London Daily

Focus on the big picture.
Friday, Oct 02, 2026

Food production in the UK at risk of moving overseas, warns industry

Food production in the UK at risk of moving overseas, warns industry

Food manufacturing in the UK is under such strain due to staff shortages that some production may have to move out of the country, a retail group has said.

Andrew Opie from the British Retail Consortium (BRC) said shortages of HGV drivers and other supply chain staff meant that the sector was "just on the edge of coping" right now.

He warned the Christmas period would be "incredibly challenging" in some areas.

Factories cannot recruit enough staff, he said, adding: "We are struggling."

Mr Opie, the BRC's director of food and sustainability, was speaking at a special session of the UK Trade and Business Commission, an independent group of business representatives and MPs looking to make recommendations to the government.

Asked about the impact of driver shortages, Mr Opie told the commission it was incredibly challenging for the industry, but said he was more concerned about shortages in manufacturing and food processing.

"Despite every effort that's being made by food factories, we cannot recruit enough indigenous people here. They just do not want to do those roles for whatever reason," Mr Opie said.

"That leaves the government with a choice. Does it want to maintain the level of food manufacturing as it stands at the moment in this country, or does it risk offshoring that production to other countries and then we import those finished goods into the UK," he added.

"We've got a very highly skilled, well run food manufacturing sector in this country at the moment which exports quite widely. It's under such strain at the moment and if we cannot recruit people and fill those vacancies, then retailers who buy those products to sell to us as consumers will need to look elsewhere and will end up offshoring some of that production into places like Europe," he told the commission.

"I think the government faces quite a stark choice here about where it wants to put its resources, where it wants to put its immigration policy, and where it wants to put the economy, in terms of the products that are manufactured here in the UK," he added.

A government spokesperson said the UK's food supply chain was "highly resilient".

It said it had expanded a pilot scheme for six-months visas for overseas workers to come to the UK to 30,000 workers this year, but urged employers to "make long term investments in the UK domestic workforce instead of relying on labour from abroad".

'Perfect storm'


Richard Harrow, from the British Federation of Frozen Food, agreed that there were shortages across the sector, not just drivers.

"We've got a shortage of engineers, of butchers, of production operatives," he said.

"And if you haven't got the staff to produce the product, even if you've got a lorry to transport it, you can't supply that product."

He added: "I've never seen the pressures our members are under right now, from labour costs to the price of raw materials. We are facing what I can only describe as a perfect storm."

Alex Veitch from UK Logistics said the backlog in HGV drivers test because of the pandemic was one of the main factors behind driver shortages.

UK Logistics said it would like a temporary visa for drivers to come and work in the UK

"People will be attracted to these roles because wages are rising substantially. We estimate that starting salaries have gone up by at least £5,000 from a base of £25,000.

"It's not so much a problem of finding people who want to be drivers. It's getting them a driver test," he added.

"Short term, we'd like movement on a temporary visa for drivers to come and work in the UK."

The BRC's Andrew Opie agreed, telling the commission the industry just needed "breathing space" to allow for UK drivers to be recruited and tested.

"We've got vacancies. We will pay more to attract drivers here. We don't see it as a major change in immigration policy. It would be a short-term measure," he said. "That could make a massive change for us overnight."

Less choice


During the hearing, all three business groups acknowledged that Christmas could present problems, though they didn't anticipate any major shortages.

"We're not seeing major shortages and not anticipating that, but it's the constant challenge, trying to keep head above water. There's no slack in system," Mr Opie said

"Christmas is going to be incredibly challenging in some areas. There might be small scale disruption. Even delivery times for online could be more difficult. It's too early to predict, but not too early for the government to do something to make sure there isn't a problem," he added.

Mr Harrow from the British Federation of Frozen Food said his members would normally be laying down stock for Christmas right now, but that they currently haven't got the capacity to do that, though he said he doesn't expect big shortages at this stage.

"What we are more likely to see is a reduction in choice, rather than shortages," he said.

Newsletter

Related Articles

0:00
0:00
Close
UK Councils to Receive Sweeping Planning Powers to Ban New Vape and Betting Shops
Andy Burnham Criticises Brexit and Says Rejoining EU Single Market Remains an Option
UK Imposes New Sanctions on Russian Military Networks and Propagandists
UK Launches Nationwide Early-Release Prison Scheme
Andy Burnham Says Security Services See Signs of Iranian Involvement in RAF Fairford Incident
Manchester City Found Guilty on Premier League Financial Charges After Independent Investigation
Scottish Court to Rule on Bid to Force No-Confidence Vote Against Aberdeen Council Co-Leader
UK Bans Extra Charges for Seating Children Under 12 Beside Accompanying Adults
UK Introduces Vaping Duty and New Licensing Requirements
Greggs to Close Four UK Factories and Cut 740 Jobs
Hundreds of Prisoners Released Early as England and Wales Prisons Reach 98% Capacity
UK Unveils New Russia Sanctions Targeting War Funding and Shadow Fleet
Burnham Says There Are Strong Indications of Iranian Involvement in RAF Fairford Security Breach
Prime Minister Andy Burnham Raises Prospect of Reviewing Britain's Post-Brexit EU Relationship
Markets Price in Bank of England Rate Increases as Inflation Rises to 3.1%
UK Borrowing Costs Climb Toward 5.5% as Global Bond Sell-Off Intensifies
UK-France One-In-One-Out Migration Agreement Expires as London Seeks Alternative Measures
Southwest England Faces Flood Alerts After Heavy Autumn Storms
UK Expands Funding for Rapid Electric Vehicle Charging Infrastructure
Welsh Government Approves Funding to Upgrade South Wales Transport
Northern Ireland Tensions Rise as Orange Order Rejects Drumcree Compromise
NHS Leaders Back Early Design of Proposed National Care Service
More Than One-Third of Regional UK Universities Face Financial Deficits
UK Current Account Deficit Narrows as Cross-Border Financial Flows Remain Strong
Bank of England and FCA Issue New Rules for Stablecoins and Digital Assets
MI5 Warns UK Universities Over Research Links With Chinese Institutions
UK Energy Price Cap Rises 4% as Electricity VAT Is Temporarily Suspended
Equity Calls for UK Personality Rights to Protect Performers From AI Replication
OpenAI Pauses Advanced Model Training Following Safety Concerns
Scottish Government Proposes Replacing 32 Councils With Larger Regional Authorities
Ofgem Raises UK Household Energy Price Cap by 4% From October
UK Counter-Terrorism Police Continue Investigation After Five Arrests Near RAF Fairford
OECD Cuts UK 2027 Growth Forecast to 1%
Labour Says State Pension Triple Lock Remains Protected Through Current Parliament
Andy Burnham Pledges National Care Service With Free Social Care in England
Six Flags Permanently Shuts Landmark X2 Roller Coaster Following Safety Scandals
Metropolitan Police Rule Out Terrorism in Golders Green Stabbing Investigation
Lithium-Ion Battery Identified as Cause of Fatal Merseyside House Fire
UK Department Rejects New Sea Use Framework Due to Stakeholder Fatigue
Major Thames Water Pipe Burst Causes School Closures in London
Aldi Commits £900 Million to Expand UK Supermarket Network
Scottish Affairs Committee Warns Skills Shortages Threaten Defence Sector Expansion
Parliamentary Committee Warns Northern Ireland Budget Deadlock is Stalling Economic Growth
NHS Hospitals in England Face Severe Shortages of Essential Medications
Home Secretary Signals Major Overhaul of UK Immigration and Leave to Remain Policies
Chancellor Promises New Job Schemes Alongside Strict Fiscal Discipline
Energy Secretary Proposes Taxpayer-Funded Green Transition and National Electricity Grid
UK Government to Renationalise Avanti West Coast Railway Franchise in March
Prime Minister Andy Burnham Pledges Major Social Care and Infrastructure Reforms
Five Suspects Released on Bail Following Alleged Bomb Plot Near RAF Fairford
×