Movement guarantees: What levels do we require for a movement guarantee?
You should normally set the following levels:
|Potential duty on an average weeks movements||Level of security|
|<£1m||25% of potential duty|
|>£1m but <£25m||£250,000|
|>£25m but <£100m||1% of potential duty|
In all cases you may demand a security higher than that shown in the above bandingsincluding, if necessary, a guarantee of more than £1m. You may also require traders toprovide a guarantee that would cover the maximum amount of duty suspended in a singlemovement. For example, you could require a guarantee of £30,000 where this is the amountof duty suspended on a single movement even if the Principal meets the criteria for alower level of guarantee.
You should also note that duty representatives (registered under WOWG 1999 to act onbehalf of non-UK owners of warehoused goods) cannot provide movement guarantees.