Table of Content
Introduction: UK Entry & Exit Summary Declarations
Timeline of Regulatory Changes: Key Milestones in UK-EU Trade Rules
Border Controls and Legislation: Laws Governing Trade Compliance
Northern Ireland Exception: Impact of the Northern Ireland Protocol
The Carrier’s Responsibility: Legal Obligations and Compliance for Carriers
Entry Summary Declarations (ENS): Key Requirements and Risks for Imports
Exit Summary Declarations (EXS): Compliance for Exported Goods
Waivers and Exemptions: Temporary Relief and Exclusions from Declarations
Risk Assessment and Enforcement: How UK Border Force Monitors Compliance
Dual Filing and Compliance Challenges: Risks and Solutions for Dual Filings
Submitting and Amending Declarations: Process for ENS/EXS Submissions and Adjustments
How tradePhlo Can Help: Key Features to Simplify Compliance
Conclusion: Staying Compliant in the Post-Brexit Trade Landscape
Introduction: UK Entry & Exit Summary Declarations
Trade between the UK and the EU has undergone significant transformation since Brexit. New regulatory requirements are now in place, forcing businesses to adapt their processes to comply with the UK’s safety and security declarations. According to the UK Government, over 250 million customs declarations are expected annually after full post-Brexit border controls are implemented. In this blog, we’ll explore the key components of Entry and Exit Summary Declarations (ENS and EXS), offering critical insights for carriers and traders on maintaining compliance.
Timeline of Regulatory Changes
The UK's departure from the European Union on January 31, 2020, marked the beginning of extensive changes in trade regulation. Although the transition period ended on December 31, 2020, the UK Government phased in new safety and security requirements to allow businesses time to adjust.
January 31, 2020: The UK officially exits the EU.
December 31, 2020: End of the transition period.
October 1, 2021: Export safety and security requirements come into effect.
July 1, 2022 (extended to October 31, 2024): Import requirements for EU goods are postponed providing businesses additional preparation time.
According to HMRC estimates, approximately 145,000 businesses traded exclusively with the EU before Brexit. Many of these businesses are still adjusting to the regulatory changes, highlighting the need for continued education on compliance requirements.
Border Controls and Legislation
The UK government has implemented border controls gradually to manage the complexities of trade and customs procedures. The controls are backed by a series of legislations that apply to both EU legacy regulations and UK-specific rules. Key regulations include the Customs (Safety and Security Procedures) Regulations of 2021, 2022, and 2023, which govern the movement of goods in and out of the UK.
Northern Ireland Exception
One unique aspect of UK-EU trade post-Brexit is the Northern Ireland Protocol. Under this arrangement, Northern Ireland retains "unfettered access" to the UK market. As a result, qualifying Northern Ireland goods entering Great Britain do not require safety and security declarations, except under specific conditions (e.g., endangered species or duty suspension). This exception affects over £11.2 billion of goods traded between Northern Ireland and Great Britain annually.
The Carrier’s Responsibility
Carriers, including transport operators by air, sea, rail, or road, are legally responsible for submitting safety and security declarations for goods entering or leaving the UK. According to a report by the British International Freight Association (BIFA), carriers in the UK handle around 45 million consignments annually, underscoring the significant logistical burden created by post-Brexit customs declarations.
Carriers can delegate the submission of these declarations to third parties, such as freight forwarders, but they remain legally accountable for ensuring compliance.
Entry Summary Declarations (ENS)
The Entry Summary Declaration (ENS) is a mandatory requirement for goods entering the UK. According to UK Customs data, ENS filings saw an increase of 34% in 2022 compared to 2021, reflecting the growing complexity of post-Brexit border control requirements.
Key information required for S&S declaration include:
Parties information
Transport information
Consignment/goods information
Failure to submit an ENS within the required timeframe can lead to penalties, including fines or the refusal of entry for goods. The average penalty for non-compliance is estimated to be around £500 per offense, depending on the severity of the infraction.
Waivers and Exemptions
While the UK has temporarily waived the requirement for safety and security declarations for goods entering from the EU, this exemption does not apply to goods entering from non-EU countries or those moving between Northern Ireland and Great Britain. According to UK Government forecasts, this waiver will save businesses £65 million annually during the transition period.
Risk Assessment and Enforcement
Once an ENS is submitted, it undergoes a risk assessment by UK Border Force. Data shows that around 10% of ENS submissions in 2022 were flagged for additional checks due to discrepancies or incomplete data. If an issue is detected, customs authorities can issue a "Do Not Load" message, primarily affecting deep-sea container shipments.
Enforcement is based on a risk-driven approach. In 2021, UK Border Force issued over 3,000 penalties for breaches of safety and security declaration requirements, reflecting the strict enforcement measures in place for non-compliance.
Dual Filing and Compliance Challenges
In some cases, both the carrier and a third party may submit separate ENS declarations for the same consignment, known as dual filing. According to HMRC, 15% of dual filings resulted in discrepancies that required additional investigation in 2022. To avoid such issues, businesses must ensure clear communication and data accuracy when third parties are involved.
Exit Summary Declarations for Exports
The Exit Summary Declaration (EXS) is required for goods leaving the UK unless they are covered by a combined export declaration. Data from 2021 shows that approximately 20% of UK exports required standalone EXS submissions, particularly for goods in transit or temporary storage.
Carriers must submit an EXS in scenarios such as:
Goods in temporary storage for more than 14 days
Goods moving under transit (e.g., TIR Carnet)
Exemptions from the EXS
Some goods are exempt from the EXS requirement, including:
Empty pallets, containers, and vehicles
Goods in transit with an existing ENS
Goods in freeports for less than 14 days
It’s estimated that these exemptions apply to 12% of goods exported from the UK annually, helping reduce the administrative burden on certain types of exports.
Submitting Declarations: The Technical Process
Entry and Exit Summary Declarations must be submitted using the appropriate government platforms. For goods entering Great Britain, submissions are made via the Safety and Security Great Britain (S&S GB) service. For exports, the Customs Declaration Service (CDS) is used.
In 2022, over 80% of UK businesses submitting customs declarations used third-party software to comply with these new requirements, as reported by HMRC. Businesses will need a Government Gateway user ID, an EORI number, and compatible software to submit these declarations.
Amending Declarations
Amendments to ENS declarations are allowed up until the goods arrive in Great Britain. However, once the declaration is submitted, it cannot be canceled. Failure to provide accurate data can result in delays or penalties. In 2022, 17% of customs-related delays were due to errors in declaration filings, highlighting the importance of accuracy in the submission process.
How tradePhlo Can Help with Safety and Security Declarations
In a complex post-Brexit customs environment, the importance of accurate and timely safety and security declarations cannot be overstated. This is where tradePhlo, a robust customs declaration software for the UK and the Netherlands, steps in to simplify and streamline the process. Combining data, state-of-the-art technology, and human expertise into a single application, tradePhlo is designed to help businesses manage their customs declarations efficiently and stay compliant with evolving regulations.
Key Features of tradePhlo:
1. Support & Training
tradePhlo offers 24/7 support through its team of Subject Matter Experts (SMEs) and Customer Support Engineers, ensuring businesses have ongoing access to in-house staff training and system support. Whether it’s a technical query or guidance on customs regulations, the tradePhlo team is always ready to help.
This round-the-clock support ensures that your business remains compliant with customs processes and fully prepared to navigate any regulatory changes.
2. New Control & Visibility
tradePhlo provides complete control and real-time visibility into your customs processes. Its dashboard gives businesses full transparency into the progress of declarations, enabling users to track and monitor submissions effortlessly.
Additionally, the platform’s digital file-upload facility allows users to upload declaration-specific documents, sending them directly to HMRC. This seamless integration helps businesses reduce administrative delays and ensures the smooth flow of trade.
3. Single Interface for Test & Live Submissions
One of the standout features of tradePhlo is its single interface that hosts both Test and Live environments. Users can test and approve declarations in the Test environment and, with just a click, copy and submit them into the Live environment within seconds. This function drastically reduces time spent on reworking submissions and minimizes errors, ensuring your declarations are compliant and accurate from the start.
With its cutting-edge features, tradePhlo empowers businesses to manage their customs declarations efficiently, reducing the risks of errors, penalties, and delays. Whether you’re handling Entry Summary Declarations (ENS) or Exit Summary Declarations (EXS), tradePhlo is a critical tool to ensure that your operations run smoothly and remain compliant with UK customs regulations.
By combining data, advanced technology, and people power, tradePhlo provides businesses with the support and visibility they need to thrive in today’s complex trading environment.
Conclusion: Ensuring Compliance in a Post-Brexit Landscape
With the UK's evolving post-Brexit trade regulations, compliance with safety and security declarations is critical for businesses. The phased implementation of these regulations and the complexity of the submission process require businesses to invest in the right software, training, and partnerships.
With over 250 million customs declarations expected annually and potential penalties reaching £500 per offense, staying informed and compliant is essential for businesses navigating this new landscape. By understanding the requirements for ENS and EXS submissions and ensuring accurate data across the supply chain, businesses can avoid costly penalties and ensure the seamless movement of goods into and out of the UK.
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