Commenting on today’s UK - EU conditional agreement on terms for a transition period after Brexit, Alan McLintock, Chair of CIOT’s Indirect Taxes Sub-committee, said:
“UK and European Union business will welcome the continuity proposed in today’s agreement (subject to the formal signing happening as expected). It suggests that for most businesses it will be business as usual in cross border trade after March 2019.
“It is good news that businesses in the UK and the EU will only have to adjust to a new customs relationship once.
“We urge the UK and EU not to waste the period up until December 2020 and to get down to agreeing what form the post transition relationship will take. We must avoid a transitional period that just replicates the uncertainty of today with businesses having to second guess late into 2020 how their businesses will be impacted. Businesses need many months advance notice of what the customs regime will be to alter systems and supply chains and for some, today’s news may have come too late to adjust their Brexit planning, particularly for financial institutions.”