Although Brexit negotiations has dampened spending and investment to some extent during 2016–2017, recent developments hint that the uncertainty associated with the United Kingdom’s economic relations with the rest of Europe is likely to be prolonged till 2022 due to the Brexit transition. The United Kingdom is the second-largest exporter of services globally, after the United States. The United States, Germany, France, the Netherlands, and Ireland are the top 5 destinations for UK exports. Brexit would allow the United Kingdom to negotiate its own trade deals with non-EU countries. Although private investor confidence and consumption will be sustained by policy incentives, the weakening labor market from inflation and declining real-wage growth will hamper household spending.
The resilient growth of the manufacturing sector and strong growth of the automotive sector in particular, will support growth in the logistics sector. Food is the most commonly moved commodity in the United Kingdom after metals, minerals, and chemicals. A growth in UK eateries is leading to growth in freight movement for refrigerated goods. Road Investment Strategy is expected to lead to considerable upgrades of road infrastructure between 2015 and 2025, leading to a reduction in congestion, thus facilitating road freight. A major development of container ports is further expected to boost sea freight activities. With the increasing carbon footprint being a major concern for fleet owners and the government, alternate fuels are being explored and low emission zones are being setup. Measures such as driver training, optimal routing and improved vehicle fills are being adopted by fleet operators to minimize fuel costs and operational expenses. Telematics, platooning, V2V/X, vehicle automation, new technologies for tracking, shared warehouses, and logistics partners are trends that will shape the future of logistics in the United Kingdom.
Scope: The aim of this insight is to research and analyze the key developments and trends related to economy and trade in the freight, transportation, logistics, and warehousing sectors in the United Kingdom.
• To provide an overview of the key factors driving economy and trade
• To analyze the role of the transport and logistics sector in driving the country’s economy
• To identify the initiatives undertaken by the government to improve efficiency and reduce logistics costs
• To furnish a detailed analysis on the advances in digital technologies
• To provide an in-depth analysis of how the traditional value chain is transformed as a result of technology advancement, e-Commerce growth, regulatory changes, and investment
• To identify the emerging opportunities as a result of economic and technology transformations and how they are expected to change the competitive environment