Key Updates Impacting UK Export and Import as of February 28, 2025
UK-US Trade Negotiations Gain Momentum
The UK and US have formally launched negotiations on a new trade agreement, focusing on technology, regulatory alignment, and investment. During Prime Minister Keir Starmer’s recent visit to Washington, discussions covered potential tariff reductions, AI cooperation, and supply chain security. The agreement could provide UK exporters with enhanced access to the US market, benefiting key industries such as advanced manufacturing, financial services, and pharmaceuticals. Businesses involved in transatlantic trade should monitor these developments closely, as the final deal could significantly impact export procedures and compliance requirements.
Significant Updates to Open General Export Licences (OGELs)
The UK government has implemented notable changes to several Open General Export Licences (OGELs), directly affecting exporters of military and high-tech goods. On February 24, 2025, the Export Control Joint Unit (ECJU) issued Notice to Exporters 2025/02, announcing the inclusion of Greece as a permitted destination under the OGEL for exports supporting the Joint Strike Fighter (F-35 Lightning II) program. This expansion enables UK businesses to engage in defense-related exports to Greece, potentially opening new market opportunities. Subsequently, on February 26, 2025, the ECJU released Notice to Exporters 2025/04, detailing the removal of Rwanda as a permitted destination from four specific OGELs:
- Export After Exhibition or Demonstration: Military Goods
- Export for Repair/Replacement Under Warranty: Military Goods
- PCBs and Components for Military Goods
- Software and Source Code for Military Goods
These amendments reflect the UK’s ongoing assessment of international relations and export control policies. Exporters utilizing these licences must review the updated terms to ensure compliance with current regulations. Engaging in exports to newly included destinations like Greece may offer growth opportunities, while understanding the restrictions concerning Rwanda is crucial to avoid potential legal issues. Staying abreast of such changes is essential for maintaining lawful export operations and capitalizing on emerging markets.
See all Notices to Exporters here: Notices to exporters – GOV.UK
Excise Duty Regulations Overhauled to Improve Compliance
The UK government has introduced changes to excise duty rules to simplify compliance for alcohol producers, importers, and retailers. One key update includes removing the 72-hour storage restriction for excise goods in duty suspension, allowing businesses greater flexibility in managing their stock. This change is expected to reduce logistical bottlenecks and streamline supply chain operations, particularly for businesses that rely on bonded warehouses. UK importers and distributors should review their current excise duty arrangements to ensure they align with the updated requirements.
For further details visit: Alcohol Duty uprating – GOV.UK
HMRC Updates Simplified Procedure Value (SPV) Rules
HM Revenue & Customs (HMRC) has announced an update to the Simplified Procedure Value (SPV) framework, effective from February 28 to March 13, 2025. The SPV system facilitates customs valuation for specific goods, enabling businesses to declare import values more accurately. The latest revisions encompass new calculation thresholds and updated eligibility criteria, impacting companies that utilize simplified declarations. In light of these changes, importers should promptly review their current declarations to ensure they comply with the new guidelines. Additionally, businesses may need to adjust their internal processes and train relevant staff to align with the updated SPV requirements. Proactive engagement with customs advisors or HMRC representatives is advisable to address any uncertainties and prevent potential delays or penalties. Staying informed about such regulatory updates is crucial for maintaining seamless import operations and avoiding compliance issues.
For further details visit Tariff Stop Press Notice – 27 February 2025 – UK Integrated Online Tariff
Strengthened UK Sanctions Compliance for Russian Trade
The UK Export Control Joint Unit has released updated guidance on identifying and preventing the evasion of Russian trade sanctions. The revisions include new risk indicators for businesses exporting goods with potential dual-use applications, particularly in sectors such as electronics, industrial machinery, and chemicals. Companies engaged in international trade should assess their supply chains and conduct thorough due diligence on counterparties to ensure compliance with evolving sanctions laws. Failure to adhere to these measures could result in severe financial and legal consequences for non-compliant firms.
Final Thoughts
These regulatory changes and trade developments have significant implications for UK businesses involved in importing and exporting. Staying informed and adapting to new requirements will be essential for ensuring smooth operations and continued growth in global markets. Exporters and importers should proactively review their compliance strategies, consult industry experts, and leverage available government resources to navigate the evolving trade landscape.
For advice or training to help your business keep up with ever changing regulations please do contact us by emailing team@exporter-services.co.uk or clink the link for training courses Import Export Training Courses UK – Exporter Services
