Home News Features Compliance

🕒 Article read time: 4 minutes

Logistics Report 2021 captures the trends shaping the sector


The 2021 edition of Logistics Report, Logistics UK’s annual review of the events and trends shaping logistics, will be published tomorrow (21 May 2021).

Focusing on the effects of the COVID-19 pandemic as well as changes to the UK’s trading relationship with the EU, the report promises to offer a look ahead to developments in the coming months.

To launch the report, Logistics UK will be holding an hour-long webinar, which will be hosted by the business group’s Chief Executive David Wells and Director of Policy Elizabeth de Jong. Members attending the webinar will be invited to put questions to the specialist policy panel.

The report is divided into seven main sections: the logistics sector; competitiveness; international trade; connectivity; labour and skills; sustainability; and safety and innovation.

THE LOGISTICS SECTOR

The UK’s logistics sector forms a tenth of the UK’s non-financial business economy, making it vital to the country’s financial success. The industry has weathered the COVID-19 pandemic well, with the proportion of businesses in the transport and storage sector with cash reserves of more than six months rising after April 2020 before stabilising. While the number of goods vehicle operator licences and new HGV and van registrations declined during 2020, the vaccination rollout and further clarity over Brexit is expected to have a positive impact on businesses.

COMPETITIVENESS

For every metric in the World Economic Forum’s 2020 Global Competitiveness Report, the UK ranked in the top 15 countries. While costs rose for all transport modes, the drop in fuel prices potentially offset some of these rises. Looking ahead, the UK’s future competitiveness may depend to a large degree on its ability to adapt to a new regulatory regime following its exit from the EU and the extent to which it deploys emerging policy and regulatory reforms in the wake of the pandemic.

INTERNATIONAL TRADE

COVID-19 and the uncertainty around the end of the EU Exit transition period combined to disrupt imports into and exports from the UK’s economy in the year under review. Adapting to changes in moving or trading goods after the EU Exit transition period and introduction of the NI Protocol created a difficult beginning to 2021.

CONNECTIVITY

While freight operations have undoubtedly been affected by lockdown restrictions, the sector’s ability to adapt led to rail, road and cargo-flight-specific air freight recovering to pre-pandemic levels by the end of 2020. The reliability of road and rail increased, although air freight has taken longer to recover and rates remain high owing to limited passenger flights.

LABOUR AND SKILLS

COVID-19 dramatically affected working practices over the past year, with furloughing and redundancies impacting every sector. The industry’s ‘key worker’ status and increased demand for online deliveries, however, meant that many businesses were able to continue. Just under half (46%) of respondents to Logistics UK’s Industry Survey indicated that they had increased the gross pay of their staff.

SUSTAINABILITY

Although undoubtedly disrupted by COVID-19, the logistics sector’s journey towards net zero emissions is picking up again with the introduction of low-emission schemes and developments in sustainable technology. The rise of online retail had a positive effect on warehouse take-up and home deliveries, while lockdown restrictions improved journey times for freight as private vehicles stayed off the road.

SAFETY AND INNOVATION

Lockdown restrictions have impacted both vehicle and driver testing over the last year. Data indicates that industry compliance may have improved overall, however, and there were fewer fatal accidents involving a commercial vehicle. Developments in technology are expected to lead to a rise in sustainability benefits across all modes.

Elizabeth de Jong, Director of Policy at Logistics UK, said: “The past year has been one unlike any other,” said, “yet this landmark report shows that the logistics sector has risen to the challenge and delivered despite the most challenging of circumstances. The sector’s resilience and ability to adapt, for which it has long been famed, has helped it weather the perfect storm of the COVID-19 pandemic and the UK’s exit from the EU. I look forward to taking members through the key findings of this important report.”

Logistics UK members can book their place on tomorrow's Logistics Report launch webinar here.

*www.shop.logistics.org.uk/

Published On: 20/05/2021 17:00:32

 



Latest articles

Legislation update – July 2022

Keep up to date with live government consultations, recently closed consultations and key announcements.

Read time: 2 minutes

View article

Transport Committee launches probe into self-driving vehicles

Self-driving vehicles have been attracting an increasing level of interest from both business and the public recently, and their development is now attracting the attention of the House of Commons Transport Select Committee.

Read time: 2 minutes

View article

Nominations for Logistics UK’s Van Awards 2022 close in one more week

Nominations for Logistics UK’s Van Awards 2022 will close in a little over a week (Friday 15 July 2022), and with competition stiff across the sector, the business group is urging all operators to apply without delay for the chance to be recognised as the best in the industry.

Read time: 2 minutes

View article

Next page

Logistics UK reacts to the Value of Rail Freight report

Interested in Membership?

Get in contact using the Membership Enquiry Form.

Membership Enquiry Form

Logistics Magazine Portal

The hub for finding relevant and informative features, news & compliance guides from Logistics Magazine

Logistics Magazine Portal Home

Sponsorship Opportunities

Learn more about advertising on the new digital Logistics Magazine, with a variety of advert options to reach 30,000 relevant readers.

Sponsorship Opportunities

Magazine Contents

News

Logistics Magazine will cover all the latest news on stories breaking in the industry, including developments on COVID-19,  Brexit, Clean Air Zones, transport law and decarbonisation.

News

Features

Our frequent features will tackle the broader issues affecting logistics such as the COVID-19 vaccination programme, technology and innovation, the political and economic landscape, global trade and the drive to reduce emissions across all transport modes.

Features

Compliance

Each month we explore a different topic in depth in our popular Compliance section, while each week we will publish answers put to our Member Advice Centre team.

Compliance

View Supplements and Previous Printed Editions

View Supplements and previous printed editions of Logistics Magazine here.

Previous