Authorised Economic Operator Benefits
Information on Authorised Economic Operator Benefits.
UK benefits
Holders of this status who are based in Great Britain (England, Scotland and Wales) could benefit from:
- a faster application process for customs simplifications and authorisations
- consignments receiving priority treatment for customs controls
- a lower risk score which may reduce the number of checks customs carry out on your documents and goods
- a guarantee waiver up to the level of your deferment account
Northern Ireland benefits
Holders of this status who are a Northern Ireland trader, could benefit from;
- a faster application process for customs simplifications and authorisations
- consignments receiving priority treatment for customs controls
- a lower risk score which may reduce the number of checks customs carry out on documents and goods
- a reduction or waiver of comprehensive guarantees
- a 70% reduction in a business’s deferment account guarantee
- a notification waiver when making entries into a declarant’s records
- moving goods in temporary storage between different EU member states
If a business holds an Authorised Economic Operator authorisation and subsequently applies for another customs authorisation it can help speed up the process as HMRC will not need to re-examine any criteria that have already been met when they applied for AEO.
Holders of this status, could benefit from:
- a lower risk score which may reduce the number of checks customs carry out on documents and goods
- consignments receiving priority treatment for customs controls
- reduced declaration requirements for entry summary declarations and exit summary declarations
- reciprocal arrangements and mutual recognition with international partners
An AEO authorisation can only be issued to the legal entity applying for AEO status and covers their role in the international supply chain. AEO status can be granted to an agent or customs representatives in their capacity as an agent and does not confer AEO status on, or provide the benefits of AEO status for, their clients, who if they wish to obtain AEO status, will need to apply separately.
There may be other commercial benefits in having AEO status or in carrying out the work necessary to document procedures and improve the security of supply chains to obtain AEO status. These may include reduced incidences of theft or losses in transit, improved security and communication with partners in the supply chain and improved customer confidence.
The concept of end-to-end supply chain security means security measures are implemented from the first point until the last point in the supply chain.
A supply chain that includes parties that are not authorised as a security and safety AEO or parties where the AEO holder cannot guarantee secure safety standards will have a higher risk rating and therefore a higher possibility of customs intervention at the frontier than a supply chain where all parties are authorised for the security and safety status.
It may also impact on mutual recognition with our trading partners. It is possible our trading partners may require all parties in the supply chain to have AEO security and safety status before mutual recognition is approved.
To check if a business partner holds an AEO status, you can access the UK AEO database on gov.uk