Failings and opportunities in the UK supply chain are highlighted in a survey of 500 medium-sized firms across a range of industries (including manufacturing, technology, retail and hospitality) by accountancy firm BDO. The findings include:
- Government should give tax cuts to firms “working with domestic suppliers and/or partners”, according to a fifth (21%) of companies surveyed.
- 77% of respondents said that they are facing persistent disruptions in their supply chain …
- … with 36% saying that supply chain pressures are a greater concern for them than cost increases and workforce challenges.
- Almost 50% said they will focus on onshoring as much of their operations as possible in the next 12 months …
- … but 21% say UK costs are too high and a further 20% say the UK has no suppliers with the capability they need.
- A quarter said that their re-shoring strategy was to reduce the impact of global geo-political events with the same proportion using it to avoid complex post-Brexit customs regulation.
The findings are the latest illustration of the gaps and opportunities in the UK supply chain. We will continue to promote the capabilities of our members; and to urge the government to do more to promote awareness of UK suppliers and their international competitiveness.
You can read more about this in the BDO press release which is available at https://www.bdo.co.uk/en-gb/news/2023/supply-chain-challenges-continue-to-hold-back-business-growth.