FSDF voices concern at ‘worst possible outcome’

Chris Sturman, CEO of Food Storage and Distribution Federation -  the sole UK trade body that focuses on representing and supporting the interests of the entire food and drink logistics - said: “It is the worst possible outcome to a General Election. Mrs May and the current Government had intended to provide a strong mandate for UK as we enter the Brexit negotiations on 19th June.

“Instead, the result has produced economic uncertainty and instability on a wider scale, as a range of economic issues surrounding NHS funding, student tuition fees, rail re-nationalisation, and social care provision for the elderly have come into play. I believe there is every possibility of another General Election, or another Brexit Referendum, or both, in 12 – 18 months’ time, after the Brexit negotiations have been concluded.

“Adverse currency movements overnight have demonstrated the current fragile nature of the UK economy in comparison to the rest of Europe. Lack of an overall majority with the need to develop a new coalition, probably with the DUP, has weakened the United Kingdom and its constituent parts, and leaves much reduced power to achieve those economic outputs we need, particularly to maintain supply chain spread, efficiency and flexibility, with minimal or no bureaucratic delay to food flows as they move across a newly defined border between UK and member counties of the European Union. It is likely that it will also be more difficult to resist new tariff regimes or regular annual payments for UK business to maintain access into the European marketplace.  

“But supply chain specialists and logisticians have found solutions in the past, and no doubt will rise to the occasion again.”