• Advertise
  • Contact Us
  • Supplier Directory
  • SCB YouTube
  • About Us
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Parcel & Express
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Robotics
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Customer Relationship Management
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • Green Energy
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • Sourcing/Procurement/SRM
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Management & Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Warehouse Automation
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • WHITEPAPERS
  • VIDEOS
Home » Logistics » Brexit Red Tape Is Becoming a Jackpot for Customs Pros

Brexit Red Tape Is Becoming a Jackpot for Customs Pros

Brexit Trucking
July 21, 2020
Bloomberg

The next big money-making opportunity of Brexit has emerged: selling customs services.

With Britain’s split from the European Union heralding the introduction of border controls between the U.K. and its largest trading partner for the first time in three decades, companies are rushing to acquire the means to file the new customs paperwork that will be required from January.

The surge in demand is a boon for firms such as AEB SE, a closely-held Stuttgart-based provider of software that helps users to file trade declarations. In recent weeks, the firm has seen a five-fold increase in inquiries for its services, which can cost as much as 2,000 pounds ($2,500) a month.

AEB, whose clients include BAE Systems Plc, Volkswagen AG and Kellogg Co., said it expects to process about 500,000 customs declarations a day from next year based on the business it has already won — an increase of at least 2,000% on current levels.

“This is just the beginning of it,” said Geoff Taylor, AEB’s U.K. managing director, who expects demand to grow further as more companies ramp up preparations for Brexit. “I expect our business to continue to be busy for the rest of the year.”

The new red tape is an automatic consequence of Britain leaving the EU’s customs union. Companies will still have to file additional paperwork even if the two sides reach a trade deal this year. Negotiations over that accord will resume in London next week.

Extra Costs

With 400 million extra customs declarations needed annually, and each costing an average of 32.50 pounds, the extra paperwork will add about 13 billion pounds of costs to U.K.-EU trade annually. And if companies don’t have the right documents, their goods risk being held up at ports, causing traffic jams and supply chain disruption.

In a 206-page document outlining its Brexit border plan, the U.K. government says: “Customs declarations are complicated.” This month it started an ad blitz to encourage businesses to prepare for the new rules — either by seeking the services of a customs agent or handling the declarations themselves.

Cashing In

Other startups are seeking to cash in by automating the customs workload. AiDock, whose software helps complete declarations faster, has been demonstrating its product to companies in the U.K. and Ireland. The company, which is based in Israel, has seen a spike in interest, according to William De’Ath, its head of business development for Europe.

James Coombes, co-founder of Vector.ai, a London-based startup which extracts data from documents to speed up the process of filling out customs forms, said firms will have to turn to technology because of a shortage of human customs brokers. The U.K. logistics industry expects at least 50,000 customs agents will be required to handle the extra Brexit paperwork, but early data from training providers suggest the government is far from reaching that target.

“It can take from six months to a year to train a new customs broker, and it’s just unrealistic to bring on that amount of staff in such a short time-frame,” Coombes said. “We’re in a really good position to help.”

The other big winners are established freight-forwarders such as Kuehne + Nagel International AG, DHL International GmbH and DB Schenker, which handle goods movements and customs processes for multinational companies. KGH Customs Services, a Swedish firm set to be acquired by A.P. Moller-Maersk A/S, said it has seen a rush of companies wanting their help.

“It’s now selling like hot potatoes,” said Steve Cock, KGH’s director of customs consultancy for U.K. and Ireland. “People are now actually starting to spend money.”

    RELATED CONTENT

    RELATED VIDEOS

    Logistics Freight Forwarding/Customs Brokerage Global Gateways Technology Global Trade Management Global Supply Chain Management Global Trade & Economics Regulation & Compliance
    KEYWORDS Europe Freight Forwarding/Customs Brokerage Global Logistics Global Trade & Economics Global Trade Management Regulation & Compliance
    • Related Articles

      Firms Brace for Extra Brexit Red Tape Amid Supply Chain Squeeze

      Firms Hit by New Brexit Red Tape as IT System Stops Trucks

      How Supplier Vetting Is Becoming a Game of Numbers

    • Related Directories

      ProcureAbility

    Bloomberg

    Maersk, Hateco Sign Vietnam Rail Freight Project Deal

    More from this author

    Subscribe to our Daily Newsletter!

    Timely, incisive articles delivered directly to your inbox.

    Featured Product

    Popular Stories

    • A BLUE CROSSOVER AUTOMOBILE SITS ON A GREY SHOWROOM FLOOR

      Toyota Commits to Making Cars in Canada as U.S. Rivals Downsize

      Global Supply Chain Management
    • A cartoon illustration of a man sitting at a desk in front of a laptop, surrounded by five faceless humanoid robots

      The Productivity Story Everyone is Missing

      Technology
    • Planet earth from space showing realistic earth surface and world map as in outer space point of view

      Beyond Traditional Trade Agreements: A Proposal for Creating ‘Rules of Resilience’

      Global Supply Chain Management
    • A red and black container ship in open ocean

      Hormuz Attacks Against Commercial Shipping Reach Record Highs

      Global Gateways
    • An overhead view of a collection of multicolored lithium-ion batteries

      Building a Resilient U.S. Battery Supply Chain

      Green Energy

    Digital Edition

    Scb q3 26 cover

    100 Great Supply Chain Partners 2026: The Secret to Supply Chain Success

    VIEW THE LATEST ISSUE

    Case Studies

    • Recycled Tagging Fasteners: Small Changes Make a Big Impact

    • A GRAPHIC SHOWING MULTIPLE FORMS OF SHIPPING, WITH A HUMAN STANDING AT THE CENTER, TOUCHING A SYMBOLIC MAP OF THE WORLD

      Enhancing High-Value Electronics Shipment Security with Tive's Real-Time Tracking

    • A GRAPHIC OF INTERLACING HONEYCOMBED ELEMENTS REPRESENTING GLOBAL BUSINESS TRANSACTIONS

      Moving Robots Site-to-Site

    • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

    • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

    Visit Our Sponsors

    4flow Amazon Freight Anaplan
    Arkieva AutoStore Blue Yonder
    Canadian National Railway Company Carton Cloud CoEnterprise
    Dassault Descartes Dexory
    Duravant E2Open EPG
    General Logistics Systems GEP Hy-Tek
    iGPS Knapp Korber
    Lyngsoe Odyssey Logistics OMP
    PeakAI Procurability Quinyx
    SAP Sikick Staples
    S&P Global Mobility Systech TADA
    Tive TransImpact US Bank
    Werner WSI
    • More From SCB
      • Featured Content
      • Video Library
      • Think Tank Blog
      • SupplyChainBrain Podcast
      • Whitepapers
      • On-Demand Webinars
      • Upcoming Webinars
    • Digital Offerings
      • Digital Issue
      • Subscribe
      • Manage Email Preferences
      • Newsletters
    • Resources
      • Events Calendar
      • 2026 Event Coverage
      • SCB's Great Supply Chain Partners
      • Supplier Directory
      • Case Study Showcase
      • Supply Chain Innovation Awards
      • 100 Great Partners Form
    • SCB Corporate
      • Advertise on SCB.COM
      • About Us
      • Privacy Policy
      • Contact Us
      • Data Sharing Opt-Out

    All content copyright ©2026 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

    Design, CMS, Hosting & Web Development :: ePublishing