UK Businesses who export goods to EU nations will benefit from the UK’s continued membership of the Common Transit Convention (CTC).
It means the process of cross border trade will not become more complicated after Brexit.
The CTC is used for moving goods between the EU member states, the EFTA countries (Iceland, Norway, Liechtenstein and Switzerland) as well as Turkey, Macedonia and Serbia.
The UK is currently a member of the CTC while it is in the EU and will be a member in its own right after Brexit. This would apply to any new trading relationship with the EU or in the event of a no deal.
Membership of the CTC will help ensure that trade moves freely between the UK and CTC members after the UK leaves the EU. It will provide cashflow benefits to traders and aid trade flow at key points of entry into the UK, as traders will only have to make customs declarations and pay import duties when they arrive at their final destination.
Financial Secretary to the Treasury, Mel Stride said: “We are a great trading nation and our goods are in demand all over the world.
“That’s why we are committed to ensuring that trade can continue to flow with as little friction as possible when we leave the EU.
“Membership of the convention will support traders both under a new trade agreement with the EU, or in the unlikely event of no deal.
“This gives businesses the continuity and certainty they need to plan for the future.