Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government, further to the Written Answer by Baroness Neville-Rolfe on 23 November 2023 (HL180), what potential risks have been identified as a result of the Government’s monitoring.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
The Government has adopted a cross-departmental approach to identify and manage risks, including agreeing mitigations. I am chairing regular Small Ministerial Group meetings to ensure Ministerial oversight. Specific risks identified at present through cross-government monitoring include data monitoring availability, infrastructure readiness, West Coast checks start date, IT alignment, and the charging regime due for implementation once physical checks commence.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government, further to the Written Answer by Baroness Neville-Rolfe on 23 November (HL183), whether they have undertaken an assessment of the potential impact of differing user charges at government run Border Control Posts and non-government run Border Control Posts on (1) traffic flows, (2) congestion, and (3) emissions.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
Alongside other measures that are likely to have an economic impact on international trade, estimates for relevant user charges and fees - including the Common User Charge - were included in the modelling of the inflationary impact of the Border Target Operating Model.
We calculated the inflationary impact over a 3 year period through the academically peer-reviewed food price inflation model as its full effect on consumer food prices will not be immediate. As such, we have no plans for a formal review of measures introduced through implementation of the Border Target Operating Model one year after introduction. We will review the Border Target Operating Model in line with the Magenta Book guidance on evaluation and further announcements will be made to Parliament as and when required. The Magenta Book guidance can be found here: https://assets.publishing.service.gov.uk/media/5e96cab9d3bf7f412b2264b1/HMT_Magenta_Book.pdf
We have not identified any differential impact on traffic flows, congestion and emissions that might be caused by different levels of user charges.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government, further to the answer by Baroness Neville-Rolfe on 23 November (HL183), whether they plan to review the inflationary impact of the Border Target Operating Model once it has been fully in place for 12 months.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
Alongside other measures that are likely to have an economic impact on international trade, estimates for relevant user charges and fees - including the Common User Charge - were included in the modelling of the inflationary impact of the Border Target Operating Model.
We calculated the inflationary impact over a 3 year period through the academically peer-reviewed food price inflation model as its full effect on consumer food prices will not be immediate. As such, we have no plans for a formal review of measures introduced through implementation of the Border Target Operating Model one year after introduction. We will review the Border Target Operating Model in line with the Magenta Book guidance on evaluation and further announcements will be made to Parliament as and when required. The Magenta Book guidance can be found here: https://assets.publishing.service.gov.uk/media/5e96cab9d3bf7f412b2264b1/HMT_Magenta_Book.pdf
We have not identified any differential impact on traffic flows, congestion and emissions that might be caused by different levels of user charges.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government, further to the answer by Baroness Neville-Rolfe on 23 November (HL183), whether the Common User Charge is being defined as a ‘tariff measure’ and therefore not included in its modelling of the inflationary impact of the Border Target Operating Model.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
Alongside other measures that are likely to have an economic impact on international trade, estimates for relevant user charges and fees - including the Common User Charge - were included in the modelling of the inflationary impact of the Border Target Operating Model.
We calculated the inflationary impact over a 3 year period through the academically peer-reviewed food price inflation model as its full effect on consumer food prices will not be immediate. As such, we have no plans for a formal review of measures introduced through implementation of the Border Target Operating Model one year after introduction. We will review the Border Target Operating Model in line with the Magenta Book guidance on evaluation and further announcements will be made to Parliament as and when required. The Magenta Book guidance can be found here: https://assets.publishing.service.gov.uk/media/5e96cab9d3bf7f412b2264b1/HMT_Magenta_Book.pdf
We have not identified any differential impact on traffic flows, congestion and emissions that might be caused by different levels of user charges.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government whether they will repeat their modelling of (1) the inflationary impact of the Border Target Operating Model, and (2) the additional cost to be incurred by businesses resulting from the Border Target Operating Model, once a decision on a Common User Charge is published; and if so, whether they will publish any such further modelling.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
The Government’s modelling of the inflationary impact of the Border Target Operating Model was based on an academically peer-reviewed food price inflation model and focused on quantifying the impact on relevant non-tariff measures - policy measures likely to have an economic impact on international trade as they affect the price or quantity of traded products. The food price inflation model is available here: https://ore.exeter.ac.uk/repository/bitstream/handle/10871/128070/Final%20Report_Defra_December%202021.pdf?sequence=2.
The non-tariff measures analysed included those related to checks (for example the cost of pre-notification, the cost of Export Health Certificates and port fees) as well as upstream impacts (for example administrative processing time, training, certificates of origin and security deposits or guarantees when moving agricultural goods under licence).
We used a range of data sources to quantify and assess the relative impact of the different non-tariff measures associated with the Border Target Operating Model. The data included commercially sensitive information that would not be appropriate to put into the public domain, and in accordance with the principles of statistical propriety we cannot publish a partial explanation that includes only the publicly available sources.
We will publish our plans for the Common User Charge shortly. The Common User Charge will apply to Government-run Border Control Posts in England and may be extended to include other Government-run Border Control Posts across Great Britain once infrastructure plans have been finalised. We do not expect to have to amend our calculation of inflationary impact following publication of these plans.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government what assumptions they have made on the Common User Charge and charges to be applied at other Border Control Posts in (1) their modelling on the inflationary impact of the Border Target Operating Model, and (2) their modelling on the additional cost to be incurred by businesses as a result of the Border Target Operating Model.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
The Government’s modelling of the inflationary impact of the Border Target Operating Model was based on an academically peer-reviewed food price inflation model and focused on quantifying the impact on relevant non-tariff measures - policy measures likely to have an economic impact on international trade as they affect the price or quantity of traded products. The food price inflation model is available here: https://ore.exeter.ac.uk/repository/bitstream/handle/10871/128070/Final%20Report_Defra_December%202021.pdf?sequence=2.
The non-tariff measures analysed included those related to checks (for example the cost of pre-notification, the cost of Export Health Certificates and port fees) as well as upstream impacts (for example administrative processing time, training, certificates of origin and security deposits or guarantees when moving agricultural goods under licence).
We used a range of data sources to quantify and assess the relative impact of the different non-tariff measures associated with the Border Target Operating Model. The data included commercially sensitive information that would not be appropriate to put into the public domain, and in accordance with the principles of statistical propriety we cannot publish a partial explanation that includes only the publicly available sources.
We will publish our plans for the Common User Charge shortly. The Common User Charge will apply to Government-run Border Control Posts in England and may be extended to include other Government-run Border Control Posts across Great Britain once infrastructure plans have been finalised. We do not expect to have to amend our calculation of inflationary impact following publication of these plans.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government whether they intend to publish (1) their full modelling on the inflationary impact of the Border Target Operating Model, and (2) their full modelling on the additional cost to be incurred by businesses as a result of the Border Target Operating Model; and if so, when.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
The Government’s modelling of the inflationary impact of the Border Target Operating Model was based on an academically peer-reviewed food price inflation model and focused on quantifying the impact on relevant non-tariff measures - policy measures likely to have an economic impact on international trade as they affect the price or quantity of traded products. The food price inflation model is available here: https://ore.exeter.ac.uk/repository/bitstream/handle/10871/128070/Final%20Report_Defra_December%202021.pdf?sequence=2.
The non-tariff measures analysed included those related to checks (for example the cost of pre-notification, the cost of Export Health Certificates and port fees) as well as upstream impacts (for example administrative processing time, training, certificates of origin and security deposits or guarantees when moving agricultural goods under licence).
We used a range of data sources to quantify and assess the relative impact of the different non-tariff measures associated with the Border Target Operating Model. The data included commercially sensitive information that would not be appropriate to put into the public domain, and in accordance with the principles of statistical propriety we cannot publish a partial explanation that includes only the publicly available sources.
We will publish our plans for the Common User Charge shortly. The Common User Charge will apply to Government-run Border Control Posts in England and may be extended to include other Government-run Border Control Posts across Great Britain once infrastructure plans have been finalised. We do not expect to have to amend our calculation of inflationary impact following publication of these plans.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government what contingency planning they have undertaken to manage any disruption to imports to the UK resulting from any potential problems with the implementation of the Border Target Operating Model.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
Government departments are engaging with stakeholders across all affected sectors in all parts of the United Kingdom and the EU to ensure that they understand the coming changes outlined in the Border Target Operating Model and are ready to continue to move goods across the border. We have not identified any specific risk of disruption to imports to the UK as a consequence of the BTOM at this stage and will continue to engage with all parts of the supply chain ahead of each implementation stage.
In implementing this new control regime for the first time on EU imports we are carefully monitoring the range of potential risks, including those that may impact food supply-chains.
We are working with importers to try to manage those risks in a structured way, considering whether there are appropriate contingencies which we or they can deploy if and when required.
In accordance with usual practice, we will undertake a programme of operational testing with users of the border prior to the changes being implemented to ensure that any potential issues are identified and resolved. We recognise this new model for importing Sanitary and Phytosanitary goods will require some businesses and their supply-chains to adapt their business models.
Information is being shared through a series of live and virtual engagement events and communications outlining actions required as a result of the new changes. Guidance is available on GOV.UK.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government to what extent the planned engagement with stakeholders will inform a decision on readiness to proceed with implementation of the Border Target Operating Model from January 2024.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
The Border Target Operating Model was published in August 2023, setting out the timeline for import controls which will be implemented from the end of January 2024. The biosecurity and security reasons for these changes are set out in the Border Target Operating Model. The publication of the Border Target Operating Model gave clarity to businesses about which import controls will be introduced and when, and gave sufficient time for businesses to prepare.
The Government engaged extensively with stakeholders prior to the publication of the final Border Target Operating Model and in response to stakeholder feedback some of the implementation milestones were moved in order to give businesses more time to prepare. Stakeholder readiness for the implementation of the Border Target Operating Model has therefore been taken into account and prioritised throughout.
It is the responsibility of businesses who are impacted by these changes to prepare for upcoming controls. To help businesses with these changes, the Government is carrying out a comprehensive programme of engagement both in the UK and in the EU to ensure businesses understand the changes, and are therefore prepared for the new 2024 import controls.
The Government has not received significant feedback from stakeholders to suggest that they are not prepared for the introduction of new controls. The Government will continue to engage with and support business as the Border Target Operating Model is implemented from the end of January 2024.
Asked by: Baroness Ritchie of Downpatrick (Labour - Life peer)
Question to the Cabinet Office:
To ask His Majesty's Government what assessment they have made of businesses' readiness to operate under the Border Target Operating Model.
Answered by Baroness Neville-Rolfe - Minister of State (Cabinet Office)
The Border Target Operating Model was published in August 2023, setting out the timeline for import controls which will be implemented from the end of January 2024. The biosecurity and security reasons for these changes are set out in the Border Target Operating Model. The publication of the Border Target Operating Model gave clarity to businesses about which import controls will be introduced and when, and gave sufficient time for businesses to prepare.
The Government engaged extensively with stakeholders prior to the publication of the final Border Target Operating Model and in response to stakeholder feedback some of the implementation milestones were moved in order to give businesses more time to prepare. Stakeholder readiness for the implementation of the Border Target Operating Model has therefore been taken into account and prioritised throughout.
It is the responsibility of businesses who are impacted by these changes to prepare for upcoming controls. To help businesses with these changes, the Government is carrying out a comprehensive programme of engagement both in the UK and in the EU to ensure businesses understand the changes, and are therefore prepared for the new 2024 import controls.
The Government has not received significant feedback from stakeholders to suggest that they are not prepared for the introduction of new controls. The Government will continue to engage with and support business as the Border Target Operating Model is implemented from the end of January 2024.