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Share Price: 169.80
Bid: 169.80
Ask: 170.60
Change: 0.20 (0.12%)
Spread: 0.80 (0.471%)
Open: 173.60
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Low: 168.40
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UPDATE 1-UK risks Christmas alcohol shortage due to lack of drivers

Wed, 24th Nov 2021 20:31

(Adds comment from the Department for Transport)

By James Davey

LONDON, Nov 24 (Reuters) - Britain could face a shortage of
alcohol this Christmas unless the government steps up its
efforts to address a lack of heavy goods vehicle (HGV) drivers,
the wine and spirits industry warned on Wednesday.

The prospect of limited alcohol lines follows panic buying
at Britain's fuel pumps, soaring heating prices and shortages of
items ranging from consumer electronics to crisps and vegan
sausage rolls.

The Wine and Spirit Trade Association (WSTA) said 49
businesses including MoΓ«t Hennessy UK, Laurent-Perrier
UK, Pernod Ricard UK, C&C Group and
Matthew Clark, had put their names to a letter to transport
minister Grant Shapps calling on him to take urgent action over
HGV driver shortages and freight disruption.

"There is mounting concern amongst our membership that
unless urgent action is taken, we will fall deeper into delivery
chaos," said WSTA CEO Miles Beale.

"We are already seeing major delays on wine and spirit
delivery times which is pushing up costs and limiting the range
of products available to UK consumers."

The WSTA said its members had reported that importing
products was taking up to five times longer than it did a year
ago, with businesses that had previously been able to fulfil
orders in two to three days experiencing shipments taking 15
days to process.

It also noted that freight costs had increased by 7%, as
delivery firms have had to increase HGV drivers' wages to retain
them.

The WSTA wants Shapps to extend a temporary visa scheme for
HGV drivers from Feb. 28, 2022, to a minimum of one year, to
ease the burden on industry and allow for a sufficient increase
in domestic drivers.

It also wants his department to facilitate better routing of
freight from ports and smaller UK-based driver networks for
short-haul journeys.

The UK government said it did not expect disruptions to the
supply of alcohol this Christmas, however.

β€œThe government acted quickly to tackle the challenges to
our supply chains, which were brought on by global pressures
including the pandemic and the international shortage of HGV
drivers," said a government spokesperson, noting 32 steps taken
to tackle the shortage.

Britain's two biggest supermarket groups, Tesco and
Sainsbury's, are currently running big wine promotions,
indicating no immediate threat to wine supplies.
(Reporting by James Davey; Editing by Mark Potter and Hugh
Lawson)

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