Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment he has made of whether easements or forbearance are available to businesses as a result of the EU-UK Trade and Cooperation Agreement; and whether legal provisions have been communicated to businesses to prevent future prosecution as a result of non-compliance in the initial period following the publication of that Agreement.

The Government has provided extensive guidance to traders to support them, including publishing the detailed Border Operating Model to help traders take the necessary steps. Recognising the impact of coronavirus on businesses’ ability to prepare, the UK Government has taken the decision to introduce the new border controls in three stages up until 1 July 2021. From 1 January to 30 June, traders when importing non-controlled EU goods to GB will have the option to make a declaration in their own records at the time of import followed by a supplementary declaration up to 175 days later, which provides traders and intermediaries with more time to prepare.

While HMRC will penalise deliberate non-compliance, they will seek to support those who make genuine errors to get it right. HMRC are carrying out a range of activities to support and educate traders on their obligations during this period, and are promoting the keeping of good records, which will be crucial in minimising losses to error once supplementary declarations are made.