Customs delays of just 30 minutes could bankrupt 1 in 10 firms

According to a survey of supply chain managers, customs delays of only 10-30 minutes could bankrupt one in ten firms.

The Chartered Institute of Procurement and Supply (CIPS) issued the report as a warning against the economical risks of a no-deal Brexit. Over 1,300 industry personnel from UK and EU-based companies were surveyed.

“It’s such a potential car crash,” said John Glen, an economist at CIPS. “Common sense has got to prevail. We need to have a two-year transition period and to get something sorted out during that. The idea of day-one no-deal is just crazy.”

The survey also revealed that nearly a quarter of British businesses plan to stockpile goods as a contingency against shortages due to border delays. 4% of companies have already begun, giving a temporary boost to UK warehouse operators.

Meanwhile, researchers at Imperial College London have estimated that existing queues at ports could be tripled by just two extra minutes of customs checks.

Source: The Guardian