Big businesses need up to a year to prepare for new customs arrangements to prevent trade with the EU grinding to a halt after Brexit, KPMG has warned.
David Davis, the Brexit secretary, has said that he did not envisage Britain’s transition arrangements including a customs union with the EU or continuing with present arrangements. KPMG warned that the timescale now looks “frankly unrealistic”.
EU officials believe that the second phase of Brexit negotiations, including the future trade relationship, will not begin until next year.
Bob Jones, head of customs at KPMG, said yesterday that once there was clarity over customs arrangements, businesses would need a year to design, build and test their systems.
This is because custom codes — which classify the product according