Starting a UK company after Brexit: what changed and what didn't

When the UK left the European Union, many people wondered whether it would still be worth starting a UK company. Years later, the UK remains a popular place to form a company. This guide explains what Brexit changed for new companies and what stayed the same.

What has not changed

• Forming a company is still simple. You register online with Companies House. The incorporation fee is £100 online.
• You can live anywhere. Directors and shareholders do not need to be UK residents or citizens.
• Limited liability. Shareholders' personal assets are still protected, apart from any unpaid amount on their shares.
• The legal system. UK company law, contract law and courts work as before.
• The tax system for companies. Corporation Tax, VAT and PAYE rules are set in the UK.

What has changed

Trading goods with the EU

If you move goods between Great Britain and the EU, you need:

• An EORI number starting with GB. You need one to move goods into or out of Great Britain. It is usually issued quickly, but HMRC can take up to 5 working days if it needs to check your application.
• Customs declarations for imports and exports, often handled by a customs agent or freight forwarder.
• To check rules of origin, which decide whether goods qualify for zero tariffs under the UK-EU trade agreement.

Northern Ireland has special arrangements, and businesses there may need an EORI number starting with XI.

VAT on cross-border sales

VAT rules for selling goods and digital services to EU customers changed. You may need to register for VAT in an EU country, or use an EU scheme, depending on what you sell. Speak to an accountant who knows cross-border VAT.

Staff and right to work

Free movement has ended. Employers must check every employee's right to work in the UK. Hiring people from abroad may need a sponsor licence.

Services and qualifications

Some professional qualifications are no longer automatically recognised across the UK and EU. If you provide regulated services in the EU, check the rules in each country.

Do you need an EU company?

Some UK businesses that trade heavily with the EU set up a company inside the EU too. This can help with customs, VAT and customers who prefer an EU supplier. It is not right for everyone, and it adds costs and reporting duties. See our EU Company Formation service.

Non-residents still form UK companies

Many founders from outside the UK still choose a UK limited company. They usually need a UK registered office, a plan for banking and, since November 2025, identity verification with Companies House. See our Non-Resident Package.

Practical checklist for a new company trading with the EU

1. Form your UK company.
2. Get a GB EORI number if you will move goods.
3. Find a customs agent or freight forwarder.
4. Check VAT for your sales into the EU.
5. Check right to work for every employee.
6. Review contracts for currency, delivery terms and governing law.

How Form My Company can help

We form UK companies for founders in the UK and abroad, and companies in the EU for those who need one. Non-residents are welcome: as a Companies House ACSP, we verify identity remotely, and most companies are registered within 24 hours. Start with our Company Formation page to compare options.

Frequently asked questions