Logistics UK: GDP growth welcome but logistics figures highlight ongoing economic pressures

Signs that the UK economy is gathering momentum are positive, says business group Logistics UK, but the latest figures for Transportation & Storage highlight the continued pressures facing businesses and the need for policies that support investment and long-term growth.

Commenting on the latest gross domestic products (GDP) estimates published today (30 September), Logistics UK Chief Executive Ben Fletcher said:

“It is an encouraging sign that economic activity is gaining momentum across the UK with GDP growth between April and June estimated to be 0.5% alongside services sector growth of 0.6%.

“However, the more subdued picture for Transportation & Storage over this period reflects the cost pressures driven by the early stages of the Middle East conflict. Nevertheless, by remaining stable despite significant international pressures, the sector has demonstrated its resilience as the UK’s supply chains continue to support and enable growth across the wider economy.

“As the sector responsible for keeping goods moving throughout the UK, logistics is often one of the clearest indicators of wider economic conditions. The Transportation & Storage figures in the latest GDP estimates underline the difficult trading environment many businesses are continuing to face.

“The logistics sector remains resilient, but today’s figures demonstrate the importance of policies that support business investment, improve infrastructure and reduce barriers to growth. A competitive and efficient logistics industry is essential to strengthening economic performance and helping the UK return to sustainable growth.”

Logistics UK is one of the UK’s biggest business groups, representing logistics businesses which are vital to keeping the UK trading, and more than seven million people directly employed in the making, selling and moving of goods. With decarbonisation, new technology and other disruptive forces driving change in the way goods move across borders and through the supply chain, logistics has never been more important to UK plc. Logistics UK supports, shapes and stands up for safe and efficient logistics, and is the only business group which represents the whole industry, with members from the road, rail, water and air industries, as well as the buyers of freight services such as retailers and manufacturers whose businesses depend on the efficient movement of goods. For more information about the organisation and its work, please visit logistics.org.uk