EU-UK border costs surge, clearBorder report warns

The State of the Border report, based on the experiences of 900 businesses across the UK, France, and Germany, warns that the post-Brexit border has become significantly worse over the last twelve months, with 64% of firms reporting increases in fees and delays.

As the UK and EU negotiate a supposed ‘reset’ in relations, the report’s authors found consistently poor experience for businesses from the UK, France and Germany, with many bearing higher costs and enduring delays.

The report found that:

• Almost 3 in 5 businesses have experienced significant delays
• Border costs have risen adding to costs for UK, French and German businesses
• German businesses remain most optimistic about trade recovery, despite reporting some of the worst border experience
• French businesses are the most pessimistic, and are particularly concerned about increased domestic instability
• All three countries anticipate improvements in EU/UK trade. UK businesses were more optimistic about trade with the US than French and German counterparts

The report builds on more than three years of research conducted in the UK. Today’s report includes businesses in Germany and France, to offer valuable insights into how businesses are navigating the complexities of cross border trade.

As countries ready themselves for US tariffs, the research highlights how businesses respond as trade becomes more complex. Many are adapting, with investment in software, staff and automation.

“The numbers speak for themselves,” says Christopher Salmon, CEO and founder of clearBorder. “Over four years of research we have seen no improvement in the performance of the border. What has improved about businesses’ experience is down to them investing, adapting and growing in confidence.

“This year we can see that French and German businesses’ experience is similar – sometimes worse. As the UK government and EU negotiate, they should recognise that a better border benefits both sides.

“That means investment: investment in automation, trade facilitation and cooperation over data. That would bring huge gains – without the need to challenge any negotiating red lines.”

Nevertheless, organisations across the three countries surveyed remain optimistic that they can adapt to border difficulties, and most have reported that they have made at least one change to their operations in the past year.