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An “unimaginable” collapse of supply chains

UK faces critical shortage of truck drivers

Britain could face gaps on supermarket shelves this summer and an “unimaginable” collapse of supply chains after the pandemic and Brexit led to a shortage of more than 100,000 truck drivers, industry leaders have warned.

In a letter to Boris Johnson coordinated by the Road Haulage Association, the industry called for his personal intervention to allow access to European labour by introducing temporary worker visas for HGV drivers and adding them to a “shortage occupation list”.

A government spokesman responded saying that the industry should employ local workers instead.

“Supermarkets are already reporting that they are not receiving their expected food stocks and, as a result, there is considerable wastage,” Richard Burnett, the chief executive of the Road Haulage Association told Reuters

“We’re constantly fighting every day to try and put out fires across the supply chains,” said Shane Brennan, who heads the Cold Chain Federation. “We’re already seeing empty shelves in some parts of the food supply chain, in supermarkets and across hospitality. That is going to continue. And we’re going to see intermittent shortages throughout the summer,” told Blooberquint .com

Jon Clark, Managing Director at FGA Farming
“We have a good labour plan in place, but there are still worries. Transport is a major concern in the UK, with hauliers having to make decisions on which retailers to service, something which is unheard of. There is a serious lack of drivers, which is partly due to fewer European drivers because of Brexit, but also because of the increase in online shopping during the pandemic. HGV drivers have seen the opportunity to earn the same money delivering parcels locally instead of being away from home.

“One thing people don’t realise is that growers also have to get hundreds of pickers to the fields every day, they do this, using coaches. Normally when the schools close for the summer coach companies are glad to provide this service, but this year with the increase in staycations there is a big demand for day trips within the UK and this a much more lucrative business for the coach companies. As well as rising labour and transport costs, the cost of raw materials such as packing materials is also increasing, all of which increases the cost per kilo of any fruit being produced.”

James Bielby, Chief Executive of FWD (Federation of Wholesale Distribution)

“Wholesalers are feeling the full effects of the driver shortage now. They’re struggling both to get stuck into their warehouses, and out to customers. There are genuine concerns over supply in shops in remote communities. 

"The shortage is a combination of a long-term decline in driver numbers, and the loss of about 12 months of new driver training and testing resulting from Covid restrictions. The UK’s exit from the EU has made recruiting more drivers difficult, with many opting to return to the EU to provide their services there.

“Some wholesalers have had to limit the number of deliveries they make to convenience stores, which has led to availability issues. They have done all they can to keep their customers stocked, including raising drivers’ wages and even sending depot staff out in vehicles to fulfil smaller orders. Some have had to turn down business in order to fulfil orders to regular customers. They have tried engaging agencies, but agencies too are short of drivers. If fresh produce cannot be delivered then it creates food waste, much of which is difficult to redistribute and will need to be destroyed.

"The manufacturers who supply into the wholesale channel have similar issues with distribution, and FWD members are reporting particular difficulties getting hold of soft drinks, beer, and chilled products like cream, cheese, yoghurt, and meats. 

"We’re calling for immediate action to re-instate the temporary extension of drivers’ hours, from 9 to 11, that was in place last year, and to speed up certification of new or lapsed drivers. Longer-term, we’d like to see seasonal visas for EU HGV drivers, and the role added to the Home Office Shortage Occupation List.

“We had a very constructive meeting with Defra officials this week who are clearly switched on to the potential threat to food supply if this distribution crisis isn’t addressed immediately. We will be working with Defra to demonstrate to other Government Departments that while this is a long-term problem, it desperately requires a short-term solution.”

Tim O'Malley - Managing Director at Nationwide Produce spoke out on the issue earlier this month saying that, "Perfectly good graded and packed fresh produce is being dumped. The acute shortage of HGV drivers is now the direct cause of perfectly good, graded and packed fresh produce being dumped or rotting in cold stores, waiting for wheels to go under it. Supermarket shelves and restaurant plates are going empty – this is a crisis of national importance.

Carol Ford – Business advisor has led a Call to Action on LinkedIn 

"As part of the Kent County Council & Medway Council Employment Task Force - I support and lead a subgroup called Fresh Food/Horticulture Employment Task Force.

"We have come together as a collaborative group across many sectors to share innovative ideas, problem solve & share barriers we have as a sector to Employment. With a remit to be Task & Finish focused.

"If I am able to provide a list of businesses in the Transportation sector for Kent & Medway, with a list of potential drivers that require training, DWP would agree to set up and run these courses – in the next 2-3 weeks."