The United Kingdom–Crown Dependencies Customs Union (UK-CD Customs Union) or customs arrangements with the

Crown Dependencies The Crown Dependencies are three dependent territory, offshore island territories in the British Islands that are self-governing possessions of the The Crown, British Crown: the Bailiwick of Guernsey and the Jersey, Bailiwick of Jersey, both lo ...

is a

customs union A customs union is generally defined as a type of trade bloc which is composed of a free trade area with a common external tariff.GATTArticle 24 s. 8 (a) Customs unions are established through trade pacts where the participant countries set u ...

that covers the

British Islands The British Islands is a term within the law of the United Kingdom which refers collectively to the following four polities: * the United Kingdom of Great Britain and Northern Ireland; * the Bailiwick of Guernsey (including the jurisdictio ...

. On 1 January 2021, the United Kingdom extended its membership of the

World Trade Organization The World Trade Organization (WTO) is an intergovernmental organization headquartered in Geneva, Switzerland that regulates and facilitates international trade. Governments use the organization to establish, revise, and enforce the rules that g ...

(WTO) to the

Channel Islands The Channel Islands are an archipelago in the English Channel, off the French coast of Normandy. They are divided into two Crown Dependencies: the Jersey, Bailiwick of Jersey, which is the largest of the islands; and the Bailiwick of Guernsey, ...

History

Prior to the UK's exit from the EU, trade between the UK and Crown Dependencies was governed by protocol 3 of the UK's EU accession treaty. On 26 November 2018, the UK signed customs agreements with each of the Crown Dependencies to allow free trade to continue to flow across between all the parties by creating a single UK–Crown Dependencies Customs Union. On 29 December 2020, the UK–Crown Dependencies Customs Agreements took effect and officially created a customs union between the UK and Crown Dependencies. Though

Northern Ireland Northern Ireland ( ; ) is a Countries of the United Kingdom, part of the United Kingdom in the north-east of the island of Ireland. It has been #Descriptions, variously described as a country, province or region. Northern Ireland shares Repub ...

is considered an integral part of the

United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Northwestern Europe, off the coast of European mainland, the continental mainland. It comprises England, Scotlan ...

and is not part of the European Union, to maintain a peaceful resolution of the Northern Ireland Conflict, it has an open border with the

Republic of Ireland Ireland ( ), also known as the Republic of Ireland (), is a country in Northwestern Europe, north-western Europe consisting of 26 of the 32 Counties of Ireland, counties of the island of Ireland, with a population of about 5.4 million. ...

, which is part of the European Union single market. The

Northern Ireland Protocol The Protocol on Ireland/Northern Ireland, commonly abbreviated to the Northern Ireland Protocol (NIP), is a protocol to the Brexit withdrawal agreement that sets out Northern Ireland’s post-Brexit relationship with both the EU and Great Bri ...

, which first came into effect on 24 March 2023, regulates inter-island trade to support this arrangement. Internal shipments from

Great Britain Great Britain is an island in the North Atlantic Ocean off the north-west coast of continental Europe, consisting of the countries England, Scotland, and Wales. With an area of , it is the largest of the British Isles, the List of European ...

are regulated as imports to the EU, but shipments from Northern Ireland can enter the rest of UK customs union barrier-free. On 26 September 2023, the UK Treasury made The Customs (Northern Ireland) (EU Exit) (Amendment) Regulations 2023. This is a statutory instrument (2023 No. 958) The new regulations updated the UK's customs duty rules for goods moving between Great Britain and Northern Ireland and created a wider definition to determine whether food is at risk of entering the EU.

Objectives

The customs agreements: * remove

customs duties A tariff or import tax is a duty (tax), duty imposed by a national Government, government, customs territory, or supranational union on imports of goods and is paid by the importer. Exceptionally, an export tax may be levied on exports of goods ...

between members * prohibit quantitive restrictions * create a

common external tariff A common external tariff (CET) must be introduced when a group of countries forms a customs union. The same customs duties, import quotas, preferences or other non-tariff barriers to trade apply to all goods entering the area, regardless of which ...

* create a shared safety and security zone * create a joint customs committee * create a single

customs area Customs is an authority or Government agency, agency in a country responsible for collecting tariffs and for controlling International trade, the flow of goods, including animals, transports, personal effects, and hazardous items, into and out ...

. These agreements also state that they may be terminated at any time by mutual agreement.

Common Transit Convention

On 29 December 2020, the United Kingdom became an independent member of Common Transit Convention; this has been extended to the crown dependencies through the UK–Crown Dependencies customs union and is used as the basis for common transit between members.

Customs alignment

Paragraphs 10 to 12 provide that members of the customs union will align with the UK in areas of customs laws, rules and procedures.

Joint UK-CD Customs Committee

The customs agreements created a joint customs committee (UK-CD Customs Committee). This committee will meet at least once a year and will act as a forum for: * Exchanging views on common interests regarding the agreements * Reviewing the operation of the agreements * Seeking appropriate way and methods to avoid problems occurring in regard to areas covered in the agreements * Mediation should problems occur regarding areas covered in the agreements.

External Customs Tariffs

In 2020 the

UK government His Majesty's Government, abbreviated to HM Government or otherwise UK Government, is the central government, central executive authority of the United Kingdom of Great Britain and Northern Ireland.

passed the Customs (Tariff Quotas)(EU Exit) Regulations 2020. The purpose of this regulation is to update definitions in customs legislation.

Customs agreements

References

Footnotes

External links

Customs arrangements with the Crown Dependencies

The Customs (Crown Dependencies Customs Union) (EU Exit) Regulations 2019
{{DEFAULTSORT:United Kingdom-Crown Dependencies Customs Union 2020 establishments in the United Kingdom Customs unions Economy of dependent territories of the United Kingdom Economy of the United Kingdom Economy of the Channel Islands Economy of the Isle of Man Guernsey–United Kingdom relations Isle of Man–United Kingdom relations Jersey–United Kingdom relations Politics of the British Isles