The Fresh Produce Consortium (FPC) has expressed concern over the new Common User Charges introduced by the Government. Describing it as a “thinly veiled tax on the industry,” FPC warns that it will result in millions of additional costs for the sector. In a statement on its website, FPC stated that industry experts predict the new charges will add £200 million in costs across the fresh produce supply chain, posing a significant challenge to an industry already facing unprecedented difficulties.
Nigel Jenney, the chief executive of FPC, strongly criticized the Government for imposing these exorbitant charges on businesses, labeling it as a direct tax. He emphasized that the added costs could severely impact supply chain confidence and lead EU exporters to reconsider their commitment to the UK market. Despite the Government’s attempt to downplay the impact on consumers, FPC highlights the warnings from importers and retailers about potential delays, disruptions, and increased costs that may be passed on to shoppers.
Jenney pointed out that the new charges are particularly burdensome for SMEs, with fees capped at £145 per consignment arriving via the Port of Dover or Eurotunnel. He highlighted the discrepancy between these charges and the commercial control point fee, which is usually less than £100 per consignment. Jenney also stressed the importance of alternative industry-managed solutions to enhance efficiency and benefit both the industry and consumers.
In closing, Jenney emphasized the necessity for the UK to remain an attractive destination for international exporters, alongside supporting the local fresh produce industry. He criticized the Government’s border solutions as jeopardizing this goal and potentially leading to avoidable food inflation. He condemned the charges as harmful to those working tirelessly in the industry and accused the Government of punishing businesses essential to the economy and public health.