The result of the Brexit-inspired falling pound is that we are, and will continue to be, at the mercy of increasingly expensive imports
Last month, Marmite managed to leave a nasty taste in the mouth for even those of us who like it. Unilever’s attempt to increase the price, allegedly in response to rising costs as a result of a Brexit-inspired falling pound, was fought off by plucky old Tesco. Critics pointed out that Unilever had also benefited from the falling pound because it exported so many of its products. The company backed down and Tesco won the day. Hurrah. The diehard Brexiteers were able to claim that the portents of doom around our leaving the EU were misplaced. It was buttered toast all round.
Except the Unilever story has managed to obscure the reality, which is this: when it comes to food, Brexit has utterly screwed us all. I ran into a friend recently who runs a food import and restaurant business. They spend more than £10m a year on produce, purchased in euros. Because of the falling pound their costs have gone up by 20%. They have to find an extra £2m just to stand still. I spoke to a man in the steakhouse business, who imports beef from the US. It was chaos, he said. The falling pound against the dollar had decimated the business.
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