Brexit information
Are you shipping packages to the United Kingdom? Brexit has brought about changes that are gradually taking shape. We strongly encourage you to read this article and take note of the new terms and conditions that will apply to your shipments. *
In this article:
1. UK shipping terms and conditions under Brexit
2. Additional transportation fees
3. Steps to be followed
1. UK shipping terms and conditions under Brexit
As of January 1st, 2021, the border between the EU and the United Kingdom has been re-established.
What does this mean?
- A customs checkpoint has been established and consequently, some products have to be cleared through customs.
- The physical transit at the border has also been slowed down, and given the large parcel flows, this may create congestion, especially in cases where customs request control of goods. In order to facilitate the process, a "smart border" will be set up.
- Once the customs clearance has been completed, the last part remains: the delivery to the recipient and the potential collection of VAT and taxes from the latter (case of DAP - Delivered At Place).
In order to be informed about the new UK shipping terms and conditions, we invite you to consult this table.
2. Additional transportation fees
As of January 1st, 2021, an additional 5€/HT per shipment is being charged by our partners Chronopost, UPS, DHL and Colissimo for handling customs formalities on each shipment directed to the United Kingdom.
More details below :
a) The value of your order is less than £135
- The end customer must pay the VAT to the e-merchant (rate of 20% on goods, more details on this site).
- Customs duties will be waived.
- You (e-merchant) must have taken the necessary steps with HMRC to obtain a UK VAT number. This number as well as the EORI number will appear on the invoice (these numbers will be added to the invoices by Bigblue).
- You will then have to pay the VAT to the British authorities.
b) The value of your order is £135 or more
- The end customer pays the value of their order before tax on your e-commerce site.
- Upon the arrival of the package at its destination, the end customer must pay:
(i) customs duties (the amount will depend on the type and origin of the products),
(ii) 20% VAT,
(iii) a customs clearance fee to the last mile delivery person (as an example, this fee is £12 in the UK).
3. Steps to be followed
In order to be able to export to the UK you should:
- Get a UK EORI number (cf. Get an EORI number),
- Register with HMRC, the UK's fee collection organisation (cf. HMRC services: sign in or register) and obtain a British VAT number (cf. Register for VAT)
- Enter this information directly into the Bigblue application on the Organization page:
💡 If you're a Shopify user, you can proceed with the VAT set up here.
*Article updated on 19/01/21.