EC’s “no-deal” Brexit contingency action plan, customs guidance

The European Commission today announced it has started implementation of a “no deal” contingency action plan for the UK’s planned departure from the European Union (“Brexit”) in March 2019.

The EC “no deal” contingency action plan includes 14 measures in a limited number of areas where a "no-deal" scenario would create major disruption for citizens and businesses in the remaining 27 EU Member States. These areas include financial services, air transport, customs, and climate policy, among others. As a rule, the measures will be temporary in nature, limited in scope, and adopted unilaterally by the EU.

Read more on the EC website.

Sector-specific regulation

Transport

The EC has adopted two measures that will avoid full interruption of air traffic between the EU and the UK in the event of no deal. The EC has also adopted a proposal for a regulation to allow UK operators to temporarily (nine months) carry goods into the EU, provided the UK confers equivalent rights to EU road haulage operators and subject to fair competition conditions.

Customs and the export of goods

In a “no deal” scenario, all relevant EU legislation on the importation and exportation of goods will apply to goods moving between the EU and the UK. The EC has adopted the following technical measures:

• A delegated regulation to include the seas surrounding the UK in the provisions on time-limits within which entry summary declarations and pre-departure declarations have to be lodged prior to leaving or entering the European Union's customs territory.
• A proposal for a regulation to add the UK to the list of countries for which a general authorisation to export dual use items is valid throughout the EU.

EU Member States are reminded to take all necessary steps to be in a position to apply the Union Customs Code and the relevant rules regarding indirect taxation in relation to the United Kingdom.

For more information on this topic or to learn more about KPMG’s Trade & Customs Services, contact:

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