What repercussions could Brexit have on your company?

12th January 2021

Brexit is has been and gone! If you own a business this will more than likely mean that there are a lot of things that you may have to consider now that the UK has left the EU. Here are just a few of the things you will have to think about:  

Relationships with EU customers and suppliers – You will have a lot more responsibilities. It will be important for you to learn what new procedures and import costs are being put in place so you know who will need to pay what and when.  

Declarations will be required for both importing and exporting goods, meaning that this knowledge will be required when dealing with EU suppliers as well. The prices will differ for importing and exporting goods based on what the goods are, however, you can check the prices using this website: www.gov.uk/trade-tariff. 

Steps required for European trading – There are quite a lot of steps that you will need to fill out for your company to be eligible to trade with Europe. Acquiring an EORI number (starts with GB) which will act as your company's identification, obtaining a customs broker and learning about duty management and VAT are just a few steps you will now need to take to trade with a company in Europe.  

Keeping purchase records and gaining approval for certain types of imports will be imperative to ensure that you comply with the new guidelines that are being put in place. The records will be called Entry In Declarants Records (EIDR) and will be constantly monitored by HMRC. 

If you are not sure if your company is ready for Brexit – There are plenty of sources where you can seek advice on what you and your company will need. The Sheffield Chamber of Commerce will be a good place to start as, due to their links with HMRC Customs, they can tell you what you are going to need to get your company ready to do business.  

They will also carry out a “Brexit Readiness Audit” of your operations for items being imported and exported by your company. This will see if you are already complying with the new rules and if not, what can be changed to ensure compliance. It could also be important for you to see how Brexit will impact your European customers and suppliers. Maybe getting their perspective will help you know their needs so you can work around each other and make the import/export process more efficient. It will also help to maintain a bond that may be made harder to do with these tighter import laws.  

From a 121 IT Services perspective – nothing has changed. We are 100% UK based, our few EU partners have already made the necessary changes ensuring a smooth transition and we have ensured all Software as a Service licensing is compliant with new regulations. That said, we continue to monitor as not all regulations have changed yet. 

If you are struggling and need to talk to anyone else, contact the Sheffield International Trade team international@scci.org.uk or by calling 01142018888. And as always, any issues with your IT contact us and we will be more than happy to help.