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HMRC has issued further information regarding the implementation of NCTS6 following the implementation of the NCTS5 Final State Rules in January 2025.
What is NCTS6, and why is it being introduced?
NCTS6 is the latest version of the European digital system that enables the movement of goods using Union Transit across all contracting parties (i.e., countries) to the Common Transit Convention.
The convention covers the 27 EU member states (as one contracting party) and eight common transit countries, namely, Iceland, North Macedonia, Norway, Serbia, Switzerland, Türkiye, Ukraine, and the United Kingdom as separate contracting parties.
The convention itself provides the legal framework that sets out the obligations on traders and Customs authorities for goods in Customs transit from one contracting party to another and is overseen by the EU Commission (TAXUD).
The EU Commission has directed that all contracting parties implement the upgrade to NCTS6 by 1st September, in accordance with the Design Document for the National Transit Application (the DDNTA), which outlines how NCTS is implemented within each contracting party state. HMRC is not yet able to implement NCTS6 and is therefore implementing a two-phase approach. Fixes to NCTS5 will be released on 1st September, with NCTS6 implementation at a later date.
What will happen
The NCTS6 implementation phase one, the release of NCTS5 with fixes, will commence on September 1st, 2025, with the second phase to follow in due course.
Phase 1: Interim release 1st September 2025
- Update to NCTS5: This release is a Migration Pathway to support the NCTS6 release. Updating NCTS5 should include any bug fixes to address system issues encountered with the NCTS5 release.
Phase 2: NCTS6 release – date to be confirmed.
- This release will include the final coding for NCTS6, which will be delivered sometime after September 1st, 2025.
HMRC has confirmed its intention to provide fair notice to software developers and businesses regarding the NCTS6 release timings and has written to some to advise on possible updates that may be required for third-party software.
There are risks associated with making a staged release of NCTS6 behind the target Go-Live date. Disjoint with other country systems and inconsistent national approaches to implementation are possibilities. The main hiccups may likely occur at official Transit Offices, where Transit compliance may become an issue for those trying to use it, and those working to ensure that the transit paperwork is fit for purpose and compliant with the CTC regulations for that country.
Opting out of using Transit Security Accompanying Documents
The deployment of NCTS-P6
One of the main functions of NCTS6 is the introduction of TSADs, which are designed to incorporate safety and security information into the Transit declaration, aligning with the introduction of ICS2.
CTC signatories were given the opportunity to opt out of introducing TSADs at the first stage of NTC6 implementation. The UK chose to opt out. The option to opt in can be taken at a later date.
Opting In or Opting Out of the TSAD: What it means
NCTS6 is divided into two approaches: ‘opt-in’ and ‘opt-out’ of the Transit Security Accompanying Documents.
- By opting in, a country chooses to connect to Import Control System 2 via the Transit Entry Summary Declaration (ENS) Data (TED) Processing Bridge. This converter facilitates the communication of ENS data to ICS2.
This link with ICS2 means that economic operators (EOs) will be able to submit one declaration, instead of two separate declarations to NCTS and ICS2.
- By opting out, the UK has chosen not to connect to ICS2, meaning that NCTS cannot use ENS data.
Countries opting out are obliged to update their systems to NCTS6 specifications.
Opting out of the use of the TSAD will also mean that the TSAD transit messaging, introduced with NCTS6, will need to be provisioned.
Technical information for TSAD messaging
NCTS6 introduces three new transit messages to support TSADs. Any countries opting in for the use of TSADs will need to use these messages to meet the S&S obligations.
These are:
1. IE117 Notification of the Presentation of Goods at the Office of Transit
2. IE058 Rejection of IE117
3. IE119 Rejection of Goods Crossing the Frontier
Notes on TSAD messaging for the UK having opted out of TSAD:
IE117 and IE058 messaging will not be used by the UK for transit movements into or out of GB and NI
IE119 will not be used as GB, and NI will use the Goods Vehicle Movement Service (GVMS) for this purpose.
HMRC have advised that there will be capacity for NCTS to accept any IE119 Rejection of Goods Crossing the Border received from another National Administration.
Will NCTS5 still be compatible when other countries transition to NCTS6 before the UK, from 1st September 2025?
The present UK NCTS system will remain largely unchanged and will continue to accept messages to and from countries that have transitioned to NCTS6:
For Web Portal Users: The current NCTS5 system will remain unchanged and continue to send/accept messages as it does now.
Third-party software Providers may need to make modifications to enable compatibility with NCTS6. HMRC have written to some software providers about this possibility. However, users are urged to check NCTS6 compatibility with their third-party providers in advance of September 1st.
A summary of the convention with contracting parties can be found at this link:
Convention on a common transit procedure | EUR-Lex
The latest version of the CTC Design Document for National Transit
Application (DDNTA) can be found here:
NCTS-P6 - Design Document for National Transit Application (DDNTA)
Link to the EU Guidance on the ENS and Transit declarations for NCTS6 and ICS2 can be found below:
5b67b4ab-ece6-4dc6-a3be-8b938d603abc_en
Further details on NCTS can be found on the European Commission Website:
New Computerised Transit System (NCTS) - European Commission
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