£2bn in sales have already been lost by supermarkets over driver, labour and commodities shortages

Supply Chain

Tesco, Sainsbury’s, Asda and Morrisons have already lost a whopping £2 billion in sales so far this year as the scramble to keep shelves stocked continues.

According to new data from Neilsen, the UK’s Big 4 lost billion in sales during the first nine months of the year, and ongoing fuel, driver and labour shortages are likely to see this figure skyrocket in the runup to Christmas.

Supply chain disruption throughout the industry now means that the supermarket’s out-of-stock levels are twice as high as they were during the pandemic, The Grocer reported.

To compensate for the shortage of labour and commodities, supermarkets are now reportedly prioritising certain categories and items, while deprioritising bulky items like bottle water.

According Separate data from the Office for National Statistics the current supply chain crisis has left over one in six Brits unable to buy essential food items at some point during the past two weeks, while a quarter of respondents said they were unable to buy other non-essential food items.

READ MORE: Online delivery times could double to 10 days over Christmas as warehouses scramble to find workers

Numerous leading retailers, including Tesco, Iceland and even online giant Amazon, have warned of severe disruptions in the runup to Christmas if the crisis continues.

While the government is allowing 5000 European HGV drivers to work in the UK on emergency Visas until the end of the year, supply chains are still being severely disrupted by a shortfall of warehouse and distribution centre workers, forcing some warehouses to boost pay by up to 30 per cent.

These factors are being exacerbated by commodity shortages, with severely limited CO2 supplies seeing the availability of soft drop from average rates of 98.5 per cent to below 90 per cent.

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Supply Chain


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