Important Information‼️

Checks need to be in place on your import declarations, as HMRC has updated the nationally agreed rates under Method 2 for VAT (VVA) which is declared in data element 4/9. An example within 4/9 of using Method 2 for a full load consignment AV GBP 760.00 (this was originally 550.00)

Method 2 is the most popular method for customs valuation as this allows importers to use HMRC Nationally Agreed Averages to calculate incidental costs (like post-landing handling, inland transport, and customs brokerage). Its popularity comes down to two major operational benefits:

1. No Post-Entry Amendments: If you use Method 1 and your actual inland transport or storage costs change after the goods land, you legally must submit a post-clearance amendment to HMRC. Method 2 bypasses this entirely; once you use the fixed standard average, the declaration is final.
2. Administrative Simplicity: It strips out the manual labour of tracking varying variable costs for every single shipment, allowing faster customs clearance workflow.

🔔 Don’t forget, here at East Lancashire Chamber we are your local Customs Agent, we take compliance seriously on your behalf when submitting import and export declarations – contact us now to be on top of compliance international@chamberelancs.co.uk | 01254 945903

Further reading: https://www.gov.uk/guidance/working-out-the-vat-value-using-the-customs-value-of-the-imported-goods