The UK's expenditure on new post-Brexit import regulations is projected to reach approximately $6 billion, as reported by the country's public spending watchdog. The implementation of these controls, following the UK's departure from the EU customs market in 2020, has been marked by repeated delays, with the government pushing back the full implementation of controls five times since Brexit. This has introduced a level of uncertainty for businesses, impacting their preparation for the changes.
Since leaving the EU's single market and customs union in 2021, the UK has faced challenges in trading goods with the EU, leading to reduced trade volumes. The gradual implementation of the Border Target Operating Model (BTOM) in 2023, aimed at managing trade across the border, is part of the UK's efforts to adapt to its new trading relationship with the EU. The National Audit Office (NAO) criticizes the government's approach, highlighting a lack of clarity and integrated planning in the 2025 UK Border Strategy. The strategy, which outlines the government's vision for border controls, is said to lack a definitive timetable and a cohesive cross-government delivery plan.
With the first two phases of BTOM already in force and a third phase pending, the UK's commitment to enhancing border performance through significant investment is evident. However, the effectiveness of these measures and their impact on trade and businesses remains to be seen, as stakeholders navigate the complexities of the post-Brexit landscape.
Source: dw.com