• Sectors we work in banner(2)

    Quick Reads

Ongoing supply chain crisis looms large over upcoming allergen law change

Fresh warnings are abound over the impact of the supply chain crisis in the UK, which has so far seen Nando's hit with a chicken shortage and Wetherspoons run low on beer. Now, Coral Rose of Country Range Food Group warns that stringent allergen labelling requirements will be more difficult to meet as a result.

It is thought that the crisis is caused by a shortage of HGV drivers as a result of Brexit and Covid-19 restricting the flow of European workers, a back-log of driver tests and disadvantageous tax and working conditions in the UK. A survey of the Road Haulage Association estimates that we are currently facing a shortfall of around 100,000 drivers.

A shortage of deliveries has led to wholesalers sourcing alternatives for unavailable products, which are in turn supplied to and stocked by businesses already gearing up to provide full ingredient labelling and allergen information on pre-packaged food as required by Natasha's Law, when it comes into effect next month. This places pressure on wholesalers to provide alternative products with the same allergen information, though coordinating and communicating such requirements has been strained by staff shortages.

As the development period for many pre-packaged food products is often many months, a late change in the allergen information will create burdens for businesses who then need to change their labelling appropriately to ensure it is accurate and compliant. Whilst there may be a possibility that a product is instead “made to order” (to which Natasha’s Law should not apply), it is ordinarily safest to err on the side of caution and update the label appropriately to reflect any changes.

Where alternative products are provided, the contract between the wholesaler and business should be considered carefully to determine whether it is the responsibility of the wholesaler to provide accurate allergen information to the business or deliver specified goods. It may then be possible for the business to reject alternative products or accept them and recover their losses or increased costs from the wholesaler for re-labelling or modifying packaging as required. Where the wholesaler provides incorrect allergen information and this leads to liability on the business under Natasha’s Law or otherwise, it may also be possible for the business to bring a claim against the wholesaler.

In any case, it's crunch time for businesses throughout the supply chain to ensure that they meet their obligations and food safety regulations whilst meeting the demands of consumers in these challenging conditions. Only time will tell whether products are on the shelves in time for the highly-competitive and crucial Christmas season.

Sometimes we don't know until a truck arrives at the back door what's going to be on the vehicle... that gives us very limited time to source an alternative product in time for customers.

Our thinking

  • The Leeds Reforms: UK pivots to growth-focused financial regulation - what firms need to know

    Charlotte Hill

    Insights

  • Through the Looking-Glass: Is the Government's Vision for Farming Coming into Focus?

    Maddie Dunn

    Insights

  • Real Deals quotes Alexis Karim on larger private equity firms moving into the midmarket

    Alexis Karim

    In the Press

  • James Elliott-Hughes writes for Wealth Briefing on Post-Separation Accrual

    James Elliott-Hughes

    In the Press

  • Investing in Hotels: A Guide for Family Offices

    James Broadhurst

    Insights

  • The Murdochs and the Buffetts – succession planning for billionaires

    Tamasin Perkins

    Insights

  • LCIA's 2024 Casework Report – Still Going Strong

    Dalal Alhouti

    Quick Reads

  • Real Deals quotes Andrew Collins on the state of the take-private market in 2025

    Andrew Collins

    In the Press

  • Serious failings by Trustee amount to a breach of trust: Charles Russell Speechlys advises the Hon. Mrs Dawson-Damer in appeal of long-running trust dispute

    Ziva Robertson

    News

  • Oliver Park writes for Estates Gazette on a recent rebuke to the FTT over its management of a remediation order case

    Oliver Park

    In the Press

  • Maddie Dunn writes for Farmers Guardian on last month’s Spending Review and the Government’s attitude to farming

    Maddie Dunn

    In the Press

  • ICC Arbitration Statistics 2024 – UAE Breaks into Top 5 Seats

    Dalal Alhouti

    Quick Reads

  • Why Getty Images v Stability AI Judgment Will Not Answer Our Key Questions

    Nick White

    Insights

  • How does extradition work?

    Ghassan El Daye

    Insights

  • Extradition in the United Arab Emirates (UAE)

    Ghassan El Daye

    Insights

  • Food Security is National Security: can regenerative agriculture help fortify the UK?

    Maddie Dunn

    Insights

  • UK tax considerations for US persons relocating to the UK

    Matthew Radcliffe

    Insights

  • Keeping compliant: Navigating SFO regulations globally

    Christopher Gothard

    Insights

  • Relocation: Important factors to consider before moving

    Insights

  • Last call for chefs and catering and bar managers

    Owen Chan

    Quick Reads

Back to top