This article was published before we became the Chartered Institute of Export & International Trade on 10 July 2024, and this is reflected in references to our old brand and name. For more information about us becoming Chartered, visit our dedicated webpage on the change here.

HMRC logo on Whitehall building

The government has announced the latest series of penalties issued for breaches of export controls.

HMRC has listed a series of compound settlement offers to four UK exporters, amounting to over £3.6m.

These fines related to unlicensed exports of dual-use goods, military goods and related activities.

Details

The details of the fine are:

  • £994,074.74 was paid relating to the unlicensed exports of military goods controlled by the Export Control Order 2008
  • £1,000.00 was paid relating to the unlicensed trade in military goods controlled by the Export Control Order 2008
  • £1,883,442.00 was paid relating to the unlicensed exports of military goods controlled by the Export Control Order 2008
  • £745,620.00 was paid relating to the unlicensed exports of dual-use goods controlled by the Export Control Order 2008

Sam Hodgkins, a customs and trade specialist at the Institute of Export & International Trade, said:

“These penalties are a timely reminder of the continued importance of compliance with export controls and sanctions.

“Companies should note that failing to comply with the UK’s controls regime can result in hefty penalties, regardless of whether this is deliberate or inadvertent. Companies operating in the EU or US should also be aware of the impact of sanctions regimes there too.

“The IOE&IT offers services to exporters and helps them understand the rules that apply.”

Latest in sanctions

The most recent package of sanctions was announced on 8 February by foreign secretary James Cleverly, targeting entities providing military equipment – such as drones – and eight individuals and one entity connected to Russian financial networks.

The EU is also debating its latest sanctions package, timed to coincide with the anniversary of Russia’s invasion of Ukraine (24 February).

Support available

The IOE&IT offers training and consultancy in export control compliance, with IOE&IT members able to benefit from discounted rates.

In February, the IOE&IT also launched a Special Interest Group for professionals working in export controls, with networking opportunities and specialised content.

Another meeting of the group is being planned. Those interested can register here.

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