In this week’s EU exit bulletin, we bring you the latest guidance updates and publications relevant to EU exit. We also update you on a new agreement between EU institutions, recent developments in relation to the Northern Ireland Protocol Bill and HMRC is writing to traders warning that access to the CHIEF customs system will be removed if they do not engage with the migration to the Customs Declarations Service (“CDS”) for imports.
EU institutions agree on new enforcement provisions for EU exit agreements
Under new legislation agreed this week between representatives from the EU parliament and council, the European Commission has been empowered to restrict trade and investment and adopt other remedial or safeguard measures if the UK reneges on its commitments or does not cooperate in a dispute settlement as provided for in both the Withdrawal Agreement (WA) and the Trade and Cooperation Agreement (TCA) between the EU and the UK. Until now, the Commission has not had such powers under the Withdrawal Agreement and their introduction has been described as “an effective crisis management tool” to allow the EU to take action quickly to protect EU interests if the UK breaches its commitments under the agreements.
To enter into force, the provisional agreement on the final form of the regulation will need to be sealed by votes in the Parliament and by a decision in the Council, expected to be completed early next year.
Update on the Protocol
The Northern Ireland Protocol Bill's final day of committee stage in the House of Lords was held earlier this month on Monday 7 November with further evidence hearings held on 9 November. Read the Institute’s submission to the House of Lords inquiry into the Bill and other evidence submissions including from political parties, civil society, business groups and academics. The Bill is currently at Report Stage.
Update on movement to the CDS
HMRC is in the process of writing to a small number of traders who continue to using the CHIEF system for import declarations and have not yet moved to the CDS. Traders are being given 10 working days to move new import declarations to the CDS. If they continue to use CHIEF to make declarations after ten days, HMRC will begin the process of removing access to making new import declarations on CHIEF.
Note that this does not affect any trader who has permission from HMRC to continue to use CHIEF for imports. This also does not impact on export declarations on CHIEF.
Traders will still be able to use CHIEF to access existing declarations, make supplementary import declarations if needed and make new export declarations. Those taking steps to move to the CDS but who require a little additional time to do so are still able to apply for an extension to use CHIEF, as long as this is backed up by a business reason.
Help and support for CDS is available on GOV.UK as well as HMRC’s YouTube videos.
Miscellaneous updated guidance etc.
The latest guidance updates, and publications relevant to EU exit are as follows: