🕒 Article read time: 2 minutes
Industry recovery still has some way to go, according to Logistics UK’s annual Logistics Report
After three years of heightened trading conditions and huge pressures on the supply chain caused by the global pandemic, business group Logistics UK’s annual Logistics Report (released on 13 June 2023) shows that recovery is starting to be seen across the sector.
The report – the business group’s market-leading overview of the sector – reveals that, according to the latest available data (for 2021), logistics businesses added £163 billion to the UK economy and generated just over £1 trillion in revenues; a 19.2% increase on the previous year and the same as in 2019, and a welcome sign of recovery from Covid-19.
Despite this, 2022 remained a challenging year as Chief Executive of Logistics UK, David Wells, explains: “While the initial months of 2022 witnessed a resurgence in consumer spending and increased business activity, in the second half of the year the logistics sector navigated a difficult economic climate due to a global energy price shock – triggered by the Russian invasion of Ukraine – in addition to changing trade processes driven by Britain’s exit from the EU and the increasing need to decarbonise.
“Nevertheless, our industry continued to demonstrate its adaptability with the UK trading £414 billion exports and £644 billion imports in 2022. The outlook for overall business performance continues to be encouraging with 77% of survey respondents noting the same or better economic expectations for 2023 compared to 2022.”
However, as the report highlights, further challenges remain for the sector, particularly decarbonisation and the impact of inflation and the cost of living crisis.
Mr Wells continues: “Transport remained the highest greenhouse gas (GHG)-emitting sector across the UK in 2022, with industry calling for reform and investment across a host of policy areas. Our sector is embracing the challenge of decarbonisation, with almost all respondents (93.7%) reporting they will invest either the same as last year, or more, in alternative fuels in 2023.
“However, there is still an urgent need for investment and innovation to reduce GHG emissions at the pace and scale necessary to meet net zero targets. And with inflationary pressures continuing to affect prices across the economy, the current turbulent business conditions look set to continue in the next twelve months.”
The Logistics Report 2023 uses in-depth analysis of the latest official national statistics, as well as data collected by the Logistics UK’s Industry Survey to provide oversight and analysis of the issues which have shaped the industry over the past year.
To view the report, please visit: www.logistics.org.uk/research-hub/reports/logistics-report
Published On: 15/06/2023 12:00:00
Comments Section
If you are a Logistics UK member login to add comments.
In brief
Send your stories to the editor
Our incumbent editor is now Stuart Messham (smessham@logistics.org.uk) and he'd be delighted to receive freight- and logistics-related stories to his email.
Port of Tyne announces significant new contract with leading metal recycling firm
The Port of Tyne has signed a new 10-year contract with European Metals Recycling (EMR), a global leader in sustainable materials that that has been one of its key customer for the past 25 years.
As a top client, EMR participates in the Port's ‘Customer First’ program, fostering collaboration and joint strategic objectives.
This new agreement anchors the business in the North East – driving growth for its own business and the broader regional supply chain – and will significantly increase the annual tonnage of ferrous and non-ferrous metals processed and shipped from the port to several global locations for reuse.
EMR’s facility at the Port of Tyne handles 300,000 tonnes of waste metal every year from manufacturers, demolition companies, the public and tradespeople. The processed material is sold into the Mediterranean, North America, and the Far East to be reconstituted and reused in everyday items such as vehicles, electronics and household appliances. The Port of Tyne’s deep-water operation enables EMR to move up to 50,000 tonnes on one vessel, with the in-house stevedoring team providing port services to EMR.
EMR has invested more than £1 million in its Port of Tyne facility in South Shields, where it employs some 30 transport, operational, and commercial staff. They plan to develop the site further to provide greater operational flexibility to manage global challenges.
“It’s great to embark on a new chapter with a leading industry player in recyclable materials like EMR,” said Matt Beeton, CEO of the Port of Tyne.
“The company’s market-leading position on sustainability issues, alongside its important role in the circular economy in support of the region’s growth industries like renewable energy, automotive and electric vehicles, is aligned with our business and ESG strategies as we look to grow our clean energy cluster.”
DVLA releases HGV levy rates
The Driver and Vehicle Licencing Agency (DVLA) has published the levy rates that will start to be re-applied from 1 August 2023. The levy was paused during COVID-19, but notice was given as to its reintroduction. Further details can be found here.
Latest articles
RTX is back!
Award-winning Road Transport Expo (RTX) is back this summer and a diary must-attend for anybody involved in the road haulage sector.
Read time: 2 minutes
View article
RIA releases ambitious blueprint for net zero railway by 2050
The Railway Industry Association (RIA) has released an ambitious blueprint titled 'Delivering a Lower Cost, Higher Performing Net Zero Railway by 2050'.
Read time: 2 minutes
View article
Mercedes-Benz to pair eSprinter vans with e-cargo bike
A new pilot program aimed at making last mile deliveries greener has been initiated by Mercedes Benz.
The eSprinter effectively becomes a micro-depot with the electric van’s cargo being offloaded onto an ONO electric cargo bike which then completes the last-mile deliveries
Read time: 2 minutes
View article
