UK exporters have reported lower sales in the first quarter, blaming the double impact of Brexit and the coronavirus pandemic, according to the British Chambers of Commerce (BCC).
A survey by the BCC found that two out of five firms which export goods have seen sales fall, with caterers, retailers and wholesalers particularly hit.
Advance bookings and export orders showed no signs of improvement, indicating that recovery is “distant”, the BCC said after surveying more than 2,900 exporters for the first quarter of the year.
The number of firms reporting fewer export sales increased to 41% from 38% in the previous quarter, while those saying exports have increased fell 2% to 20%.
“Given that export sales are at some of the lowest levels ever recorded in the history of our data, the fact that situation is continuing to deteriorate is concerning,” said BCC co-executive director Hannah Essex.
“These new figures show that UK exporters are currently facing a range of issues that go beyond just those that have been created by the pandemic.
“The message is loud and clear that the difficulties exporters are facing are not just ‘teething problems’, they are structural issues that, if they continue to go unaddressed, could lead to long-term, potentially irreversible weakness in the UK export sector.”
Essex called said the UK and EU should “get back around the table and produce solutions that reduce trade barriers and give exporters a fighting chance”.
Companies reported issues with shipping delays, increased cost of transporting goods and extensive paperwork requirements.
