Unpacking Regulatory Challenges in UK Food Industry

For food and drink manufacturers, navigating a labyrinth of regulations has become an everyday concern. The introduction of intricate new rules concerning safety, health, and trade is a recurring challenge. These regulations, while essential for maintaining quality standards and ensuring fair competition, often bring about unintended consequences and widespread confusion. The aftermath of Brexit has further complicated matters, leaving food and drink businesses with more areas of uncertainty to navigate.

In an open dialogue during the Business Leaders' Forum held this month (5th October 2023), industry directors and senior management professionals convened to share their apprehensions and collaborate on seeking solutions.

Clarity is the Key

A recurrent theme among numerous business leaders in attendance was their demand for regulatory clarity. Whether representing large or small enterprises, there was a shared sentiment that the UK Government falls short in providing the requisite support and guidance on integrating these overlapping rules. The matter of imports and exports was a particularly pressing concern, with several participants admitting that the expenses associated with trading with the EU had become a major hindrance. The substantial time spent on regulatory compliance has disrupted the day-to-day operations of many businesses and placed an undue burden on their workforce.

Gideon Ashworth, Technical Director at Bart Ingredients and Technical Chair at the Seasoning and Spice Association (SSA), delved into the issues arising from "regulatory divergence" between the UK and EU in a post-debate discussion with Food Manufacture.

He explained, "We can manage the current levels of divergence from a regulatory perspective as individual businesses and as an industry, but it doesn't help our commercial viability, it doesn't facilitate global imports, and it complicates matters for our suppliers who need to navigate the distinctions between UK and EU regulations. This could potentially turn Britain into a destination for non-EU compliant products, which may then be exported to Europe in good faith but face border issues or recalls."

Regulations That Align

New regulations regarding the promotion of products with high fat, salt, and sugar (HFSS) content were implemented in October 2022, prompting manufacturers throughout the industry to adapt. A year later, attendees at the Business Leaders Forum questioned the integration of these regulations into a broader strategy and argued that the responsibility for promoting healthy eating had been disproportionately placed on food and drink producers.

Some participants called for a more comprehensive approach from the government, taking into account the multifaceted factors influencing dietary choices. They believed these rules should be reinforced with improved food education and research into healthier, sustainable ingredients. While these rules have limited the scope of products manufacturers can promote, they have also created opportunities as more consumers seek lower-calorie, healthier alternatives.

Another area where attendees found the existing rules lacking was in the realm of auditing and reporting. The analogue nature of most environmental and financial audits allows them to be manipulated and does not accurately represent the compliance of businesses. Preparing for inspections is a time-consuming and draining process for manufacturers. Attendees proposed a shift towards digital audits, enabling real-time, efficient, and accurate data collection.

The Call for Collaboration

Despite ongoing concerns regarding the regulatory landscape for food and drink manufacturers in the UK, attendees recognized that open communication and industry-wide collaboration could be a positive force. When confusion and uncertainty prevail, the ability to rely on a network of experienced and capable individuals within the sector becomes invaluable. However, this collaborative approach requires businesses to be willing to support their competitors in the interest of the industry's future prosperity.

Ashworth encapsulated this sentiment while speaking with Food Manufacture: "We are competitors in the commercial arena, but we must collaborate on these various challenges. The industry excels at collaboration, but we need the right platform."

In the view of Ashworth and several other attendees, collaboration is imperative if members of the UK food and beverage manufacturing sector are to be recognized as expert players on a global scale. In the absence of support from other EU member states, businesses must work together to represent the industry's collective aspirations.

Ashworth added, "Whether you were in favour of Brexit or not, it has occurred, and we still need to maintain our commercial capabilities and foster business growth. We need to bring together a multitude of perspectives, enabling us to explore different directions for the industry and foster greater alignment within the sector."

Alara Wholefoods Managing Director, Alex Smith, shared his vision for collaboration across the entire food sector through his Knowledge Garden project. Envisaged as a sustainable development initiative in Camden, Smith believes it could serve as a hub for sharing ideas and technology among companies in the sector.