How Will Brexit Affect The Food Industry?

Brexit 1

Last week citizens of the UK voted in the EU Referendum, which resulted in the majority of people voting to want to leave the EU. The results were that 51.9% of people voted to leave the EU, and 48.1% voted to remain in the EU.

But what will the consequences be for the Food Industry now that the UK is going to be leaving the EU?

Ian Wright, Director General of the Food and Drink Federation, which represents 6,620 businesses, such as McVitie’s and Mr. Kipling said:

“130,000 of the food industry’s 450,000 staff came from eastern Europe. Inevitably they are very frightened and unsure of what they should do, We may see many decide to go home. The reassurance we have heard from the leaders of the Leave campaign at the moment does not amount to much,”

However, UKIP leader Nigel Farage, has said that EU migrants who have come to the UK legally will have the right to remain here. The “Vote Leave” campaign said that EU workers already in the UK would not have their rights affected.

National Farmer’s Union president Meurig Raymond has said that the result of the EU referendum was a “political car crash”, and warned the UK to expect to see a rise in the price of food, due to a number of factors, such as the UK’s dependence on imports along with the weakened pound. The pound dropped to its lowest value since 1986 after the EU Referendum results. 

Merwe told the Guardian:

“Sadly, we only produce 60% of the food we consume. We’ve seen our self-sufficiency fall dramatically, so we are very dependent on imported food.

“A weaker pound will mean higher imported food value. I would say to government.. it could easily be held to ransom by other parts of the world if there is a climatic disaster or if currency is weak.”

I guess only time will tell..

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