Research and analysis

Customs intermediaries wave 5 executive summary

Published 29 June 2023

1. Background and methodology

This summary report presents the key findings from the fifth wave of research with customs intermediaries, conducted on behalf of HM Revenue and Customs (HMRC). HMRC commissioned Ipsos to undertake research to understand the size and characteristics of the customs intermediary sector. Conducted over 5 waves between June 2020 and March 2022, the research explored the sector’s preparations for EU Exit, the end of the transition period, and new customs processes that are in place. The topics have varied each wave, with the overall aim being to measure change in customs intermediaries’ capacity and confidence in response to EU Exit policies, as well as to better understand the population in terms of structure and services provided to traders.

The research focused on customs intermediaries who already made customs declarations on behalf of traders (either in-house, through outsourcing to another customs intermediary, or a mix of both), and for Waves 1 to 4 those who said they intended to do so once full customs declarations were required on all EU trade (again, either in-house, through outsourcing to another customs intermediary, or a mix of both).

The Wave 5 survey took place between 17 February and 22 March 2022 and consisted of 257 telephone interviews with customs intermediaries (235 of whom had taken part in earlier surveys). In addition, 15 follow-up, qualitative in-depth interviews were conducted via telephone between 17 and 31 March 2022. The findings in this report were correct at the time of asking but may not reflect the current situation.

2. Key findings

  • The total number of customs declarations completed is in line with Wave 4. Four in ten customs intermediaries were planning to increase their capacity in the first 6 months of 2022 (42%) while just over half expected to maintain the same capacity (54%).

  • A third of those making customs declarations did so on behalf of goods moving from Great Britain to Northern Ireland (32%).

  • Awareness of the new Customs Declaration Service (CDS) increased to 77% from 65% at Wave 4. Overall confidence levels with the transition remain unchanged, and there is a strong appetite for practical experience of using the new system as part of preparations; customs intermediaries would feel confident once they tried using the system.

  • Customs intermediaries’ confidence in understanding the new requirements of EU trade remained high (77%), but many continued to report barriers to making additional customs declarations (39% reported no barriers at Wave 5). Lack of information or uncertainty around requirements remained the main barrier (29%), followed by uncertainty around transit times or delays (12%).