London Daily

Focus on the big picture.
Wednesday, Jun 17, 2026

Collapse of trade with EU will ‘last until the summer’

Collapse of trade with EU will ‘last until the summer’

Delays and confusion at the UK’s ports threatens to put hundreds of small and medium-sized exporters out of business
The collapse of Britain’s trade with the EU will continue into the summer after the failure to recruit up to 30,000 customs agents, despite government assurances that normal service has resumed, industry groups have warned.

Delays and confusion at the UK’s ports, which have resulted in 40% of trucks crossing the Channel with empty containers, threatens to put hundreds of small and medium exporters out of business and cost the government millions of pounds in lost trade tariffs.

The warnings follow the most dramatic monthly fall in exports from the UK to the EU since records began 20 years ago. Exports tumbled by almost 41% as thousands of trucks failed to gain entry to the EU, mostly following customs hold-ups due to a lack of compliant paperwork.

Businesses also reported that a lack of customs agents meant they were unable to respond to orders from customers based in the EU or found their goods were returned at huge cost.

In January, which marked the first month since leaving the EU on terms agreed by Boris Johnson’s government, official data showed that goods exports to the 27-member bloc fell by a staggering £5.6bn, while imports fell by almost 30%, or £6.6bn.

The Cabinet Office minister, Michael Gove, has answered critics of the UK’s failure to prepare for border checks by delaying a previously agreed time​table for imports. Under a new scheme, controls on animal product imports will be pushed back from April until October and checks on most other goods will only take place at UK ports from next January.

But Brussels has insisted that UK exporters comply with EU rules on imports, forcing many British firms to find a customs agent and a vet to certify that animal products are safe to enter the EU.

Richard Burnett, chief executive of the Road Haulage Association, said the deluge of exporters needing help to fill in paperwork meant customs agents were turning business away.

He said: “The delay to import checks is welcome but not a universal fix – we cannot be confident that operators will even be ready on 1 October. The number of skilled customs agents and veterinarians in place across the EU to complete the relevant documentation still falls far short of what is needed.”

Responding to the trade data, Lord Frost, the cabinet minister responsible for Britain’s relationship with the EU, said there was a “unique combination of factors” that meant it was “inevitable that we would see some unusual figures this January”. He added these effects were now “starting to unwind” and overall freight volumes had been “back to their normal levels for over a month now”.

Richard Ballantyne, head of the British Ports Association, said most ports had seen a recovery in shipments over recent weeks, although the delay to import checks had “put off a problem rather than resolved it”.

Rod McKenzie, the RHA head of public affairs, said that with 40% of containers travelling to the EU without goods, shipment numbers failed to show the full impact of new Brexit-related red tape at UK borders.

He said the recruitment of customs agents needed to rise by around 30,000 to nearer 50,000 to cope with the extra regulations. “Judging by our own experience of customs agents, they are swamped with calls and turning away business, which is ridiculous when we have had four years to sort this out.”

He added that delays and loss of exports would continue until more customs agents were trained, leading to delays until at least the summer.

Small and medium businesses are likely to be hardest hit by the dearth of agents that play a crucial role in handling the mountain of new paperwork being imposed on firms that wish to continue trading in Europe.

Alex Altmann, a partner at accountants Blick Rothenberg and the head of the firm’s Brexit advisory group, said: “There is no quick fix to this problem. What we need is an ‘exporter support scheme’ to help British companies.”

Ministers have asked local chambers of commerce to train new customs agents, but the process is understood to be hampered by a lack of information and training for chamber staff to pass on.

Altmann, who is also a chair of the British Chamber of Commerce in Germany, said the pay of customs agents was low and meant recruitment was difficult. He added: “Extending the customs easements at the UK border until the end of 2021 is a confession by the government that the border operating model is not working. Imports from the EU are still more than 30% down compared to last year and businesses struggle to deal with the new red tape.”

A spokesperson for HMRC said: “In total, the government has made over £80m available to support the customs intermediary sector to deal with EU trade in 2021. HMRC designed the grant scheme to be used flexibly by the sector to ensure that they can increase their capacity as they best see fit, whether this involves recruitment, training or better use of IT.

“Recent research has shown the sector expected to see a near fourfold increase in their ability to process declarations and that there are intermediary businesses who have spare capacity.”

The British Chambers of Commerce has told ministers that the difficulties faced by businesses on the ground “go well beyond just teething problems” and disruption to UK-EU trade flows had persisted into March.

Some economists have forecast that delays at UK borders will drag on growth for at least the rest of the year while the Treasury’s official economic forecaster, the Office for Budget Responsibility, has said the thin Brexit deal signed on Christmas Eve would knock 4 percentage points off UK growth over the longer term.
Newsletter

Related Articles

0:00
0:00
Close
Government Advances New Airport Slot Rules to Ease Airline Operating Constraints
BBC Opens Flagship Science-Fiction Franchise to Competitive Production Bids
Chancellor Meets City Leaders Amid Concerns Over Gilt Market Liquidity
Rathbones Shares Fall Seventeen Percent After Regulatory Review Reveals Compliance Failings
United Kingdom Joins Group of Seven Initiative Using Artificial Intelligence and Quantum Computing for Cancer Research
Parliament Debates Doubling Tax Allowance for Pensioners After Major Public Petition
Measles Cases Exceed Seven Hundred in London and the West Midlands
British Military Leadership Faces Parliamentary Scrutiny After Defence Secretary's Sudden Resignation
House of Lords Begins Debate on Steel Industry Nationalisation Legislation
Parliament Advances Bill to Abolish NHS England and Create Single Patient Records
Parliament Fast-Tracks National Security Bill to Expand Powers Against Foreign Threats
United Kingdom and European Union Set July Summit to Deepen Post-Brexit Cooperation
United Kingdom Imposes Seventy New Sanctions on Russia and Expands Support for Ukraine's Nuclear Sector
United Kingdom Announces Social Media Ban for Children Under Sixteen
0British Government Investigates Reports of Russian Warship Firing Warning Shots Near Isle of Wight
UK Supreme Court Revises Legal Definition of Deprivation of Liberty
King’s Birthday Honours Recognise Contributions Across Science, Culture and Public Service
UK Ministry of Defence Reports Interdiction of Russian Shadow Fleet Vessel
UK and US Launch Joint Regulatory Programme for Medicines and Healthcare Products
Solicitor General Refers Murder Sentence to Court of Appeal Under Unduly Lenient Scheme
UK Launches £1.6 Million Mobile Museum Initiative to Expand Cultural Access
Judicial Pay Structure Undergoes Government Review Following Senior Recommendations
Government Confirms Nearly 180 New Youth Hubs Across the United Kingdom
UK Government Expands Careers Support Through Partnership with LinkedIn
Digital News Report Highlights Growing Global Concern Over AI and Information Overload
UK Chancellor Reaffirms Fiscal Discipline and Borrowing Reduction Strategy
UK Government Invests £219 Million in Sustainable Aviation Fuel Development
Rolls-Royce Small Modular Reactors Secures Major Swedish Export Contract
Government Confirms Locations for Nearly 180 Youth Hubs Across Great Britain
UK Government Partners with LinkedIn to Expand Employment Support Services
Reuters Institute Report Flags Rising Public Anxiety Over News and Information Overload
UK Government Commits £219 Million to Expand Sustainable Aviation Fuel Industry
Chancellor Convenes Market Engagement Group to Assess UK Economic Outlook and Productivity Risks
Rolls-Royce Wins Multibillion-Pound Swedish Contract for Small Modular Nuclear Reactors
Government to Ban Social Media Access for Under-Sixteens Across the United Kingdom
Government Approves Fast-Tracked Broadcast Merger Reshaping UK's Media Landscape
Resignation of Defence Secretary John Healey Triggers Debate Over UK Military Strategy
Britain Intensifies Diplomatic Efforts to Support US-Iran Ceasefire
Bank of England Faces Tough Interest Rate Choices After Economic Contraction
Belfast Sees Second Day of Anti-Migrant Riots as Police Deploy Water Cannons
UK Economy Shrinks in April as Energy Price Shocks Weigh on Growth
UK to Ban Social Media Access for Children Under 16 From 2027
UK Parliament Opens Week of Fast-Tracked Security and Infrastructure Legislation
Northern Ireland Projects £21 Million Boost From Major Cultural and Sporting Events
UK and Japan Sign Technology Security Pact to Strengthen AI and Supply Chain Cooperation
UK Welcomes US-Iran Peace Breakthrough Aimed at Restoring Strait of Hormuz Shipping
British Forces Intercept Russian Shadow Fleet Oil Tanker in English Channel Sanctions Operation
UK to Ban Social Media for Under-16s Under Landmark Online Safety Expansion
Anti-Immigrant Riots Spread Across Belfast, Raising Security Concerns
Ministry of Defence Opens Europe's Largest Drone Testing Facility in Swindon
×