EU Union Customs Code (UCC) reforms – EUR 3 customs and EUR 2 handling fees

Note that this information from the Department for Business, Innovation, Science and Trade (BIST) should not be taken as legal or compliance advice. Seek independent advice based on your personal operational requirements.

These changes are domestic policies instituted by the member states are not linked to the EU-UK Trade and Cooperation Agreement. The UK government cannot comment nor intercede on a member state’s internal policies.

Guidance on movements into Northern Ireland will be available in due course.

EUR 3 temporary customs duty

The European Union removed the exemption from customs duty for parcels valued at EUR 150 or below from 1 July 2026. A EUR 3 customs duty charge per item will apply on parcels moving from business outside the EU to consumers in the EU. Other goods below EUR 150 will be charged duty according to the EU’s normal tariff.

These changes are being introduced as part of a wider package of EU changes. You can find additional information via the European Commission's explainer documentopens www.consilium.europa.eu in a new tab, the official guidanceopens taxation-customs.ec.europa.eu in a new tab, as well as the regulationopens data.consilium.europa.eu in a new tab itself.

A short video explaining the reforms can be accessed on the Business Academy's website. You can sign up to the Business Academy to see any future webinars on the changes which will be listed as part of its 'Unlock Europe' series.

EUR 2 union handling fee

The Union handling fee (UHF) of EUR 2 per item applies to all from 1 November 2026. Goods under EUR 150 will be subject to the UHF as well as the EUR 3 temporary duty, while goods over EUR 150 will be subject to the relevant customs duties as well as the UHF.

Defining per item

Both the temporary customs duty and the UHF are charged 'per item', which is defined in section 5.2 of the European Commission's guidance document. This applies irrespective of the quantity of articles in the declaration line.

The value charged will also depend on whether it is made under H1/H6/H7 declarations, where a H1 might incur higher costs for the sender.

Examples of how the UHF is calculated and how it would work in conjunction with the EUR 3 temporary duty and declaration type can be found in the European Commission’s official guidance.opens taxation-customs.ec.europa.eu in a new tab

What businesses can do

We strongly advise all traders to consult with your express operator to understand the requirements for sending low value goods to the EU after 1 November 2026. Operators such as Royal Mail have issued guidanceopens www.royalmail.com in a new tab related to these changes.

Businesses are strongly advised to sign up to the Business Academy's 'Unlock Europe Series' for any upcoming webinars on the charges.

European Union Resources

Background Info

Official European Commission Guidance

Tailored support for established exporters

Depending on your circumstances, BIST may be able to provide more tailored one-to-one support for your business.

We're interested in hearing from UK businesses who have an export plan and are operationally ready to do business internationally or established already

Our export support team can explain further support options for your business.

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