South East firms highlight Christmas challenges in uncertain times
- Published
Demand for fudge is up, but a lack of staff is hampering production at one Kent firm
Christmas is normally the busiest time for small firms, with many reliant on brisk trade over the festive season to see them through the rest of the year.
Business owners in south-east England have been describing the pressures they face in keeping their customers happy in the run up to this Christmas.
It follows challenges over rising costs, staffing issues and supply chain shortages, plus recent added uncertainties following the emergence of the Omicron virus variant.
The Fudge Kitchen Ltd
Owner Sian Holt said problems had been building since Brexit and Covid-19
The Aylesham-based firm has seen demand soar, but difficulties are making owner Sian Holt anxious about being able to meet customers' expectations in time for Christmas.
She said the current situation is like a pot boiling over, with two years of constant problems building up without any let up.
"This is probably the most challenging Christmas we have ever had," she said.
"Starting with Brexit, with stockpiling, then came Covid - the world stopped operating - ships and containers were emptied in the wrong places, and then we've had issues with staff."
The firm has had to deal with driver shortages as well as among production line staff, she added.
Kentish Oils
Owner Laura Bounds said supply chain and crop issues were forcing her to increase prices
The Canterbury-based firm, which produces a range of plain and flavoured rapeseed oils, has been forced to increase its prices in recent weeks.
Owner Laura Bounds said her company has been at the sharp end of the "raw materials shortage", with both glass and cardboard being more difficult to get hold of and costly to import.
On top of that, she said there were also challenges in harvesting the rapeseed and with "the flea beetle eating our crops".
"We hope it will balance out in two or three years," she added.
Maidstone Distillery
Co-founder Darren Graves said the firm was struggling to get hold of glass bottles
Darren Graves, the co-founder of gin specialist Maidstone Distillery, said it has been a struggle to get hold of glass bottles, and other items like paper bags have risen in cost.
He said: "We've all experienced shortages with fuel, we've heard about the HGV crisis and these are definitely impacting us and our modest business here."
The concerns from local businesses have led William Bain, head of trade policy at the British Chambers of Commerce, to call for government action.
He said: "If the government could introduce a scheme for short-term visas for up to two years and help businesses with the challenges they face in terms of dealing with raw material, shipping costs and supply chains, that would amount to a good Christmas package."
Kentish Oils' owner expects things to take a few years to balance out again
A government spokesman said: "Temporary visas are not a long-term solution and businesses must make long-term investments in the UK domestic workforce to build a high-wage, high-skill economy, instead of relying on overseas labour."
He said the government was supporting businesses to secure the workforce they need through schemes like Plan for Jobs, Kickstart and Skills Guarantee.
He said the government had spent £352bn on a package of support for businesses during the pandemic, which was "unprecedented".
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