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Writer's pictureArne Mielken
7 days ago6 min read

Transit: Intro to NCTS5 UK (GB) Changes

NCTS changes will reshape UK transit processes in 2025. Let’s explore what you need to know to stay ahead.


What Questions I Will Answer in this blog

  • How will the transition from NCTS P4 to NCTS P5 impact customs operations in Great Britain and Northern Ireland?

  • What are the key changes to the NCTS system coming in January 2025?

  • What are the new requirements for MRN presentation and commodity codes?


Introduction

NCTS Phase 5 builds on Phase 4 to modernise transit processes under the Common Transit Convention, ensuring alignment with international standards by 2 December 2024. The transition involves two key implementation stages: Transitional Rules (1 July 2024) and Final State Rules (22 January 2025), introducing new IT functionalities and digital processes.


As customs, export control, and sanctions professionals, staying informed about transit changes is critical to maintaining smooth operations. The latest NCTS updates, particularly the migration to NCTS Phase 5 (P5), significantly affect how we manage cross-border movements.


"Staying on top of NCTS updates is not just about compliance—it's about mastering efficiency in customs operations."Arne Mielken, Managing Director, Customs Manager Ltd

Abbreviations I Use in this Blog

I’ll be using several abbreviations throughout this post to ensure clarity:

  • NCTS: New Computerised Transit System

  • P4/P5: Phase 4 / Phase 5 of NCTS

  • MRN: Movement Reference Number

  • GVMS: Goods Vehicle Movement Service

  • TAD: Transit Accompanying Document

  • TTE: Trader Test Environment


How Will the Transition to NCTS P5 Impact Your Operations?

The migration from NCTS Phase 4 to Phase 5 is already underway, with Northern Ireland (NI) adopting NCTS P5 on 28th June 2024, and Great Britain (GB) following on 1st July 2024. The deployment has been largely smooth, processing over 440,000 movements by the end of September.


This new phase has a substantial impact on customs operations. NCTS P5 represents an improved, more efficient system with service stability and no significant disruptions since its rollout. This is good news for customs agents and clearance professionals, ensuring minimal downtime in day-to-day operations.


However, the true game-changer will come on 22nd January 2025, when the final state rules are fully implemented. The upcoming shift will require adaptability from all of us in the customs industry. From import specialists to customs consultants, you must be prepared for the mandatory removal of paper TADs, the need for electronic MRN presentation, and the inclusion of commodity codes for each goods item on transit declarations.



What Are the Key Changes in January 2025?

The NCTS P5 introduces six significant changes designed to streamline transit processes and improve the accuracy of customs declarations. Here are the headlines:


  1. Electronic MRN Presentation: Drivers must have MRNs electronically accessible.

  2. Inbound Movements: GVMS locations will handle Office of Transit formalities electronically; non-GVMS locations still require MRN barcodes and paper TADs.

  3. Pre-Lodged Declarations: Amendable before final submission, providing flexibility.

  4. Office of Incident: Manage disruptions in transit at local Customs offices.


Responsibilities

  • Authorised Consignors: Ensure drivers have MRNs and barcodes in a compliant format.

  • Authorised Consignees: Facilitate drivers with electronic MRNs at delivery points.

  • Paper TADs: A fallback option where electronic measures are unavailable.


1. Removal of Paper TADs: The mandatory paper TAD (Transit Accompanying Document) will be removed, making way for a more efficient, digital-first process. This means no more paper trails to manage for cross-border shipments—everything will be handled electronically, improving speed and confidentiality.


2. Electronic MRN Presentation The Movement Reference Number (MRN) must be presented electronically upon the arrival of goods. This change emphasises the growing trend of digitisation in customs, allowing customs agents and import/export professionals to focus on higher-value tasks rather than managing paper documents. For ports using the GVMS, drivers must input all transit MRNs into a Goods Movement Reference (GMR), while non-GVMS ports will allow MRNs to be presented via a barcode or paper TAD.


3. Mandatory Commodity Codes From January 2025, commodity codes will be required for each item listed in a transit declaration. This critical shift will demand attention to detail from everyone in the supply chain, ensuring that the correct codes are applied to avoid delays or non-compliance issues.


There are further adjustments to prepare for. I recommend you read our factsheet: Transit (GB): Six Key NCTS 5 Changes In 2025

What’s Next on the Roadmap to NCTS Final State?

The timeline leading up to the final state of NCTS P5 is packed with webinars and updates that will help you adapt to the new system.


Key dates include:


  • 2nd December 2024: All national authorities will switch to NCTS P5. A webinar on multiple house consignments will also take place, a critical change that allows the grouping of consignments by consignor/consignee, rather than at the item level.

  • 22nd January 2025: The core NCTS system will switch to the final state rules, cementing the new operational processes.


These webinars are an excellent opportunity for customs professionals to learn about the changes. Attend these sessions to gain critical insights and prepare for the final rollout.


Arne’s Takeaway

The NCTS P5 update is a significant milestone for the customs and trade community. By embracing the changes—such as the removal of paper TADs, mandatory commodity codes, and electronic MRN presentation—you’ll streamline your processes and stay ahead in a rapidly evolving industry.


Arne’s Takeaway: Be proactive in familiarizing yourself with these updates and use all available resources, such as webinars and handbooks, to ensure compliance and efficiency.


Expert Recommendation

  • Read our factsheet which provides more information on the changes.

  • Preparation: Prepare for varied implementation levels across national administrations and ensure compliance with local procedures during the transition to digital systems.

  • Familiarize Yourself with the new MRN and commodity code requirements now.

  • Attend Webinars: Don’t miss the upcoming webinars focusing on key changes and technical aspects.

  • Attend our transit training. Book on www.customsmanager.org/events

  • Prepare for the 22nd January 2025 Deadline: Make sure your systems and processes are ready for the final state of NCTS P5.


We make transit declarations for you.

Did you know that we made a transit declaration for you? Need help lodging transit declarations? We can do it for you, please get in touch.


Fancy a Call?



I offer comprehensive support for customs clearance and transit compliance. I’d love to talk to you about your questions on NCTS Phase 5. I offer a free expert call of up to one hour, which you can book seamlessly here. I also offer public, in-house, and on-demand training tailored for customs professionals and their partners. For more details, visit www.customsmanager.org.


Sources That I Base Our Information in This Blog On

To find more information on NCTS Phase 5 and related regulations, members can:


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Learn With Me

I, along with my team, offer extensive training on various customs, export control, and sanctions topics. Please visit www.customsmanager.org/events to explore the course plan and book one of our public courses.


About the Author

Arne Mielken is a customs, export control, and sanctions expert with over 20 years of experience. He has worked as an executive director for Big 4 Consultancies, global trade management technology companies, and several international trade and export associations across the UK and EU. Arne is also a Freeman of the City of London and a Liveryman of the Worshipful Company of World Traders. He is proud to be a member of many prestigious associations, including the Customs Practitioners Group (CPG), the UK’s Association for International Trade (ACITA), the Europäischen Forum für Außenwirtschaft e.V. (EFA), and the Office de développement par l’Automatisation et la Simplification du Commerce Extérieur (ODASCE).


Connect With Me & My Team

Learn more about me here and connect with me on LinkedIn. I also run a channel where you can get free tips and advice on customs, export controls, and sanctions.


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Disclaimer: The information provided in this blog post is for educational purposes only and should not be construed as legal advice. It is recommended to consult with legal professionals or specialists regarding specific compliance requirements and guidance. Book a free call with our expert at Customs Manager Ltd.



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