Netcompany to deliver Phase 6 of UK customs transit IT

HM Revenue and Customs has reappointed Netcompany to deliver Phase 6 of the New Computerised Transit System, a programme that forms part of the UK's transit customs operations under the Common Transit Convention.

The new phase follows the delivery and ongoing support of NCTS5, which went live in Northern Ireland and Great Britain in mid-2024. Netcompany will deliver upgrades required under Common Transit Convention rules and the latest EU regulations, while aligning with UK national requirements and related systems.

NCTS6 is a requirement for all Common Transit Convention member countries, including the UK. The convention covers transit movements of goods across multiple territories, including the UK and EU member states.

System background

NCTS5 replaced older systems used for transit declarations with an automated platform. The project changed how traders submit and manage transit movements through the UK.

The company said the NCTS5 implementation reduced administrative burden and accelerated processing times. It also said it increased control and visibility across the transit process.

Netcompany will deliver NCTS6 through its ERMIS platform. The company describes ERMIS as a customs management solution used by customs administrations and updated as requirements change.

The platform currently supports more than 2 million UK transit declarations each year, according to the company. Across the EU, the same platform processes more than 20 million declarations and 150 million transactions annually, it said.

Compliance focus

NCTS6 centres on compliance with evolving European requirements and alignment with UK systems. Netcompany said Phase 6 builds on functionality introduced in Phase 5.

In the statement announcing the appointment, Netcompany linked the work to border operations and tax collection associated with goods moved under transit arrangements.

"Responsible digitalisation drives everything we do," said Richard Davies, Country Managing Partner UK, Netcompany. "Our continued work through this latest phase is crucial in supporting HMRC in protecting UK borders and facilitating appropriate tax collections on imported, exported and transited goods."

The company also tied the system's role to trade flows between the UK and EU. It referenced the need to handle changing requirements while keeping processes manageable for traders.

"The ERMIS solution delivers the compliance and functionality required to maintain efficient trade flows between the UK and EU, which directly supports economic growth and business competitiveness. As trade requirements continue to evolve, our focus remains on delivering systems that meet regulatory obligations while minimising operational complexity for traders," said Davies.

Next phase

Netcompany said work on Phase 6 will commence in 2026. The company described the phase as part of the continuing evolution of NCTS across Common Transit Convention countries.

The New Computerised Transit System has progressively modernised transit management and control since it replaced paper-based processes in the early 2000s, Netcompany said. The company added that increasing trade volumes and more demanding regulatory requirements keep the system central to UK customs operations.