As part of our commitment to keeping members informed and compliant with UK regulations, the BLCC would like to draw attention to an important requirement affecting businesses that work with UK fulfilment houses.
Recently, HMRC identified a fulfilment house used by one of our members that was not registered under the Fulfilment House Due Diligence Scheme (FHDDS). This scheme is mandatory for any UK fulfilment house storing goods on behalf of non-UK businesses, and registration is essential to remain compliant with HMRC rules, particularly in the post-Brexit environment.
Working with unregistered fulfilment houses can result in serious delays, including products being held or shipments suspended, while the fulfilment house completes the FHDDS registration process. This takes up weeks, and in the meantime, your products are not allowed to leave the UK warehouse. Not ideal.
To help you avoid these disruptions, we recommend the following steps:
- Ask your fulfilment provider for their Fulfilment House Due Diligence Scheme (FHDDS) registration number. If they cannot provide one, they are likely not registered.
- Check the official HMRC list of registered fulfilment houses to find out if yours is on the following list: https://www.gov.uk/government/publications/fulfilment-house-due-diligence-scheme-registered-businesses-list
- Consider choosing an alternative, registered fulfilment provider if your current one is not listed until they are registered and can provide you with a registration number.
We must stress the importance of ensuring compliance at all times. The FHDDS registration process can be lengthy and detailed, and HMRC inspections are increasingly common to verify that fulfilment houses are meeting the required standards. By taking proactive steps now, you can avoid costly delays and maintain smooth business operations.
As always, the BLCC is here to support you. If you have any questions or need further guidance, please don’t hesitate to contact us at office@blcc.co.uk.