EXPERTS PREDICT DELAYS AS HRMC CHIEF SYSTEM CLOSES THIS WEEK
On Friday 30th of September, the HRMC CHIEF service (Customs Handling of Import & Export Freight) will close, meaning import/exporters will only be able to use the new Customs Declaration Service.
A fully scalable system, CDS is designed to be able to handle the increased volume of declarations caused by Brexit. The government’s goal is for the UK to have a single customs platform by 2025.
Although the end of the CHIEF system was announced well in advance, experts at same day courier service Speedy Freightare predicting the transition to the new system could cause disruption to UK supply chains.
Speedy Freight Network Service Manager, Shona Brown said: “Even though there’s been a lot of comms from BIFA and HMRC about the planned implementation of CDS, a change on this scale for import/export businesses will pose significant logistical challenges. Even if the new regulations cause a small delay of 10-20 minutes on each import entry, the knock-on effect across UK supply chains could be significant.”
One of the biggest differences between CHIEF, which is over 30 years old, and the new CDS system is the level of detail needed for each import entry. For businesses importing or exporting different commodities with every shipment, processing the detail needed for each entry could add significant time to each job.
Shona continued: “One of the key benefits of CDS is that it’s a more accurate system, but it’s going to take time for businesses to understand it and manage the changes it causes. The most important thing to do with the introduction of a new system like this is to ensure you’ve made adequate preparations. Some of our customers, for example, have chosen to run CDS and CHIEF simultaneously, rather than have a hard switch to the new system, to ensure a smoother transition.
“With all major changes to import and export regulations, it’s vital to start planning as early as you can to minimise disruption. For example, right now, export only businesses need to be looking ahead to March 2023, when CDS comes into effect for exporters too.”
To prepare for the end of CHIEF on Friday, Speedy Freight has been running sessions with all of its branches to ensure teams are on board with the changes.
What’s more, teams have been working closely with clients to help them to understand the scope and scale of the changes, and how they’ll effect the running of their businesses.
For more information on the planned changes, visit: https://speedyfreight.com/are-you-prepared-for-the-new-customs-declaration-service/