Question to the HM Treasury:

To ask Her Majesty’s Government why only 530 UK companies have Authorised Economic Operator Status, compared to 6,000 in Germany, 1,500 in Holland, and 1,400 in France; and what steps they are taking to increase that number.

Authorised Economic Operator (AEO) status is an internationally recognised quality mark indicating that a trader’s role in the international supply chain is secure, and that their customs controls and procedures are efficient and compliant. AEO status is not mandatory for businesses, but it gives quicker access to certain simplified customs procedures and in some cases the right to ‘fast-track’ shipments through some customs and safety and security procedures.

AEO status was introduced across the EU in 2008. Some EU countries decided to make AEO status mandatory – both to maintain a current customs authorisation and to apply for a wider range of customs authorisations. This decision is likely to have increased interest in obtaining AEO status in those countries. In the UK we chose not to mandate the link between customs authorisations and AEO status, which allowed UK businesses to continue to enjoy current facilitations and, when appropriate, apply for new customs authorisations, without having to undergo the sometimes lengthy AEO authorisation process. For those UK businesses who choose and are eligible to obtain AEO status additional facilitations and benefits are available.

The UK Government is currently exploring options to simplify customs procedures, including opportunities to streamline the AEO authorisation process and provide additional benefits.