The Telegraph reports that food wholesalers have warned their supply chain to hospitals, care homes, schools and prisons is on the brink of collapse due to restrictions on pubs and restaurants.
Forcing customers to leave eating and drinking venues at 10pm, combined with reduced demand for hospitality services due to social distancing, has put unsustainable pressure on the industry, the Federation Of Wholesale Distributors and Food and Drink Federation argues.
In a letter to the Chancellor Rishi Sunak, they are calling for urgent financial support for wholesalers to prevent mass redundancies and immediate risk to public sector supply chains.
They want the Government to extend the furlough scheme to Tier 3 areas, where the tightest restrictions are in place; extend business rates relief to wholesalers; and provide grants for supply chain businesses in Tier 2 and 3 areas, as they are unable to close because they serve the public sector.
These three steps will help avoid a “cliff edge of job losses” which will cause irreparable damage, they say.
Further reading
- An open letter on the food emergency to the UK’s Prime Minister and Government
- £16 million for food charities to provide meals for those in need
- Covid-19 has exposed fragile, complex supply
