Three-quarters of UK warehouses are full, according to a survey of warehouse owners. This is reportedly because many companies have been stockpiling goods in case there are port hold ups due to a no-deal exit from the European Union.
A survey by the UK Warehousing Association (UKWA) found that 85% of respondents had received Brexit-related enquiries, and 75% said that they did not have the capacity for new customers.
Peter Ward, chief executive of the UKWA, said:
“We are facing a perfect storm in the storage and logistics industry.”
There has been a demand for a wide range of items to be stored, including food and consumer goods imported via the Channel ports.
The cost of warehouse space has risen in response to increased demand.
Major companies that have confirmed they are stockpiling goods are the carmaker Bentley, pharmaceutical company GlaxoSmithKline and Premier Foods.
Pharmaceuticals, alcohol and tobacco can be stockpiled for long periods, but it is more difficult to store food which has a short shelf life. Tesco has rented freezer container space outside of its stores that they normally only use during the peak Christmas period.
Warehouse and storage facility owners can store more goods by talking to a quality storage rack supplier who can design a pallet racking system that maximises available space, particularly vertical space.
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