Your partner in British Dutch Business

The Netherlands British Chamber of Commerce (NBCC), VNO-NCW and MKB-Nederland and Evofenedex call upon entrepreneurs to prepare well for the new import rules and border controls when trading with the UK, which will apply from next year. ‘On the 1 January 2022 we will have had 1 year of Brexit. For businesses, this means that the  deferred customs declaration for import flows to the United Kingdom will come to an end and that full customs declarations and checks are now applicable. Entrepreneurs would be wise to read into these new rules and to prepare themselves in a timely manner.’ Today, the four organisations held a webinar for their members on the latest state of play regarding the British-Dutch trade relationship.

The UK has no longer been a member of the European Union for nearly one year. Nethertheless, Brexit continues to dominate the news on both sides of the channel. For example, recent political developments surrounding the Northern Ireland Protocol have caused tensions in both Brussels and London. The organisations will of course continue to monitor political developments closely and hope that a solution will be found soon.

Phase 2: BOM

The UK has chosen to phase in import rules and border controls via the Border Operating Model (BOM). This will be completed in three phases. Since January last year, there have been rules and checks on a limited group of products – the so-called 'controlled list'. The aim was to keep customs formalities limited in the first year after Brexit, in order to avoid delays at the border. This will change as of 2022: then the second phase of the BOM will start and the obligation for a fully completed British import declaration will apply.

Furthermore, so-called pre-notifications for animal and agricultural products will be required from next year, and exporters will have to use 'pre-lodgement or temporary storage' to import goods from the EU. The third and final phase of the BOM will start in July 2022, with a focus on new rules for animals and animal or plant products.

BAR

To mitigate the impact of Brexit on member states, the European Commission has created the Brexit Adjustment Reserve (BAR). From this fund, member states receive an amount that can be used for various purposes, such as creating jobs, taking border measures and as a financial compensation for entrepreneurs who have had to incur extra costs in preparing for Brexit. Due to its location and close trade relationship with the UK, the Netherlands can lay claim to a substantial part of the BAR: 810 million euros.

The four organisations advise their members to continue to closely follow the regulations in the UK, to coordinate with British importers in good time and to use the compensation options of the BAR in the coming year and to help with costs already incurred. Finally, they call on the next Cabinet to speed up the submission of concrete proposals to compensate affected entrepreneurs.