Under the EU-UK Trade and Cooperation Agreement, both Irish Revenue and HMRC have stated that companies will benefit from the mutual recognition aspect of the EU-UK TCA for Authorised Economic Operators (AEO) which relates to safety and security aspects.
Therefore, AEOs who hold AEO Safety and Security (AEOS) or AEO Full authorisation (AEOF) status can benefit from the agreement.
AEO status will secure simplifications at the borders and potential administrative savings through reduced Export/Import Declaration requirements, this is of particular benefit to traders looking at the impacts of Brexit.
The process for application for AEO can be a lengthy one. Although it involves company investment in terms of time and financial benefit; it can be useful to companies by helping them understand their own supply chains & exposure and additionally understand the benefits of introducing new systems & processes.
Our team in BDO can work hand in hand with companies to assist and run the AEO application process ensuring that all Customs requirements are met and in turn identify further opportunities for the company to help ease the burden that Customs can bring.
Our team have worked both in Ireland and UK securing AEO authorisations for companies with 100% of all applications granted by the relevant customs authorities.
Notwithstanding that, our AEO team continues to work with the companies to maintain their AEO authorisations which is of equal importance.
Since the UK left the EU, there has been a strong increase in demand from companies to obtain AEO status, which in turn has caused an increase in the length of time to gain authorisation from the Authorities.
It is also important to note that this authorisation may not be suitable for every company, particularly where additional procedures (such as veterinary checks) need to be carried out at the border, our team will work with you to ensure that the AEO authorisation will be a benefit to your company prior to any work being carried out.
NB: For those who hold AEO Customs Simplification (AEOC) status only, there are no safety and security benefits for them in the Agreement.