A shaky start to 2025, what’s next?
2025 saw a weak start to the economy and the geo-political landscape remains difficult. As the government moves further into delivery mode, and pledges to develop a food strategy, businesses will be hoping this brings greater clarity, enabling them to plan and invest
Download our FREE latest Viewpoint report: A shaky start to 2025, what’s next?
Tariff threat
The new US president, Donald Trump, has ordered a review of US trade deals and has threatened the following tariffs:
• 25% border taxes on imports from Canada and Mexico from 1 February
• 10% tariff on imports of Chinese-made goods from 1 February
The US President also threatened to impose tariffs on the European Union. No further details have been provided on whether tariffs will be imposed on the UK.
Read our latest Viewpoint report to understand the possible implications of a second Trump presidency on the UK food system.
EPR update
The government has announced that PackUK will be the new administrators for the Extended Producer Responsibility scheme.
PackUK will set EPR fees, raise these fees from obligated producers and make packaging waste disposal payments to local authorities in return for the delivery of efficient and effective collection and recycling services.
All businesses obligated to report data under the packaging EPR data reporting regulations should report July to December data by 1 April.
PackUK will be at the Packaging Innovations Birmingham on 12 to 13 February 2025.
See our spotlight on EPR and the implications for the food system.
Pay growth
ONS has released new data on the state of the UK labour market, with information up to November 2024.
Average weekly pay in November was up 5.6% (including bonuses). “All-items” inflation in November was 2.6% year-on-year by the CPI method, so pay was up around 3.0% in “real terms”, helping to support the spending power of workers. Pay growth was faster in the private sector than in the public sector.
Unemployment increased to 4.4% in September to November 2024. This is higher than last quarter and above estimates from a year ago.