The United Kingdom is contesting a charge that "continuous negligence" by its customs agency has resulted in 1.987 billion Euros in lost duties on Chinese merchandise. The Office de Lutte Anti-Fraude (OLAF) conducted a two-year investigation into the matter, and recommended earlier this year that the UK pay the money into the EU budget itself as compensation.
The UK has now written a letter, addressed to the European Commission, calling OLAF's estimate of the losses "inflated" and "overly simplistic," while touting HMRCs record at combating tax evasion. The letter, dated August 8, comes at a time when the UK government is engaging the EU about future customs relationships following Brexit. The Commission's only response has been that the investigation procedure is "ongoing."
