Economic News

Key Economic Indicators                           

Foreign Exchange	level	MTD% change	YTD% change
$ per £	1.26	-3.4%	-1.0%
€ per £	1.13	-2.6%	1.9%
Yen per $	109.65	-1.5%	0.1%
$ per €	1.11	-0.8%	-2.9%
Chf per €	1.12	-1.7%	-0.2%
Commodities	level	MTD% change	YTD% change
Total (GSCI index)	2,474.04	-5.0%	12.3%
Oil ($ per barrel, Brent)	66.87	-7.4%	21.8%
Gold ($⁄100 ounce)	1,292.40	0.6%	0.6%

 

Brexit and the Economy: UK up for an autumn showdown (Barclays)

Prime minister Theresa May announced that she will step down as leader of the Conservative party on 7th jun’19, following the state visit by US President Donald Trump. The leadership contest will commence the following week starting 10th jun’19 and PM May will remain as caretaker until the process is concluded.

For the scenario of an orderly Brexit where the UK moves into transition phase around the 31st oct’19 deadline, the new PM will likely re-initiate talks with the European Union (EU) with the aim of securing some changes to the political declaration (PD). Announcements could then be made at the annual tory party conference to be held on 29th sep’19 to 3rd oct’19, ahead of the EU summit (17-18 oct’19) and the run-up to the extended article 50 deadline (31st oct’19). Even though the next PM will be subject to the same constraints as PM May in terms of parliamentary arithmetic and EU negotiation leeway but by obtaining some changes to the PD and benefiting from fresh political capital, a new conservative PM could secure a majority for such a revised deal.

Going forward, the persistently volatile political backdrop will likely fuel further economic uncertainty as changes in PPM, cabinet members and potentially a new chancellor may loop in a shift in economic policy. It is expected to have a flat gross domestic product (GDP) q-o-q and below-trend growth for 2019. The first look into q2’19 data support the view of weaker q2’19 activity. Following a strong q1’19, with three consecutive months of strong sales, apr’19 retail sales volumes were flat m-o-m. The breakdown showed a mixed picture with online sales offsetting weakness across other sectors. The office for national statistics (ONS) highlight the impact of warmer weather boosting sales in clothing, while online sales across other sectors contracted. The growth from knowledge (GfK) household sentiment survey signalled rising concerns over the outlook for the labour market which may weigh on spending patterns in the coming months.

Other News

CMO asked to make recommendations for halving childhood obesity

The Health Secretary, Matt Hancock, has announced that he has asked the Chief Medical Officer (CMO) for England, Professor Dame Sally Davies, to produce an independent report by September on new measures to halve childhood obesity by 2030.  The CMO’s report will review approaches taken internationally, regionally and across the country and make recommendations for the Government.  The announcement followed a meeting of experts today (30 May) chaired by the CMO.  Matt Hancock said that the UK has “already gone further than any other country to reduce childhood obesity,” citing  reformulation programmes and Government consultations which aim to make the food environment healthier for our children; but he emphasised that he is not complacent about the scale of the challenge. Dame Sally described the scale of the challenge as “formidable” but said “there are policies we know are effective, many of which this country is already putting into action. Now we must be bold and brave enough to keep going,”

EC assessing legislation on ceramic food contact materials

The European Commission is evaluating legislation on ceramic food contact materials in the light of new scientific evidence which indicates that the limits for lead and cadmium should be revised in order to provide adequate health protection.  The EC may also set limits for other metals.  It also aims to align EU law on glass and enamelled metals.  The deadline for submitting evidence for this evaluation is 26 June 2019.

Harmonised methodology to measure food waste across the EU

The European Commission (EC) has adopted a Delegated Act laying down a common food waste measurement methodology to support Member States in quantifying food waste at each stage of the food supply chain. Member States are expected to put in place a monitoring framework with 2020 as the first reporting year in order to provide the first new data on food waste levels to the Commission by mid-2022. The Delegated Act is subject to scrutiny by co-legislators and will be sent to the Parliament and the Council by the end of July.

Food and Drink Health and Safety Awards 2019 – closing date 5 July 2019

Be part of the story and showcase your health and safety solution

As the closing date of Friday 05 July 2019 approaches for the Food and Drink Health and Safety Awards, we’re encouraging everyone working in the food and drink manufacturing industry to submit their entries.

The annual Food and Drink Health and Safety Awards encourages everyone to share their innovative solutions with peers across the industry.

Whatever your health and safety role or specialism this is your opportunity to showcase what you have done to make your workplace safer and healthier.

The project or solution does not have to be on a large scale – sometimes the most ingenious solutions come from small or niche problems.

Winning entries will receive complimentary entry to The Food and Drink Manufacturing Health and Safety Conference and will have the opportunity to present to colleagues and delegates at the event.  They will also receive a trophy and cash prize presented at the awards dinner, with up two nights’ accommodation and up to £500 towards travel expenses.

Share your creative solution and inspire others to take new approaches to improve safety and health at work.

Entry is free and simple. Visit the website to download the entry form.

Closing date for entry is Friday 05 July 2019.

For any questions, please contact Julie.littlejohns@iosh.com or call +44 (0) 116 257 3248

The Food and Drink Federation (FDF) has today published ‘Gluten Labelling Guidance: Best Practice for Prepacked Foods which Include or Exclude Cereals Containing Gluten’ (https://www.fdf.org.uk/Gluten-Labelling.aspx?tr=43Nvgm8 ). This updated UK best practice guidance provides advice to food business operators on how to label food products that include cereals containing gluten, and which claims can be made relating to the absence or reduced presence of gluten (e.g. gluten-free). The Gluten Free Industry Association (GFIA) now joins Coeliac UK, Anaphylaxis Campaign and the British Retail Consortium (BRC) as supporting partners of this guidance.

The document has been developed to illustrate examples of different labelling situations, with special consideration given to oats and wheat species. It provides information about the distinction between coeliac disease and cereal allergy, advice on precautionary allergen labelling, and a flow diagram for making gluten absence claims. It also includes an overview of the relevant EU and UK legislation and guidance.