ARTICLE
3 August 2026

Two Fines For Military Export Control Breaches

DM
Duane Morris LLP

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Two UK companies have been fined a combined total of over £237,000 for breaches of export control regulations involving unlicensed exports of military-listed goods. The companies secured compound settlements with HMRC after voluntarily disclosing the violations, which were deemed inadvertent or due to weaknesses in internal controls.
United Kingdom Government, Public Sector
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On 27 July, the UK’s HM Revenue and Customs issued a “Notice to Exporters” relating to two companies fined £216,530.30 and £20,889.15 respectively.

The companies were not named.

The conduct was not described in any detail and only said to “relate to unlicensed exports of military-listed goods and related activity prohibited by The Export Control Order 2008 and contrary to The Customs and Excise Management Act 1979”.

The details of why and how these companies were able to secure a resolution via a compound penalty were also not provided, although the Notice says in general terms:

“Compound settlements may be offered where an exporter has:

  • voluntarily told HMRC about sanctions or export control breaches, and
  • committed a breach that was inadvertent or due to weaknesses in internal controls”.

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