ISSN 2674-8053

UK shortages post Brexit

By Pedro Gerhardt CorrĂȘa and Priscila Cesarino Taddone

Since the UK's departure from the European Union in 2018, several changes took over the configuration of the island, now without block support. Even so, the United Kingdom did not join with other countries in economic agreements in order to gain customs benefits similar to those they had when they were part of the European bloc.

The current situation culminated in the shortage of food and raw materials, that affected the whole island, having as main represented the gas, the commodities and the drinks. Although the problem cannot have its causes attributed only to Brexit, It is noteworthy that this exponentially increased tariffs for products entering the UK and coming from EU member countries. The COVID-19 pandemic also played an important role in making the situation of food and gasoline shortages worse. As a consequence, labor restrictions slowed production, that has not been able to meet the needs of the British population.

The departure of about one million people from the UK after Brexit has reduced the skilled workforce, and the bureaucracy implemented at the borders ended up reducing the flow of fuels. British Prime Minister Boris Johnson said it is possible that the shortage of fuel will last until Christmas 2021, but it is not known if there will be improvement or worsening until then. According to the prime minister, near 100 a thousand truck drivers abandoned their posts after the crisis, being that of these, 20 thousand are not british.

Therefore, it can be inferred that, after all these changes and instabilities, the British market has become considerably less attractive on the international stage, and may face difficulties in establishing other pacts or alliances similar to the one they had in the EU. Lastly, it will be up to the island to decide whether to hire foreign workers again in order to compensate for the lack of labor, or if the customs bureaucracy will be facilitated, at least during the moment of crisis in the supply of gasoline and diesel.       

REFERENCES:

THE COUNTRY. With empty shelves and no workers, covid-19 and Brexit exacerbate UK supply crisis. Available in:  https://brasil.elpais.com/internacional/2021-09-14/com-prateleiras-vazias-e-sem-trabalhadores-covid-19-e-brexit-agravam-crise-de-abastecimento-no-reino-unido.html.  Access in: 6 out. 2021.

TRADE NEWSPAPER. Johnson admits UK shortages are linked to Brexit. Available in: https://www.jornaldocomercio.com/_conteudo/internacional/2021/10/814277-johnson-admite-que-desabastecimento-no-reino-unido-esta-ligado-ao-brexit.html.  Access in: 6 out. 2021.

Twitter. Shortages lead to fights and queues at UK gas stations. Available in: https://economia.uol.com.br/noticias/redacao/2021/10/01/filas-desabastecimento-combustivel-reino-unido.htm . Access in: 6 out. 2021.

Twitter. Government admits UK shortage could last until Christmas. Available in: https://economia.uol.com.br/noticias/efe/2021/10/03/governo-admite-que-desabastecimento-no-reino-unido-pode-durar-ate-o-natal.htm  . Access in: 6 out. 2021.

LOOK. where is the food that was here? British shelves begin to empty. Available in: https://veja.abril.com.br/mundo/cade-a-comida-que-estava-aqui-prateleiras-britanicas-comecam-a-esvaziar/ . Access in: 6 out. 2021.

Center for European Studies and Business
The European Studies and Business Center (NENE) is linked to the Brazilian Center for International Business Studies & Corporate Diplomacy (CBENI) from ESPM-SP. It was created considering the need to stimulate the Brazilian and Latin American academic community to better understand their relations with Europeans, seeking to understand and deepen the Brazil-European Union Strategic Partnership.