Skip to content
Search
AI Powered
Latest Stories

Brexit-related trade barriers pushed up food prices, says think tank

Brexit-related trade barriers pushed up food prices, says think tank
(Photo by PAUL ELLIS/AFP via Getty Images)
AFP via Getty Images

Trade barriers linked to Brexit have also pushed up prices of food imported from the EU, the country’s leading think tank revealed today (27), further exacerbating the inflationary pressure and cost of living squeeze on households.

According to UK in a Changing Europe (UKICE), trade barriers introduced after leaving the EU had led to a 6 percent increase in food prices between December 2019 and September 2021 in the UK.


Worse-affected foods were fresh pork, tomatoes and jams, which have higher EU import share.

“The reason for these price increases is straightforward- additional barriers at the border such as checks, increased waiting times, and additional paperwork are costly for producers,” says the report.

The report, produced by researchers from the London School of Economics’ Centre for Economic Performance with funding from UKICE, found that a “clear and robust impact of Brexit-induced trade frictions” had contributed to the increase of prices.

Jonathan Portes, a senior research fellow at UKICE, said that while Brexit is “not the main driver of rising inflation or the cost of living crisis”, this report provides clear evidence that it has led to a “substantial increase in food prices, which will hit the poorest families hardest”.

Reacting to the findings, a government spokesperson said, “Food prices fluctuate in any given year and depend on a range of factors including exchange rates and commodity prices. The sustained increase in global gas prices has led to increased input costs for the dairy and egg industries, including feed and fuel costs.”

UKICE’s revelation comes amid the UK’s worst living standards squeeze since the 1950s. Rising prices of energy, food and fuel drove annual inflation to 7 percent in March, the highest rate since 1992. Economists have warned that inflation is likely to touch 10 percent this year amid rising prices for gas and electricity triggered by the war in Ukraine.

More for you

A woman walks past a window display promoting an ongoing sale

A woman walks past a window display promoting an ongoing sale, on December 13, 2024 in London, England.

Photo by Leon Neal/Getty Images

Retail sales disappoint before Christmas

UK retail sales rose less than expected in the runup to Christmas, according to official data Friday that deals a fresh blow to government hopes of growing the economy.

Separate figures revealed a temporary reprieve for prime minister Keir Starmer, however, as public borrowing fell sharply in November.

Keep ReadingShow less
Sybren Attema, and Betty Eekchaut

Presidents Sybren Attema, FrieslandCampina, and Betty Eekchaut, Milcobel

Yazoo parent FrieslandCampina announces merger with Belgian rival Milcobel

Dutch dairy collective FrieslandCampina has agreed to merge with smaller Belgian rival Milcobel, creating a leading dairy cooperative.

FrieslandCampina, whose brands include Yazoo and Chocomel, said the merger will provide the foundation for a future-oriented organisation that has dairy front and centre for member dairy farmers, employees, consumers, and customers.

Keep ReadingShow less
Retail Shoplifting. Man Stealing In Supermarket
Photo: iStock

Home Office reaffirms commitment to abolish £200 shoplifting threshold

The UK government has pledged stronger measures to combat anti-social behaviour and shoplifting, which it acknowledges as serious crimes that disrupt communities and harm businesses.

Addressing a House of Lords debate on Monday, Home Office minister Lord Hanson detailed plans to abolish the controversial £200 shoplifting threshold and to introduce a new offence for assaults on retail workers.

Keep ReadingShow less
post office store
Photo: Post Office Ltd

Post Office launches wellbeing hub to support postmasters amid rising retail crime

In response to the mounting pressures faced by postmasters across the UK, the Post Office has unveiled a centralised wellbeing platform aimed at simplifying access to support resources.

Post Office said the surge in shoplifting and violent incidents, documented in the 2024 ACS Crime Report, has only intensified the demand for comprehensive support.

Keep ReadingShow less
Independent retailers face mixed outlook for 2025 – Bira
iStock

Independent retailers face mixed outlook for 2025 – Bira

Independent retailers have weathered one of their most challenging years in 2024, with multiple headwinds affecting the sector, according to the British Independent Retailers Association (Bira).

With pressures mounting throughout the year, independent retailers have faced an increasingly difficult trading environment marked by changing consumer behaviour and economic uncertainties.

Keep ReadingShow less