Gwyn Topham 

Supply chain crisis: PM brings in ex-Tesco boss to ease shortages

UK government brief for Dave Lewis involves flagging up short- and long-term changes to boost supplies
  
  

Petrol pumps signs saying no fuel
Lewis has been brought in to help iron out acute short-term shortages in the UK economy, be they goods, fuel or labour. Photograph: Maureen McLean/Rex/Shutterstock

Sir David Lewis, the former chief executive of Tesco, will advise the UK government on supply chains as it seeks to get a grip on shortages threatening everything from petrol to Christmas.

Downing Street said Lewis would advise the prime minister on both immediate improvements and any necessary long-term changes to UK supply chains for goods, and would work with officials to quickly resolve acute, short-term issues.

In a statement, Downing Street said: “This includes both identifying the causes of current blockages and pre-empting potential future ones, and advising on resolutions either through direct government action or through industry with government support.”

Lewis will also co-chair a new supply chain advisory group and will be based in the Cabinet Office.

The prime minister, Boris Johnson, said: “I’m pleased that Sir David Lewis is joining the team who have been working on future-proofing our supply chains across the United Kingdom as we recover from the pandemic.

“There are currently global supply issues which we are working with industry to mitigate and Dave brings a wealth of experience which will help us continue to protect our businesses and supply chains.”

While Covid, container shipping costs and the blockage of the Suez canal have all contributed to global supply chain pressures over the past year, problems have been particularly acute in the UK with staff shortages in warehousing, packing and – above all – HGV driving, exacerbated by Brexit.

In late September, the lack of tanker drivers culminated in chaotic queues at filling stations as petrol pumps ran dry.

Haulage associations have been increasingly vocal in warning of a shortage of lorry drivers, and the transport secretary, Grant Shapps, admitted last week that he had known of the problem a decade ago.

Nonetheless, the government said on Friday it had “acted quickly to introduce a series of measures”, including streamlining the testing process for HGV drivers, and introducing short-term visas for fuel drivers, food haulage drivers and poultry workers.

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Logistics and supply chain organisations have warned that pressures are likely to increase towards Christmas, with rising consumer demand across the board and festive fixtures – potentially even turkeys – in short supply.

Government intervention may be mistrusted after the Petrol Retailers Association said the suspension of competition law to tackle the fuel crisis had actually worsened deliveries of fuel to many independent filling stations.

Lewis stepped down as boss of Tesco a year ago, having been paid an estimated £30m in salary, bonuses and shares for his six years at the helm of the supermarket.

 

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