Regulatory & Technical Services Group

CA update on UK Government VAT rules for UK boat owners

Following a meeting with HM Treasury (HMT) and HM Revenue and Customs (HMRC), the Cruising Association (CA) is pleased to confirm that the UK Government will make a positive change to the application of Returned Goods Relief (RGR) for recreational craft. As a result, many boat owners will no longer have to pay VAT on the return of their boats to the UK.

The proposed change has considerable benefits for the UK based cruising community:

The Cruising Association provides Guidance on new Ofcom VHF Radio Licence Compliance

Boat owners in the United Kingdom holding a VHF radio licence must ensure compliance with the new licence conditions introduced by Ofcom.

The new licence conditions have been introduced by Ofcom due to concerns about the risk of exposure to electromagnetic field (EMF) emissions which are transmitted by all radio equipment. This change in licence conditions affects boat owners using radio, radar and other emergency alerting equipment on UK vessels.

CA Guidance on changes to use of Marine Diesel in Northern Ireland

With effect from 1 October 2021, the UK Government has confirmed it will become illegal in Northern Ireland to refuel private pleasure craft with red (marine) diesel in any tank used for engine propulsion.

The Cruising Association, through our Regulations and Technical Services group (RATS), has been keeping abreast of the situation in order to advise yacht and motor cruisers on the new protocols and steps to take to ensure compliance.

Use of Marine Diesel in EU and Northern Ireland

What colour should your diesel be?

Following the UK's departure from the EU RATS has issued two advice notes on the purchase and use of Red diesel.

RATS at the Southampton International Boat Show

Come and visit experts from the CA’s Regulations and Technical group, otherwise known as 'RATS', at the Southampton Boat Show and get answers to your burning technical questions.

RATS are hosting drop-in Q&A sessions on both Saturdays, from 1300-1630 hours on 11 and 18 September, with volunteer committee members Robin Baron and Roger Bickerstaff on hand to answer your questions on all matters technical.

 

Update – UK and EU Tariffs on US Cruising Yachts

Both the UK and the EU continue to impose a 25% customs tariff on the import of US-origin yachts and boats into the EU and the UK.

Red diesel update: delay for Northern Ireland

HMRC has issued Excise Notice 554 which contains details about fuel used in private pleasure craft.

 

Update to HMRC Brexit Rules

HMRC has made a further revision to the VAT 'Returned Good Relief' (RGR) rules that now apply to yachts following the end of the Brexit transition period. The headline news is that the "grace period" allowed for the return of yachts from the EU to the UK without VAT being due has been extended from 31 December 2021 to 30 June 2022.

The CA received the following statement from the Stakeholder Engagement Team of HM Revenue and Customs:

White diesel, what white diesel?

From 30 June non-commercial vessels wishing to refuel in Northern Ireland must do so with white diesel. What’s the snag? There are no marine white diesel pumps in Northern Ireland, and demand is insufficient for commercial operators to make provision.