Get all your news in one place.
100's of premium titles.
One app.
Start reading
The Guardian - UK
The Guardian - UK
Business
Graeme Wearden

Asda and Morrisons rationing some fruit and vegetables; UK private sector returns to growth – as it happened

Scales to weigh loose fresh produce in the UK supermarket Asda in Leeds
Scales to weigh loose fresh produce in the UK supermarket Asda in Leeds Photograph: Molly Darlington/Reuters

Several factors are behind the shortage of foods in UK supermarkets, explains Abhi Ghadge, Associate Professor of Supply Chain Management at Cranfield School of Management

“Frequent shortages of food items in the UK’s supermarkets have raised questions regarding the long-term availability of food in the UK.

“However, this broader issue links several aspects, from changing climatic conditions to Brexit to soaring energy and labour costs. For example, British and European farmers have scaled back on producing certain foods, such as tomatoes, due to the rising cost of heating greenhouses and labour.

“The shortages of food items in the UK are expected to continue with fresh salad (including cucumbers), cabbages and cauliflowers in the next few days. However, some of these food items are grown outside the EU; thus, purely blaming Brexit for the shortages is inappropriate.

Supermarkets need to think of innovative solutions rather than just blaming suppliers, Ghadge adds:

Local sourcing and alternate suppliers are some of the commonly used supply chain strategies to manage such issues. The UK government needs to build resilience around these recurring issues associated with food shortages. Investing in in-house greenhouse projects and looking for availability beyond Europe may provide some solutions.”

Closing summary

Time for a recap…

Asda and Morrisons are bringing in rationing of salad items including tomatoes, peppers and cucumbers amid shortages caused by poor weather in southern Europe and north Africa.

Asda is limiting shoppers to three items each on eight fresh produce lines – including broccoli, cauliflower, raspberries and lettuces – to ensure all customers can get what they need.

Morrisons is putting limits of two per item on tomatoes, cucumbers, lettuce and peppers from Wednesday. A spokesperson said:

“Like other supermarkets, we are experiencing sourcing challenges on some products that are grown in southern Spain and north Africa.

The British Retail Consortium, which represents all the big grocers, expects the supply disruption to last a few weeks.

Here’s the full story:

The National Farmers Union has warned that “Volatility, uncertainty and instability” are endangering UK farm businesses, and called for more help on energy bills.

On the economic front, the UK recorded a surprise budget surplus of over £5bn in January, helped by a surge in tax takings. This has spurred calls for chancellor Jeremy Hunt to address public sector pay disputes.

But Downing Street has played down suggestions that there could be tax cuts in next month’s budget.

The prime minister’s spokesman warned:

Borrowing remains at record highs and there is significant uncertainty and volatility which poses clear risks to the fiscal position.”

The UK’s private sector has returned to growth, boosting hopes that Britain may avoid a recession in the near term. The news pushed the pound to its highest in around a week.

In the cost of living crisis, campaigners have called for private housing landlords to be held to new standards set out after the death of Awaab Ishak.

Research from Citizens Advice found that 1.6 million children live in privately rented homes with damp, mould or excessive cold.

The energy crisis stemming from the war in Ukraine had cost the equivalent of £1,000 for every UK adult, research shows.

Royal Mail has restarted international parcel and letter deliveries through Post Office branches almost six weeks after it revealed it had been affected by a ransomware cyber-attack that hit its international services.

Ofgem has told energy suppliers to uninstall prepayment meters that have been wrongly force-fitted and pay compensation now, rather than wait for the outcome of a review.

HSBC has increased bonus payouts for its chief executive after fourth-quarter profits more than doubled on the back of a jump in mortgage and loan costs for its borrowers.

Updated

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.