Guidance

NCTS guarantees

Updated 29 July 2024

Using guarantees

You must include guarantee details on every declaration.

The New Computerised Transit System (NCTS) software checks the guarantee reference number quoted against:

• the principal’s Trader Identification Number
• the declared access code

If validation fails, the declaration will be rejected.

You can use more than one guarantee on a declaration, as long as they’re not both comprehensive guarantees or waivers.

A comprehensive guarantee or guarantee waiver that’s not sufficient to cover the movement may be topped up by other means, such as individual guarantee or vouchers.

Using somebody else’s guarantee

If you have permission to use someone else’s guarantee, enter their Trader Identification Number as the principal and use their guarantee reference number. Ask the principal to have an access code set up by UK Central Services Office (CCTO) for you to use.

Guarantees from EU member states

If the details are known to CCTO and have been entered onto the Minimum Common Core (MCC) database, you can use a guarantee from an EU member state. Otherwise, another form of guarantee will be needed and NCTS must still be used.

A principal may only use a guarantee issued in the country where that principal is established.

Office of departure

Guarantee validation within NCTS should allow use of the guarantee from any UK office of departure.

Changing guarantee details

Customs may query guarantee details. Following your response to the query, they may amend the guarantee information on the declaration at the office of departure before release of the movement.

Keep your electronic guarantee details up to date

To update your electronic guarantee data or for any queries on guarantees, contact the Simplifications Guarantees Team (CCTO) on telephone: 0300 322 7908.

Guarantee reference amounts

From 14 January 2021, it became a requirement to give an accurate guarantee reference amount in NCTS declarations for transit movements on the Great Britain (England, Scotland and Wales) and Northern Ireland NCTS systems. This is in line with the Common Transit Convention.

In exceptional cases, where you’re unable to determine the guarantee reference amount, the Common Transit Convention allows it to be fixed at 10,000 euros for each transit operation.

All declarations submitted into NCTS 5 must have the appropriate guarantee amount entered, into the guarantee reference box. If this is not entered correctly the declaration will be rejected and you will be advised that an accurate guarantee balance needs to be populated. You can find additional information on guarantees on GOV.UK. This page will be updated in due course.

NCTS will keep track of the amount of guarantee that you are using for all your open transit movements, and you must make sure that your transit guarantee is large enough to cover all of your transit movements.

If you reach the limit of your guarantee, then NCTS will not allow you to start any new movements, until either:

• some of your open movements are closed and the guarantee held against them is released
• you arrange for your guarantee limit to be increased

Steps to take

1. Update your software

You must enter an accurate guarantee reference amount with each transit declaration. If you can enter a guarantee reference amount, you should already be doing so.

If you use software to make your transit declarations into NCTS, you must make sure you’ve applied any updates from your software provider to allow this entry.

2. Enter a guarantee reference amount in every declaration

If your NCTS software does not automatically enter an amount, you must do so manually.

You should calculate an accurate guarantee reference amount, based on the value of the customs and other duties on the goods that are suspended whilst in transit. Where possible, you must enter this value as the guarantee reference amount.

In exceptional cases, where it’s not possible to calculate an accurate amount, you may enter an amount of 10,000 euros in sterling.

3. Make sure your guarantee is large enough

You must continue to monitor your actual guarantee usage and make sure that you have enough guarantees in place to cover all your open transit movements. This requirement applies whether or not you can enter an accurate amount on NCTS.

If you reach the limit of your guarantee, you will not be able to start any new movements until either:

• some of your open movements are closed and the guarantee released
• you arrange for your guarantee limit to be increased

4. Increase your guarantee if you need to

Get more information on how to apply for a customs comprehensive guarantee, including considering applying for a waiver using form CCG1F.

You can check the amount of guarantee needed for common and union transit.

If you need to arrange for a guarantor to cover your potential debt, less the amount of any HMRC agreed waiver, you should ask your bank or insurer about being a guarantor before you apply to HMRC for a customs comprehensive guarantee. There may be restrictions on the size of the guarantee your bank or insurer can offer you, which could affect the size of the customs comprehensive guarantee you can apply for.

Get more information on how to get a guarantor for your customs comprehensive guarantee.