Organisations should be aware that there has been a revision to HMRC’s guidance on the availability of the grant funding to say that it is only available to those that are having to deal with imports/ exports for the first time. If organisations previously imported or exported goods from or to outside the EU the suggestion is that they cannot benefit from the grants. This requirement appears to be a late addition to the guidance on the availability of the grant funding and, if correct, will prevent a large number of organisations from accessing a grant. We are seeking clarification from HMRC.
With almost three months gone since the UK's transition out of the EU, many organisations are now moving out of the initial 'keep operating' phase and into a period of taking stock to determine if more strategic changes are required.
Many of our clients are now benefitting from Brexit health checks that offer a bespoke review of their situation in light of the changes. These help with looking at whether any unexpected costs or liabilities have crept in during Q1 2021, while all eyes were focussed on understanding and adapting to the new rules. For most, it should be possible to mitigate or minimise these issues in order that trading can get back to as close as it was before. If that isn't possible, then setting up new structures or supply chains is the next stage of review.
In addition, as a help to organisations wishing to understand the implications of Brexit further or seek professional guidance, HMRC have introduced grants of up to £2,000 for SMEs. These are to be used specifically for professional advice on Brexit. Full details on these can be found here.
Organisations can take advantage of this grant where:
Brexit has brought about numerous changes that have resulted in new, difficult challenges. If things have not been running as smoothly as expected, or you still have unanswered questions as to how your organisation should be dealing with supplies in a post-Brexit world, we'd be happy to discuss them with you.
To find out more about how a Brexit health check would help your organisation, or if you have questions on the government grants, please contact Rob Janering or your usual Crowe contact.