Retailers Brace for Potential Tariffs and Labour Shortages

  • No-deal Brexit could add £7.8bn to retail costs
  • Retail Economics and Squire Patton Boggs’ research highlights the impact on food and drink sector
  • UK retail industry may face higher labour costs without EU workers
  • Clothing and shoe sector expected to be second most affected
  • Health and beauty, electrical and DIY sectors least impacted

New research from Retail Economics and Squire Patton Boggs reveals that a no-deal Brexit could add £7.8bn to retail costs, with the food and drink sector facing the highest risk of higher tariffs. The UK Retail Brexit and Trade Quarterly Review also warns about potential labour shortages due to new immigration rules. The clothing and shoe industry is expected to be the second most affected, while health and beauty, electrical, and DIY sectors face the least impact.

Factuality Level: 8
Factuality Justification: The article provides relevant information from the Retail Economics and Squire Patton Boggs research on the potential impact of a no-deal Brexit on UK retail industry. It presents data on the risks and potential costs for different sectors, including food and drink, clothing and shoes, health and beauty, and electrical and DIY gardening. The article also includes expert opinion from Richard Lim, CEO of Retail Economics, which adds credibility to the information presented.
Noise Level: 3
Noise Justification: The article provides relevant information about the potential economic impact of Brexit on different sectors of the UK retail industry and offers insights into the possible consequences of a no-deal scenario. It cites specific examples such as food and drink imports and non-graduate labour for the retail industry. However, it could benefit from more in-depth analysis or expert opinions to strengthen its claims.
Financial Relevance: Yes
Financial Markets Impacted: UK retail industry, food and drink imports, clothing and shoe sector, health and beauty, electrical and DIY and gardening sectors
Financial Rating Justification: The article discusses the potential financial impact of a no-deal Brexit on various sectors of the UK retail industry, including increased costs for goods and potential changes in labour. It also mentions the potential impact on financial markets through the UK’s trade negotiations with the EU.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification:

Reported publicly: www.retailsector.co.uk