Business, Forwarding, Freight News

Forwarders to operate Transitional Simplified Procedures

[ March 25, 2019   //   ]

The British International Freight Association (BIFA) has welcomed HM Revenue & Customs (HMRC)’s decision to allow freight forwarders, as well as traders. to operate the new Transitional Simplified Procedures system in the event of a no-deal Brexit, along with an extension to the period in which the arrangements would apply.

The original proposals appeared to suggest that only traders would be allowed to use TSP.

BIFA had lobbied the government, pointing out that they are the businesses that are most likely to be fully prepared to operate and that it actually discriminated against existing holders.
The period during which TSP would apply was also extended, to 4 October.  The extension, announced on 22 March, would give more time to make prepare, fully test the systems, establish the communication links between the parties involved in the processes, and make sure that everyone concerned is aware of their responsibilities, BIFA added.
Director general Robert Keen also applauded the fact that TSP will be available for any port or airport where goods are being brought into the UK from the EU, not just ro-ro ports and that it would also allow freight forwarders to operate TSP on behalf of their clients.

Keen concluded: “This is a very significant easement of policy and one for which BIFA, amongst others, lobbied hard to ensure all modes were treated equally. It should be noted that much confusion and effort could have been saved if Government had consulted with the trade in the first place.”
“By allowing freight forwarders to operate TSP, the extension recognises the critical role that the freight forwarder plays as an intermediary in the UK’s supply chain.”