In the high volume, low margin wholesale model, increases in operating costs cannot easily be absorbed and can result in increased costs in the food and drink supply chain.
FWD makes the case to the government and regulators for better regulation of businesses in this sector and for it to be necessary, effective and proportionate.
Trade Credit insurance
The Government has announced that the Trade Credit Reinsurance Scheme will close as planned on June 30. FWD had a call with UKHospitality and BEIS last week to discuss the ending of the scheme and the impact on the foodservice wholesale supply chain. BEIS say they can engage with insurers should members be experiencing any particular problems with their insurers, although they did claim that the removal of the scheme should see cover being “maintained or increased” as insurers have more capacity and appetite to take on risk.