How will Brexit impact on international mail and parcel deliveries?
20th September 2018
The goal for October 2018 is to finalise a withdrawal treaty governing the UK's departure from the EU as well as a political framework agreement covering the future relationship between the two entities. What this means and what it will finally look like nobody can be sure, but as the October deadline looms closer, Spatial Global, like it’s clients, needs to plan for the worst and hope for the best.
According to www.parliament.uk, the UK website featuring the latest news from the House of Commons and House of Lords states:
Non-participation in the EU's cross border parcel delivery regime will have little impact on UK stakeholders. However, leaving the customs union and the single market will potentially lead to customs duties, border formalities, and import VAT being applied to parcel deliveries between the UK and the EU (and vice-versa), which would lead to slower delivery times and increased costs for businesses and consumers.
No one can exactly pinpoint how Brexit will affect parcel delivery between the UK and Europe, but what appears to be clear is that slower parcel delivery times are highly likely. Plus, it’s expected that any item worth over a value of £15 will be liable to VAT. The price of VAT may even be approximately 20% of the total value of the item. This could have a significant impact on UK based ecommerce brands.
You can be sure that we’ll keep you informed as soon as the facts are available.