‘10 days to save Christmas’: Ministers to meet on easing rules as retail industry warns of significant disruption
A queue forms for an Esso petrol station on September 24, 2021 in London, United Kingdom. BP and Esso have announced that its ability to transport fuel from refineries to its branded petrol station forecourts is being impacted by the ongoing shortage of HGV drivers and as a result, it will be rationing deliveries to ensure continuity of supply. (Photo by Dan Kitwood/Getty Images)
Retail industry has sent a dire warning to the government on Friday saying significant disruption is inevitable in the run-up to Christmas unless it moves to alleviate an acute shortage of truckers in the next 10 days.
A spike in European natural gas prices and a post-Brexit shortage of truck drivers have left Britain grappling with soaring energy prices and a potential food supply crunch.
BP had to close some of its gas stations due to the driver shortages while queues formed at some Shell stations as pumps ran dry in some places. ExxonMobil's Esso said a small number of its 200 Tesco Alliance retail sites had also been impacted in some way.
In a rush to fill up, drivers also queued at some gas stations in London and the southern English county of Kent. At Hildenborough in southeast England, a BP petrol station was closed entirely and its pumps wrapped in plastic.
"Sorry we're out of fuel. We are working hard to fix this," signs read.
At least 50 of BP's 1,200 service stations were out of at least one type of fuel, The Times reported, while BP told AFP a "handful of sites" had temporarily closed.
'Supply Pressure'
Industry insiders said the lack of fuel deliveries was confined to southeastern England and appeared to be temporary, but was part of a wider problem.
BP blamed "industry-wide driver shortages across the UK".
Gordon Balmer, of the Petrol Retailers Association, cited "supply pressure from a lack of trained HGV (heavy goods vehicle) drivers," despite demand at 92 percent of pre-pandemic levels.
For months supermarkets, processors and farmers have warned that a shortage of HGV drivers was straining supply chains to breaking point - making it harder to get goods on to shelves.
"Unless new drivers are found in the next 10 days, it is inevitable that we will see significant disruption in the run-up to Christmas," said Andrew Opie, director of food & sustainability at the British Retail Consortium, the retail industry's lobby group.
"HGV drivers are the glue which holds our supply chains together," Opie said. "Without them, we are unable to move goods from farms to warehouses to shops."
The next 10 days are crucial because retailers ramp up supplies in October to ensure there are enough goods for the peak Christmas season.
Hauliers and logistics companies cautioned that there were no quick fixes and that any change to testing or visas would likely be too late to alleviate the pre-Christmas shortages as retailers stockpile months ahead.
Prime Minister Boris Johnson's government has insisted that there will be no return to the 1970s when Britain was cast by allies as the "sick man of Europe" with three-day weeks, energy shortages and rampant inflation.
It was also reminiscent of late 2000, when people protesting over high fuel prices blockaded oil refineries, bringing the country to a virtual standstill for weeks.
'Don't Panic'
As ministers urged the public not to panic buy, some of Britain's biggest supermarkets have warned that the shortage of truck drivers could lead to just that ahead of Christmas.
Brazilian President Jair Bolsonaro said that Johnson, whom he met in New York, had asked him for an "emergency" agreement to supply a food product that is lacking in Britain, though the British embassy disputed Bolsonaro's account.
Transport Secretary Grant Shapps said there was a global shortage of truckers after Covid halted lorry driver testing so Britain was doubling the number of tests. Asked if the government would ease visa rules, he said the government would look at all options.
"We'll do whatever it takes," Shapps told Sky News. "We'll move heaven and earth to do whatever we can to make sure that shortages are alleviated with HGV drivers.
"We should see it smooth out fairly quickly," he said.
Ministers are due to meet later on Friday in an attempt to hash out a fix.
Experts and business leaders say Brexit and the pandemic have cut the number of truck drivers working in Britain, hitting supply chains in sectors from food to building supplies.
Many drivers who have left Britain were from eastern Europe, and returned home due to the global health crisis or to avoid falling foul of tougher immigration rules.
A similar situation has affected seasonal fruit pickers, despite a government visa waiver scheme.
Trucker Visa?
The trucking industry body, the Road Haulage Association (RHA), has called on the government to allow short-term visas for international drivers to enter Britain and fill the gap, while British drivers are being trained for the future.
"It's an enormous challenge," Rod McKenzie, head of policy at the RHA, said. In the short-term, he said, international drivers could help, even if it may be too late to help Christmas, and in the longer term the industry needed better pay and conditions to attract workers.
"It's a tough job. We the British do not help truckers in the way that Europeans and Americans do by giving them decent facilities," he said.
The British haulage industry says it needs around 100,000 more drivers after 25,000 returned to Europe before Brexit and the pandemic halted the qualification process for new workers.
Don't Blame Brexit
"Since Brexit has happened there's been a shortage of labour across all industries," said Shane Kenneally, 38, who runs a landscaping business, as he pulled into a west London filling station only to find there was no fuel.
"This should have been thought about but this government has always not thought ahead."
Shapps, though, denied Brexit was to blame, calling critics "wrong" and highlighting similar issues affecting EU countries.
His department recently announced an overhaul for HGV driving tests to get more drivers behind the wheel as soon as possible.
Shapps added that Covid-19 exacerbated the problem given that Britain was unable to test 40,000 drivers during lockdowns.
The government has been facing a separate crisis over carbon dioxide stocks vital to the food and drink industry, due to a spike in wholesale gas prices.
But while saying he was "ruling nothing out", Shapps rebuffed industry calls to add truck drivers to a special list of industries suffering labour shortages, to make it easier for EU citizens to obtain work visas.
He said he preferred to "get those people back in" to driving who had been put off the job by lower pay offered when European workers were plentiful.
Britain was also keen to "entice" back European truck drivers who have gained the necessary status to work in the UK but are currently overseas, he added.
The Times reported the government could draft in the army to deliver fuel and that ministers had discussed putting soldiers on standby.
But Shapps said: "Probably that's not the solution in terms of just sheer numbers."
Dino Labbate has been announced as the new Chief Commercial Officer at A.G. BARR plc, the branded multi-beverage business with a portfolio of market-leading UK brands, including IRN-BRU, Rubicon, FUNKIN and Boost.
Dino takes up the role from today, 20 January 2025, having spent seven years at Britvic plc, most recently as GB Commercial Director for Hospitality. With previous experience at Kraft Heinz, Burton’s Biscuits and Northern Foods, Dino brings a wealth of FMCG insight and experience across all channels of the food and drink industry.
“This is a new role for the business and reflects our growth ambitions,” said Euan Sutherland, CEO of the AG Barr Group. “Dino’s FMCG experience, enthusiasm and commitment has made an instant impact on the business. He understands soft drinks and has considerable knowledge across grocery, wholesale, out of home and on-premise, which will play a pivotal role in developing all brands in the business.”
Dino said: “AG Barr has a rich history of success, which alongside the company’s bold growth ambitions, make this a brilliant opportunity for me to help steer our teams on the next chapter of AG Barr’s story. There’s so much potential in our portfolio which is already packed with incredible brands. I’m looking forward to supporting the business as we set ourselves up to win with current and future consumers.”
AG Barr will be announcing a trading update in respect of the financial year ended 25 January 2025 on Tuesday, 28 January 2025.
Brits are increasingly leaning towards cooking from scratch and are ditching ultra processed food, thus embracing a much simpler approach to their diet, a recent report has stated.
According to a recent report from John Lewis Partnership released on Friday (17), supermarket Waitrose has reported that it’s back to basics for many in 2025 due to a growing awareness around ultra processed foods, with many turning away from low-fat, highly processed products in favour of less-processed, whole food ingredients.
Whole milk and full-fat Greek yogurt sales are up 11 per cent and 21 per cent compared to skimmed milk and Greek style yoghurt a year ago.
Block butter sales are up by +20 per cent as compared to dairy spreads while brown rice is seeing +7 per cent more sales as compared to white rice.
The report adds that sourdough bread sales are up by +20 per cent as compared to white bread while full fat Greek yoghurt recorded +21 per cent more sales than Greek style yoghurt.
Over the past 30 days, searches on Waitrose website whole food searches soared with ‘full fat milk’ and ‘full fat yoghurt’ skyrocketing 417 per cent and 233 per cent.
The shfit reflects the wider growing awareness of effects of ultra-processed foods, thanks in no small part to Dr Chris van Tulleken’s bestselling book Ultra-Processed People and its continued momentum in 2024 and into 2025.
His eye-opening, rigorously researched account of ultra-processed foods and their effect on our health turned many people towards cooking from scratch, with unprocessed or minimally processed ingredients.
Maddy Wilson, Director of Waitrose Own Brand comments, “There’s been a lot of bad press around so-called ‘healthy’ products which aren’t nutritious and don’t taste great, however the growing awareness of ultra processed food in our diets has seen many customers seeking the basics and embracing a much simpler approach to their diet.”
Waitrose Food & Drink report released last year highlighted that 54 per cent of those surveyed proactively avoid processed foods.
A convenience store in Hinckley, which sold illegal cigarettes to undercover Trading Standards officers on eight occasions and had more than 1,800 packets of illegal tobacco seized during four enforcement visits, has been closed down for three months.
As informed by Leicestershire County Council, Easy Shop in Regent Street has been ordered to remain closed until April 15 by Leicester Magistrates Court, following a joint operation by Leicestershire County Council’s Trading Standards service and Leicestershire Police. The orders were issues last week.
The closure application was made after Trading Standards officers and police seized illegal tobacco from the business on four separate occasions between June 2022 and October 2024, which resulted in a total of 1,860 packets of tobacco being confiscated.
Trading Standards officers conducted a first test purchase at the shop in June 2022, following reports of illegal tobacco being sold from the premises. On that occasion, the officer was sold a packet of counterfeit Richmond cigarettes. Another test purchase in the following month also led to the sale of an illegal packet of cigarettes.
An enforcement visit carried out by Trading Standards officers, police and a tobacco detection dog in July 2022 discovered four packets of tobacco hidden in the shop.
Further repeated test purchases resulted in sales of illegal tobacco, while three further enforcement visits by Trading Standards officers supported by police and a tobacco detection dog yielded seizures of more than 1,800 tobacco products.
The tobacco was hidden in various locations, including a stairwell at the back of the shop, in the roof space of a stock room and in a car belonging to an employee.
The illegal sales continued, despite a change in ownership and several notices from Trading Standards reminding the owners of their legal responsibilities relating to tobacco sales. The final test purchase was carried out on 8 January 2025, when two packets of illegal tobacco were sold.
Magistrates granted the closure order under Section 80 of the Anti-Social Behaviour, Crime and Policing Act 2014, which prevents anyone from entering the address. Anyone who breaches it is liable to be prosecuted.
Large posters explaining that the business has been closed down due to illegal activity on the premises have been posted on the shop’s windows by Trading Standards officers.
Gary Connors, head of Leicestershire Trading Standards, said, "Our Trading Standards officers are actively tackling the trade in illegal cigarettes, which help to fund criminality.
"We will continue to work in partnership with Leicestershire Police to use all means at our disposal to disrupt those who seek to put our local community at a public health risk. The business will close for three months, and thereafter will be monitored if the premises reopen for business.
"Selling cheap or illicit cigarettes steals trade from our legitimate retailers who lose trade to rogue shopkeepers. All smoking is dangerous, but smoking illegal tobacco could potentially be even more harmful to health because the trade in counterfeit and illicit tobacco is unregulated, so there is no control over what is mixed with the tobacco.
"We will continue to clamp down on the sale of illicit cigarettes and vapes, as well as underage sales, to protect Leicestershire residents from traders who break the law.
"We really appreciate members of the public reporting suspicions of illicit or cheap vapes and tobacco sales."
A city centre convenience store in Cambridgeshire has been closed down after police found "illicit" items including Viagra tablets, illegal tobacco and more than £14,000 in cash from the premises.
About 683,400 cigarettes, 37.45kg of hand rolling tobacco, and 35 cigars were seized by the police from International Food Centre in Lincoln Road in Peterborough late last year. The closure order was served on the shop and flat above on Dec 31following an application to Huntingdon Magistrates' Court.
Officers carrying out the warrant in November also found £14,886 in cash, large sums of foreign currency and Viagra tablets.
A man in his 30s was arrested on suspicion of tax evasion and money laundering and released on bail until February.
The following week, a man in his 40s was arrested on suspicion of possession with intent to supply sildenafil and has also been released on bail until February.
It was found during the investigation that the shop's licence was transferred to several different holders in recent years.
In April 2022 the premises' licence and designated premises supervisor were transferred to the current licence holder.
PC James Rice, of Cambridgeshire Constabulary, said it applied for the closure order due to "persistent issues in the store around things such as the sale of age restricted products and other illicit items and non-duty paid products".
"Circumstances such as these are often a front for organised criminality and anti-social behaviour, which has detrimental effects in our communities.
"We hope this latest action shows the community that we are committed to tackling organised crime and will continue to police this robustly through regular compliance checks and enforcement of the order."
Elsewhere in Kent, four men has been arrested in connection with the sale of illegal tobacco and vape products have since been released on bail, pending further inquiries.
In total, officers seized 858 packets of cigarettes, more than six kilograms of rolling tobacco, 201 illegal vaping products and £2,560 in cash from shops in Lower Stone Street, Gabriel’s Hill, and the High Street in Kent.
Officers ask that anyone who becomes aware of stores selling cigarettes illegally to contact them, and they would also like to hear from genuine shop-owners who believe their businesses have suffered because of illegal cigarette sales nearby.
French champagne shipments fell by nearly 10 per cent last year as economic and political uncertainties hit consumers' appetite for the sparkling wine in key markets such as France and the US, the producers association said.
Producers had called in July for a cut in the number of grapes harvested this year after sales fell more than 15 per cent in the first half of 2024. Full year shipments were down 9.2 per cent from 2023 at 271.4 million bottles, the Comite Champagne (Champagne Committee) said.
"Champagne is a real barometer of the state of mind of consumers," Maxime Toubart, president of the Syndicat General des Vignerons and co-president of the committee, said in a statement late on Saturday.
"It is not time to celebrate given inflation, conflicts across the world, economic uncertainties and political wait-and-see in some of the largest Champagne markets, such as France and the United States."
The French market made up 118.2 million bottles, down 7.2 per cent compared to 2023, which the association put down to prevailing economic and political "gloom" in the country.
President Emmanuel Macron appointed Francois Bayrou, his fourth prime minister in a year in December, but his administration remains weak, and still faces an uphill battle to pass the 2025 budget that led to the ouster of his predecessor, Michel Barnier.
Champagne exports also fell, with just 153.2 million bottles shipped, down 10.8 per cent compared to 2023.
"It is in less favourable periods that we must prepare for the future, maintain our environmental (standards) trajectory, conquer new markets and new consumers," said David Chatillon, co-president of the Champagne Committee.
The committee said in July that the 2024 harvest in the Champagne region had suffered from poor weather since the start of the year, including frosts and wet weather which increased mildew fungus attacks in its vineyards.
As opposed to other wine production, most champagne bottles are a mix between several vintages, using stocks from previous years. These stocks are replenished during good years and can compensate for poor harvests.