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* Petrol stations run dry in major British cities
* Trucker shortage strains British economy
* British minister urges people not to panic buy
* Gas stations appeal for calm after panic buying
* Britain relaxes competition rules
(Adds British minister, Aldi)
By Guy Faulconbridge and Alistair Smout
LONDON, Sept 27 (Reuters) - Up to 90% of British fuel
stations ran dry across major English cities on Monday after
panic buying deepened a supply chain crisis triggered by a
shortage of truckers that retailers are warning could batter the
world's fifth-largest economy.
A dire post-Brexit shortage of lorry drivers emerging after
the COVID-19 pandemic has sown chaos through British supply
chains in everything from food to fuel, raising the spectre of
disruptions and price rises in the run up to Christmas.
Just days after Prime Minister Boris Johnson's government
spent millions of pounds to avert a food shortage due to a spike
in prices for natural gas, the biggest cost in fertilizer
production, ministers asked people to refrain from panic buying.
But queues of dozens of cars snaked back from petrol
stations across the country on Sunday, swallowing up supplies
and forcing many gas stations to simply close. Pumps across
British cities were either closed or had signs saying fuel was
unavailable on Monday, Reuters reporters said.
The Petrol Retailers Association (PRA), which represents
independent fuel retailers which now account for 65% of all UK
forecourts, said members had reported that 50% to 90% of pumps
were dry in some areas.
"We are unfortunately seeing panic buying of fuel in many
areas of the country," Gordon Balmer, executive director of the
PRA, who worked for BP for 30 years, told Reuters.
"We need some calm," Balmer said. "Please don't panic buy:
if people drain the network then it becomes a self-fulfilling
prophecy."
Britain is considering calling in the army to ensure fuel
supplies reach consumers, according to The Times and Financial
Times.
Environment Secretary George Eustice said there was no
shortage of fuel and urged people to refrain from panic buying.
Hauliers, gas stations and retailers warned that there were
no quick fixes, however, as the shortfall of truck drivers -
estimated to be around 100,000 - was so acute, and because
transporting fuel demands additional training and licensing.
SUPPLY CHAIN CRUNCH
Britain's retail industry warned the government on Friday
that unless it moves to alleviate an acute shortage of truckers
in the next 10 days significant disruption was inevitable in the
run-up to Christmas.
For months, supermarkets, processors and farmers have warned
that a shortage of heavy goods vehicle (HGV) drivers was
straining supply chains to breaking point - making it harder to
get goods onto shelves.
Aldi UK CEO Giles Hurley said that while his discount
supermarket chain was in a good position, nobody could guarantee
there would not be inflation in the market around Christmas.
BP said on Sunday that nearly a third of its British
petrol stations had run out of the two main grades of fuel as
panic buying forced the government to suspend competition laws
and allow firms to work together to ease shortages.
Business Secretary Kwasi Kwarteng said the suspension would
allow firms to share information and coordinate their response.
"This step will allow government to work constructively with
fuel producers, suppliers, hauliers and retailers to ensure that
disruption is minimised as far as possible," the business
department said in a statement.
The government on Sunday announced a plan to issue temporary
visas for 5,000 foreign truck drivers. Around 25,000 truckers
returned to Europe before Brexit and Britain was unable to test
40,000 drivers during COVID-19 lockdowns.
(Reporting by Guy Faulconbridge and Alistair Smout; Editing by
Catherine Evans)
