Businesses are set to benefit from reduced costs and burdens as import labels are made digital for the first time. Digital labelling will allow businesses to put important regulatory or manufacturing information online rather than requiring them to physically print it on their products – saving time and money which can be pushed towards scaling up and growing their company.
This measure has been made possible by leaving the EU and provides greater flexibility than the EU’s regulatory requirements while better reflecting the modern and digital world of business and international trade. This follows the Product Safety Review consultation and extensive industry engagement – looking at ways to cut costs while benefitting consumers and ensuring our regulatory system is agile and a move towards digital labelling has been something the industry have consistently called for. Digital labelling will allow businesses to put all relevant regulatory or manufacturing information online, rather than having to print it on products, thus saving time and money.
The move follows the Product Safety Review consultation, an extensive business engagement exercise which sought the opinion of leading industry trade bodies and individual businesses on ways to cut costs while benefitting consumers and ensuring the regulatory system remains agile. Industry had been consistently calling for digital labelling as part of that consultation. The voluntary option to use digital labelling means businesses will be able to apply the UKCA marking, manufacturer details and importer details digitally.
More categories to keep using CE mark
The Department for Business and Trade (DBT) also confirmed it would extend the indefinite use of the EU’s CE mark to a further three product categories, having last summer announced it would extend its use within the UK indefinitely for the 18 categories under its remit. Following feedback from industry, DBT is continuing CE recognition for eco-design, civil explosives and, in most circumstances, restriction of hazardous substances (in electrical equipment).
The new rules do not cover medical devices, construction products, marine equipment, rail products, cableways, transportable pressure equipment or drones. The full list of regulations covered by the announcement can be found here. Suzanne Alecrim, customs and trade specialist at IOE&IT, says the addition of the extra three regulations by other government departments responsible for product safety apart from DBT means further regulated sectors will benefit from the indefinite use of CE marking.
DBT has also announced a new fast-track provision to allow manufacturers to place products on the GB market if they meet the EU essential requirements and have been conformity assessed by an EU-recognised body. Manufacturers will need to use the UKCA marking and draw up a UK declaration of conformity, listing compliance with the relevant EU legislation. This means that where products fall within multiple regulations, a mixture of both UKCA and CE conformity assessment procedures can be used. The aim is to provide businesses with certainty over the long term should the UK mandate UKCA for some product categories in the future.
The CE or UKCA marking is used on products to demonstrate the manufacturer is compliant with legal requirements. Last summer, DBT announced the intention to indefinitely recognise current EU requirements, including the CE marking, for the 18 product regulations under the department’s remit.
Following feedback from industry, the government is introducing legislation to continue the recognition of CE marking indefinitely for a range of additional regulations which will benefit products including vacuum cleaners and televisions. The UK government is taking a tailored approach to product regulation to ensure the interests of UK businesses, consumers and the economy are taken into account.
This comes as part of a wider range of measures as part of the smarter regulation programme, which ensures laws and regulatory regimes are better tailored to the interests of UK businesses, consumers and the economy. This announcement does not apply to regulations for medical devices, construction products, marine equipment, rail products, cableways, transportable pressure equipment and unmanned aircraft systems, led by relevant government departments.
The indefinite recognition of current EU requirements, including the CE marking, for these 21 regulations means businesses have the flexibility to use either the UKCA or CE marking (Or reverse epsilon marking where applicable) to sell products in Great Britain.
Feedback
Business and Trade Minister Kevin Hollinrake said:
“I know first-hand the difficulties businesses face with regulations and red tape, and what we’re announcing today will not only ease business burdens and costs but will enable them to spend their time growing their companies and creating jobs. We’ve worked closely with multiple sectors to create policy that works for them and this is another step in the right direction to back British businesses.”
Mike Hawes, SMMT Chief Executive said:
“Recognising CE marking indefinitely is very welcome and a common sense decision that will benefit the motorist and the competitiveness of the UK automotive industry. It means that thousands of aftermarket and supply chain businesses can continue to source vital automotive parts without unnecessary additional cost and complexity, keeping costs low for consumers and ensuring vehicles are built and maintained to the highest possible standards.”
Andrew Evans CEng MInstMC, Technical Director, The GAMBICA association Ltd said:
“UK suppliers of instrumentation, control, automation and laboratory equipment, within the membership of GAMBICA, appreciate the government’s engagement and practical steps to facilitate movement of goods across the GB border to ensure the long-term supply of critical components from a complex global supply chain.”
Stephen Phipson, CEO of Make UK, Stephen Phipson, said:
“The addition of three further regulated sectors that will benefit from the indefinite recognition of current EU requirements including the use of CE marking, is a welcome move that manufactures who develop and sell products in these areas will very much welcome and support.”
“The added introduction of a ‘fast track’ process for products that are covered by multiple regulations, new permanent arrangements for labelling flexibility and an option for digital labelling, will all work together to help safeguard the competitiveness of manufacturers and aid the UK as a destination for investment. Make UK has called for the indefinite extension of a CE marking recognition for all UK manufactured goods to be a permanent change, and this should cover all goods and products sectors produced using a manufacturing process.”
TechUK Director of Markets Matthew Evans said:
“We strongly support the government’s decision to allow the voluntary use of e-labelling, in line with our key recommendations during the UK’s product compliance framework review. This represents a modern and progressive approach by DBT and will undoubtedly cut compliance costs, foster innovation, and lessen environmental impact. It will also align the UK with major trading partners like the United States, China, Japan, and South Korea, improving our trading relationships.”
A new ‘Fast-Track UKCA’ process will also be introduced, allowing manufacturers to use the UKCA marking to demonstrate compliance with either UKCA or recognised EU conformity processes. Where products are covered by multiple regulations, a mixture of both UKCA and CE conformity assessment procedures can be used. This is designed to provide longer-term certainty and flexibility for businesses should the UK mandate UKCA for certain regulations in the future.
European CE Marking
Alongside the introduction of digital labelling, the UK will also add legislation to continue to use and recognition of the European CE marking (or reverse epsilon marking, where applicable) on a range of products alongside the UK’s newly introduced UKCA product safety standard across many consumer product categories.
The new law will not apply to regulations for medical devices, construction products, marine equipment, rail products, cableways, transportable pressure equipment and unmanned aircraft systems, led by relevant government departments. Representatives of UK manufacturers and businesses have said to have welcomed the news to both introduce digital labelling and continue the recognition of the EU product safety markings.
The shift to digital labelling enables businesses to upload essential regulatory and manufacturing information online, eliminating the need for physical printing on products. This not only saves time and resources but also allows companies to redirect these savings towards scaling up and expanding their operations.
Recognition of CE marking for products such as toys and machinery will continue, alleviating compliance burdens on businesses. The transition to digital labelling has become possible post-Brexit, offering greater flexibility compared to the EU’s regulatory requirements. The change better aligns with the contemporary business landscape, emphasising the importance of digitisation in international trade.
This development follows the Product Safety Review consultation and extensive industry engagement, focusing on cost reduction, consumer benefits, and ensuring a nimble regulatory system. The industry’s consistent call for a move towards digital labelling underscores the alignment of this measure with business priorities and industry needs.
