Following the UK’s vote to leave the EU a majority of food and drink companies responding to the FDF’s survey report increased ingredient prices, a drop in product margins, and concerns for the future raised by their EU workforce.
More than two thirds (69.5%) of respondents are less confident about the UK business environment, with only around one in ten (11.2%) more confident.
Ian Wright, director general of the FDF, said: “We share government’s view that we need to make the best of Brexit. Food and drink industry confidence is low. Slower revenue growth, coupled with prolonged business uncertainty, is affecting the industry’s ability to invest.
“The assurances we heard from government last week must be underpinned by credible plans for restoring confidence and negotiating a workable future relationship with the EU. Working with government through an industrial strategy partnership, we believe we can counterbalance uncertainty arising from the EU exit process and secure world-class status for the sector.”