Customs rules for trade with the EU

Since the UK has left the EU customs union, single market, and VAT area, some businesses and individual constituents find the changing import and export procedures for goods challenging. The Trade and Cooperation Agreement (TCA) sets out the terms of UK trade with the EU from 1 January 2021. Below are the main sources of information that may help people dealing with constituency casework questions about customs rules.

This document is intended as a brief overview of some issues arising from trade with the EU. It is not a comprehensive guide to all aspects of imports and exports and does not cover the circumstances of any specific case.

The TCA ensures that no tariffs (taxes on imports) or quotas (quantitative import restrictions) apply to goods moving between the EU and UK, provided those goods meet the rules of origin (RoO). The RoO determine the ‘economic nationality’ of a good based on where it is made or where the materials (or inputs) used in its production come from. The RoO prevent goods manufactured in third countries from being re-routed through the UK (or the EU) to avoid paying third country tariffs.

To benefit from the TCA zero tariff, businesses must show the origin of their goods. A product qualifies as ‘originating’, if it is ‘wholly obtained’ in the UK and EU, or has been substantially transformed in one or both markets. As reported by the Financial Times, UK businesses re-exporting goods from third countries with little or no further processing may still face tariffs when trading with EU Member States.

Rules of origin are product-specific, and compliance can be onerous. Businesses sometimes cannot, or do not wish to claim zero tariffs offered by the TCA. Research by the UK Trade Policy Observatory shows that overall, UK exporters make effective use of preferential rates, though use varies by sector. For example, across the various categories of goods in the textiles and clothing sector, only 10% to 53% of UK exports to the EU claimed zero tariffs in 2022.

Customs controls ensure customs tariffs are paid on goods moving across the border, and goods comply with safety, security, health, and environmental requirements.

The EU introduced full customs controls on 1 January 2021.

The UK Government has been phasing in border controls for goods imported from the EU since 2021. Customs declarations are now required for all goods imported into Great Britain. However, the introduction of full customs checks has been postponed several times.

The Border Target Operating Model (BTOM), first published in August 2023, outlines the UK’s new risk-based approach to imports of live animals, products of animal origin, plants and plant products from all countries, including the EU. Agrifood goods are subject to identity and physical checks depending on the risk they pose to biosecurity, public health, and food safety and security. The BTOM proposed a phased introduction of the remaining controls:

• health certification and sanitary and phytosanitary (SPS) checks on all agri-food products;
• physical SPS checks on EU imports at designated Border Control Posts; and
• safety and security declarations, which border authorities use to assess potential risks posed by goods crossing the border.

The BTOM also includes plans to digitise customs controls on all imports, introducing a Single Trade Window for businesses: a digital gateway for all border requirements.

Aiming to improve the UK’s trade relationship with the EU and ease the flow of goods, this government is seeking to negotiate an SPS agreement. At the UK-EU summit in May 2025, the UK and EU agreed to establish a UK-EU SPS Area, which would remove border checks and certification requirements for most agrifood products moving between Great Britain and the EU. The SPS agreement, whose details are to be negotiated, would also facilitate trade in previously restricted goods, such as chilled sausages, shellfish, and seed potatoes.

From 31 January 2024, businesses must pre-notify imports of animals, plants, and high-risk food and feed. Certain high-risk animal and plant products require health certificates and checks. From 30 April 2024, documentary and physical checks on EU imports were gradually rolled out at Border Control Posts, focussing on medium risk goods and goods with the highest biosecurity risk.

To cover the cost of SPS checks, businesses must pay a common user charge on imports of various risk categories of animal and plant products entering Great Britain through the Port of Dover or Eurotunnel.

In advance of an SPS agreement with the EU, the government has further postponed physical checks on medium-risk fruit and vegetable imports from the EU until 31 January 2027. Because of budgetary concerns, it has paused its work on the Single Trade Window for the 2025-26 financial year.

• Making customs declarations on all goods exported from and imported into the UK (rules differ for moving goods in and out of Northern Ireland).
• Checking which special rules of licensing or certification apply to goods such as agrifoods or chemicals.
• Classifying goods and recording their origin. Incorrect commodity codes or inaccurate recording of origin in customs declarations may lead to incorrect amounts of tax or duty being charged. HMRC has published further information ̶UK: Proving originating status and claiming a reduced rate of Customs Duty for trade between the UK and EU  see Proving originating status and claiming a reduced rate of Customs Duty for trade between the UK and EU. Importers can check the applicable UK tariff duties and VAT rates using the HMRC Trade Tariff tool.
• Following the EU and UK requirements on safety and security declarations. On 31 January 2025, the UK introduced entry summary declarations for EU imports. Exports to the EU require an exit summary declaration.

Classifying goods and submitting customs declarations can be complex. HMRC maintains an list of private customs intermediaries – unvetted customs agents and express operators – whom businesses can ask to complete the paperwork on their behalf.

• HMRC website on import, export and customs for businesses has step-by-step guides on processes for importing and exporting. HMRC’s Customs & International Trade Helpline number is 0300‌ ‌322‌ ‌‌9434.
• The Business.gov.uk page has a dedicated export support team for businesses exporting to the EU and the rest of the world.
• Dedicated gov.uk guidance explains how businesses can export food, drink and agricultural products.
• Different rules apply to Northern Ireland. Businesses moving goods between Great Britain and Northern Ireland can register for the free Trader Support Service.
• The European Commission portal, Access2Markets is intended to help businesses importing into and exporting from the EU. A Commission website gives a brief overview of changes to trade with the UK brought in by the TCA. In individual cases, it is advisable to consult the involved EU Member State’s customs authorities.

The Commons Library does not intend the information in this article to address the specific circumstances of any particular individual. We have published it to support the work of MPs. You should not rely upon it as legal or professional advice, or as a substitute for it. We do not accept any liability whatsoever for any errors, omissions or misstatements contained herein. You should consult a suitably qualified professional if you require specific advice or information. Read our briefing for information about sources of legal advice and help.