Summary results LPT Q3 2023
Key findings:
Business outlook and financial health
- Respondents view the UK economic outlook as on a generally downward trajectory although logistics businesses have maintained steady growth.
Supply chain issues
- 73.2% of respondents reported an increased in transport costs, which can be attributed to rising fuel prices and global supply chain bottlenecks.
- Suppliers reporting delays in receiving parts (53.3%) highlight manufacturing and sourcing challenges.
- There were substantial disruptions in overall freight volumes and orders for supplies/services with around a quarter of respondents reporting a decrease, while reductions in freight kilometres and number of units in operation were revealed to have fallen by 14.8% and 12.0% of respondents, respectively
Staffing and skills
- Staff shortages are easing, overall, Q3 2023 showed a positive shift with reduced problems in various job categories.
- Companies have increased their HGV driver hires by 55% while 5% of HGV drivers have left employment. Of those leaving, 1% were due to retirement.
Delivery of vehicles and diesel van phase-out
- Despite placing orders well in advance, some 70% of respondents are still experiencing long lead times before receiving their vehicles.
- Some companies (37.7%) believe the UK government’s diesel van phase-out delay to 2035 will influence their plans to switch to electric vehicles, possibly due to concerns about environmental commitments or market trends. Others (42.8%) are unaffected, indicating existing commitments or viewing the delay as inconsequential.
