EU Exit: UK Border

Public Accounts Committee Closed Inquiry
Opened: 20 Oct 2021 Closed: 26 Apr 2022 Parliament page
In December 2020 the UK and the EU reached agreement on the terms of their future relationship following Brexit. Since the end of the agreement ‘transition period’ on 31 December 2020, there have been changes in how the UK trades with the EU, and in relation to the movement of … Read more
2 Recommendations
29 Conclusions
1 Report
2 Oral sessions
4 Letters
2 Events
Activity timeline 10 events
28 Apr
2022
Report published
21 Apr
2022
Correspondence
9 Feb
2022
Report published
12 Jan
2022
Correspondence
11 Jan
2022
Correspondence
14 Dec
2021
Correspondence
24 Nov
2021
Oral evidence
24 Nov
2021
Formal meeting (oral evidence session) · The Grimond Room, Portcullis House
22 Nov
2021
Oral evidence
22 Nov
2021
Formal meeting (oral evidence session) · The Grimond Room, Portcullis House
Oral evidence sessions 2 sessions
24 Nov 2021
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EU Exit: UK Border
Alex Chisholm · Cabinet Office Bernadette Kelly CB · Department for Transport Emma Churchill · Ministry of Justice Jim Harra · HMRC Tamara Finkelstein · Department for Environment, Food and Rural Affairs
22 Nov 2021
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EU Exit: UK Border
Alex Veitch · British Chambers of Commerce Dr Anna Jerzewska · Trade and Borders Consultancy Richard Ballantyne · British Ports Association
Title HC No. Published Items Response
Thirty-Sixth Report - EU Exit: UK Border post transition HC 746 9 Feb 2022 31 Responded
Recommendations & Conclusions
31 results
2 Recommendation
Thirty-Sixth Report - EU Exit: UK …
The new controls in place over the movement of goods from the UK to the...
The new controls in place over the movement of goods from the UK to the EU have created additional costs for businesses and affected international trade flows. It is not yet clear to what extent the declines in UK trade … Read more
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3 Conclusion
Thirty-Sixth Report - EU Exit: UK …
More could be done by Government to ensure small and medium sized enterprises (SMEs) are...
More could be done by Government to ensure small and medium sized enterprises (SMEs) are prepared to face the additional costs and administration required by new border requirements. In preparing for the end of the transition period government provided a … Read more
Government Response
4. PAC conclusion: While we wait for the much-delayed SEND review, the support system continues to fail many children and remains financially unsustainable.
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4 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Government intends to introduce full import controls in phases from January 2022, but much work...
Government intends to introduce full import controls in phases from January 2022, but much work remains to be done. The UK originally intended to introduce import controls on goods entering Great Britain from the EU when the transition period ended … Read more
Government Response
4.1 The government agrees with the Committee’s recommendation. Recommendation implemented 4.2 Alongside this Treasury Minute, the government has sent a separate letter from the Cabinet Office setting out the further … Read more
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5 Recommendation
Thirty-Sixth Report - EU Exit: UK …
There is more to be done to ensure that traders and hauliers across the 27...
There is more to be done to ensure that traders and hauliers across the 27 EU countries are prepared for UK import controls. Departments have consistently rated a lack of trader and haulier readiness for new border controls as a … Read more
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6 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Government’s arrangements for goods arriving from the EU is untested and could be exploited, increasing...
Government’s arrangements for goods arriving from the EU is untested and could be exploited, increasing regulatory and fiscal risks. Governments operate import controls for several reasons including: to ensure goods meet relevant standards; to prevent smuggling and illicit activity; and … Read more
Government Response
6.1 The government agrees with the Committee’s recommendation. Recommendation implemented 6.2 Alongside this Treasury Minute, the government has sent a separate letter from HMRC setting out further information as requested … Read more
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7 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Government’s ambition for the UK to have the “world’s most effective border by 2025” relies...
Government’s ambition for the UK to have the “world’s most effective border by 2025” relies on cross-government digital programmes, in which it does not have a good track record. In December 2020 the government published its strategy to put in … Read more
Government Response
7.1 The government agrees with the Committee’s recommendation. Target implementation date: October 2022 7.2 Delivery of the 2025 Border Strategy is well underway, and programmes and pilots will deliver tangible … Read more
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8 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Businesses have faced challenges operating under the Northern Ireland Protocol which need to be resolved.
Businesses have faced challenges operating under the Northern Ireland Protocol which need to be resolved. Both the UK and EU have recognised that there are issues with the implementation of the Northern Ireland Protocol. The Cabinet Office told us that … Read more
Government Response
8.1 The government agrees with the Committee’s recommendation. Recommendation implemented 8.2 The government has been in intensive talks with the EU since October 2021 to resolve the challenges with the … Read more
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1 Conclusion
Thirty-Sixth Report - EU Exit: UK …
On the basis of a report by the Comptroller and Auditor General, we took evidence...
On the basis of a report by the Comptroller and Auditor General, we took evidence from the Cabinet Office, the Department for Environment, Food and Rural Affairs (Defra), the Department for Transport (DfT), and HM Revenue & Customs (HMRC).1 We … Read more
Government Response
2. PAC conclusion: We are concerned that HM Treasury does not intend to adequately monitor and update the ongoing cost of COVID-19 to the taxpayer. 2. PAC recommendation: As part … Read more
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9 Conclusion
Thirty-Sixth Report - EU Exit: UK …
There is clearer evidence available of the impact of the UK’s new trading arrangements on...
There is clearer evidence available of the impact of the UK’s new trading arrangements on UK businesses, which now face additional administration and costs when trading with the EU. For example, Dr Jerzewska told us that even though full import … Read more
Government Response
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 The government adopts an evidence-based approach to policy making and will continue to do so. With 2021 being a … Read more
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10 Conclusion
Thirty-Sixth Report - EU Exit: UK …
In addition to the new customs requirements, some industries can find themselves subject to extra...
In addition to the new customs requirements, some industries can find themselves subject to extra controls depending on the company’s individual supply chain and the industry they are in – some goods will find themselves much more regulated than others.23 … Read more
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11 Conclusion
Thirty-Sixth Report - EU Exit: UK …
In the run up to the end of the transition period, the government provided a...
In the run up to the end of the transition period, the government provided a range of support to help traders prepare. This included: running a communications campaign across multiple channels; writing directly to businesses to encourage them to get … Read more
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12 Conclusion
Thirty-Sixth Report - EU Exit: UK …
We heard from witnesses; in written submissions; and from cases in our own constituencies about...
We heard from witnesses; in written submissions; and from cases in our own constituencies about some of the particular issues that smaller businesses have faced as they try to get to grips with new requirements. For example, ADS, which represents … Read more
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13 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Smaller traders now also need to prepare for full import controls.
Smaller traders now also need to prepare for full import controls. HMRC told us that it put a lot of effort into reaching smaller businesses.37 However, it also told us that customs is a highly intermediated process which usually only … Read more
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14 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The EU introduced import controls on goods entering the EU from the UK at the...
The EU introduced import controls on goods entering the EU from the UK at the end of the transition period from 1 January 2021. The UK government originally planned to introduce full import controls on the same date but has … Read more
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15 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Although government told us about the good progress that it has made in putting in...
Although government told us about the good progress that it has made in putting in place the systems, infrastructure and staff required for the introduction of import controls, we note that government still needs to deliver further changes.43 For example, … Read more
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16 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The British Ports Association, who represent the UK ports, told us about areas in which...
The British Ports Association, who represent the UK ports, told us about areas in which ports need new information from government to inform the business decisions they need to make as private commercial entities.49 It wanted government to outline the … Read more
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17 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The most significant risk to the operation of the border from 1 January 2021 was...
The most significant risk to the operation of the border from 1 January 2021 was that traders and hauliers would not be ready. Despite carrying out a significant programme of work to encourage traders and other border users to get … Read more
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18 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Concerns over readiness have led to the government delaying the implementation of import controls three...
Concerns over readiness have led to the government delaying the implementation of import controls three times and departments’ focus is now on improving UK and EU readiness for the implementation of UK import controls.56 Logistics UK told us that improving … Read more
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19 Conclusion
Thirty-Sixth Report - EU Exit: UK …
HMRC told us that its main trader concerns related to small businesses.
HMRC told us that its main trader concerns related to small businesses. It had a high level of confidence that large traders, which are responsible for about 85% of the value of imports from the EU to the UK, would … Read more
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20 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Rather than trader or port readiness, HMRC told us that the readiness of EU hauliers...
Rather than trader or port readiness, HMRC told us that the readiness of EU hauliers was now the main risk ahead of the implementation of UK import controls. HMRC told us that while EU haulier readiness is improving, it is … Read more
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21 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The government needs to introduce import controls for several reasons, including: to ensure imported goods...
The government needs to introduce import controls for several reasons, including: to ensure imported goods meet the relevant standards in areas such as food and product safety and disease control; to prevent smuggling and illicit activity; and to comply with … Read more
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22 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Defra told us that it had learned from experience of checks being introduced by the...
Defra told us that it had learned from experience of checks being introduced by the EU and that starting with pre-notification before introducing checks means that people would have to get used to using the IPAFFS system.66 It told us … Read more
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23 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The NAO report notes that, since the end of the transition period, the UK government...
The NAO report notes that, since the end of the transition period, the UK government has chosen to prioritise the flow of goods over compliance, but that, after the introduction of import controls, departments will no longer be able to … Read more
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24 Conclusion
Thirty-Sixth Report - EU Exit: UK …
We were interested in the potential implications for compliance of the requirement for departments to...
We were interested in the potential implications for compliance of the requirement for departments to undertake some checks away from the ports at which goods arrive. HMRC acknowledged that it is ideal to have infrastructure at a port and the … Read more
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25 Conclusion
Thirty-Sixth Report - EU Exit: UK …
In December 2020, the government published its 2025 UK Border Strategy, which set out the...
In December 2020, the government published its 2025 UK Border Strategy, which set out the government’s vision to have the “world’s most effective border” by 2025.77 This set out how the government would improve coordination between government departments and agencies … Read more
Government Response
2.3 The government set out in its 2025 UK Border Strategy six key transformations - all designed to contribute to a reduction in costs and administrative burdens for all border … Read more
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26 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Ahead of the end of the transition period departments focused on putting in place an...
Ahead of the end of the transition period departments focused on putting in place an initial operating capability at the UK border. The new IT systems, or changes to existing systems, required to provide this capability were all delivered as … Read more
Government Response
7: PAC conclusion: Government’s ambition for the UK to have the “world’s most effective border by 2025” relies on cross-government digital programmes, in which it does not have a good … Read more
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27 Conclusion
Thirty-Sixth Report - EU Exit: UK …
Departments’ track record delivering IT projects is particularly relevant given that HMRC is still working...
Departments’ track record delivering IT projects is particularly relevant given that HMRC is still working on replacing its CHIEF customs system with a new Customs Declaration Service (CDS). CDS was originally supposed to be in use by all UK traders … Read more
Government Response
7: PAC conclusion: Government’s ambition for the UK to have the “world’s most effective border by 2025” relies on cross-government digital programmes, in which it does not have a good … Read more
HM Treasury
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28 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The Northern Ireland Protocol came into operation from 1 January 2021, with grace periods delaying...
The Northern Ireland Protocol came into operation from 1 January 2021, with grace periods delaying the requirements for some checks and preparations.87 Government told us that the requirements of the Protocol had had a significant impact on Northern Ireland trade … Read more
Government Response
8: PAC conclusion: Businesses have faced challenges operating under the Northern Ireland Protocol which need to be resolved. 8: PAC recommendation: Government should continue its efforts to resolve the challenges … Read more
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29 Conclusion
Thirty-Sixth Report - EU Exit: UK …
HMRC told us that it had introduced the Trader Support Service as a free to...
HMRC told us that it had introduced the Trader Support Service as a free to use service to make customs declarations on behalf of affected businesses and is planning to spend £360 million on this over two years. HMRC stated … Read more
Government Response
8: PAC conclusion: Businesses have faced challenges operating under the Northern Ireland Protocol which need to be resolved. 8: PAC recommendation: Government should continue its efforts to resolve the challenges … Read more
HM Treasury
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30 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The Cabinet Office told us that, having seen considerable diversion of trade and, due to...
The Cabinet Office told us that, having seen considerable diversion of trade and, due to the lack of support for the Protocol among parts of the community in Northern Ireland, the government had proposed changes to the European Commission to … Read more
Government Response
8: PAC conclusion: Businesses have faced challenges operating under the Northern Ireland Protocol which need to be resolved. 8: PAC recommendation: Government should continue its efforts to resolve the challenges … Read more
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31 Conclusion
Thirty-Sixth Report - EU Exit: UK …
The UK government set out its proposals in a July 2021 Command Paper.96 The Cabinet...
The UK government set out its proposals in a July 2021 Command Paper.96 The Cabinet Office told us that it wants to apply a risk-based approach whereby for most goods only those which are at risk of crossing from Northern … Read more
Government Response
8: PAC conclusion: Businesses have faced challenges operating under the Northern Ireland Protocol which need to be resolved. 8: PAC recommendation: Government should continue its efforts to resolve the challenges … Read more
HM Treasury
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Correspondence 4 letters
21 Apr 2022 Correspondence from Alex Chisholm Chief Operating Officer for the Civil Service and Permanent Secretary, Cabinet Office, re Government response to Public Accounts Committee report - EU Exit: UK Border post transition report - published on 9 February 2022, dated 1 April 2022
Parliament page
12 Jan 2022 Correspondence from Jim Harra, Chief Executive and First Permanent Secretary, re Average length of delay for declarations using the Staged Customs Controls (SCC), DATED 16 December 2021
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11 Jan 2022 Correspondence from Alex Chisholm Chief Operating Officer for the Civil Service and Permanent Secretary, Cabinet Office, re Public Accounts Committee - 24 November, dated 13 December 2021
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14 Dec 2021 Correspondence from Alex Chisholm Chief Operating Officer for the Civil Service and Permanent Secretary, Cabinet Office, re The UK border: Post UK – EU transition period, dated 6 December 2021
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