Explanatory note

These Regulations make various amendments to legislation relating to authorisations and approvals granted by His Majesty’s Revenue and Customs (“HMRC”) relating to various customs procedures and processes, in order to harmonise and simplify those requirements, and to update the processes for the grant or refusal of an application for approval. The Regulations also add additional eligibility criteria which must be met for certain authorisations to be granted.

Regulation 2 contains amendments to the Customs (Import Duty) (EU Exit) Regulations 2018 (S.I. 2018/1248) (“CIDEER 2018”).

Regulation 2(2) and (3) amends regulations 31 and 37 of CIDEER 2018 to alter the eligibility criteria for a person to use the simplified customs declaration process and entry in declarants’ records (EIDR) procedure. This introduces the requirements for a person to have suitable financial standing and to meet certain professional standards of competence to be so authorised. Regulation 2(6) and (7) makes amendments to regulations 97 and 99 of CIDEER 2018 in relation to eligibility criteria contained in those provisions.

Regulation 2(4) inserts new paragraphs (1A) to (1C) into regulation 89 of CIDEER 2018 to give HMRC the power to request further information from the applicant in order to determine the outcome of an application for approval. Under new regulation 89(1A), HMRC may give a notice to the applicant specifying the further information that is required, and, under new paragraph (1B), must specify the period in which to provide that further information. The period under new paragraph (1B) may also be extended under new paragraph (1C). Regulation 2(4) also inserts a new paragraph (2A) into regulation 89, so that the period specified under new paragraph (1B) is disregarded from the “specified period” calculated for the purposes of regulation 89(2). Finally, regulation 2(4) inserts a new paragraph (5A) into regulation 89 to allow HMRC to publish a notice specifying conditions to which an approval is subject for the purposes of regulation 89(4) and (5). Regulation 2(5) makes a consequential amendment to regulation 91(2A) CIDEER 2018 related to new regulation 89(5A).

Regulation 3 makes various amendments to Schedule 1 to the Customs (Transit Procedures) (EU Exit) Regulations 2018 (S.I. 2018/1258). This introduces the requirement to be of suitable financial standing to be an authorised consignee, and for the applicant to prove that they meet the eligibility criteria in regulation 93 of CIDEER 2018 in order to be authorised for various authorisations.

Regulation 4 amends Schedule 1 to the Customs (Temporary Storage Facilities Approval Conditions and Miscellaneous Amendments) (EU Exit) Regulations 2018 (S.I. 2018/1247). These amendments introduce requirements to be of sufficient financial standing and to meet professional standards of competence in order to be authorised to operate a temporary storage facility.

Regulation 5 amends regulation 4 of the Customs (Bulk Declaration and Miscellaneous Amendments) (EU Exit) Regulations 2020 (S.I. 2020/967). This amendment introduces the requirement that an HMRC officer must be satisfied that the applicant is of sufficient financial standing in order to be authorised to use the bulk customs declaration process.

An Impact Assessment has not been prepared for this instrument because it does not meet the financial threshold above which such an assessment is required.