Brexit has now become a reality and the transition period has ended.
A number of customers have asked how this will affect our exports to the EU and beyond so please take a look at the following summary to understand any impact.
Currently, we do not anticipate any price changes due to Brexit. We believe our costs should be largely unaffected because we manufacture all our products in the UK. Increases in the prices of raw materials may have an effect but we expect these to be minimal.
Sales with the UK (including Northern Ireland for domestic use)
There is basically no impact on these sales.
Sales to the EU
Sales to the EU will no longer have UK VAT added. All our invoices, whether to a trade or retail customer will be VAT FREE. Trade discounts will continue to be applied to trade accounts
The Brexit agreement between the UK and the EU means there are:
- NO Tariffs
- NO Import taxes
- NO Duty
When the goods arrive in the destination EU country you will be charged your local VAT rate. This applies to both trade and retail customers. You may also be charged a small handling fee by UPS or the postal service. Trade customers will have to recover the VAT through the normal channels. One advantage to this is that in countries such as Germany, where the VAT rate is below the 20% rate used in the UK, our prices have effectively been reduced.
Sales to Norway and Switzerland
These regions remain unaffected by the changes – We will continue to export with no UK VAT added. The rules will be the same as those outlined above for the EU
Sales to the Rest Of The World
Exports to the rest of the world are unaffected by the Brexit situation. However, as the UK continues to establish independent trade deals with the countries outside the EU we may see improved trade relations and the relaxation of tariffs and abolishment of things such as import duty – we will see…..