has repeatedly said that we are confident that a positive deal can be reached with the EU, it is only prudent that we prepare for every possible outcome. Therefore, the paper covers provisions for the implementation of customs, VAT and excise regimes in the event that no deal is reached, and sets out the steps the government would take to minimise disruption for businesses and travellers. It also enables the UK to prepare for a range of negotiated outcomes including an implementation period.

The Customs Bill will give the UK the power to:

Chancellor of the Exchequer, Philip Hammond said:

Investment and trade are crucial to the economic future of this country. This White Paper sets out our plan to keep trade with the EU as frictionless as possible, and reaffirms the government’s commitment to deliver a smooth transition.

Further information

For more information on the Trade paper please contact the DIT press office on 020 7215 2000.

For more information on the Customs paper please contact the HMT press office on 020 7270 5000.