Experts are predicting with all the difficulties affecting the supply-chain, it could be the end of 2022 or even 2023 before some normality resumes. There are also concerns that the supply-chain issues will impede the UK’s forecasted economic growth.
The Bank of England’s projection of inflation to be around 5% in the UK with the Consumer Price Index potentially rising to 4.1% which means we will see an increase in our food and energy bills.
Some of the current difficulties are congested container ports, driver shortages and shipping delays. Henrik Pedersen, The Chief Executive of Associated British Ports, has said “when you have congested container ports around the world, it takes a long time to turn it around. We have a shortage of truck drivers in the UK, and in other countries too, so the problem is in the shipping leg and the road leg”.
Some supermarkets are looking to increase driver wages, offer bonuses over the Christmas period and looking towards rail freight to combat against the supply chain issues.
There are also commercial development plans hoping to create thousands of jobs within warehouses, manufacturing, and green energy, hoping to take some of the strain.
Creative solutions and forward planning are crucial to keeping your business moving during these challenging times. WeDo Trade Finance are on hand to guide you and offer dynamic financial solutions.