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In order to secure the labour it requires to maintain production levels under the new...

Recommendation
In order to secure the labour it requires to maintain production levels under the new immigration policy, the food supply chain will have to attract more resident staff. Although it must be recognised there are significant structural barriers preventing many domestic workers from substantial engagement in seasonal harvest work and this is not a new feature of the UK labour market. Additionally, as we explore in the following chapters, it should be recognised that it is not just a question of better pay, but also of improved conditions that will attract more UK workers to businesses in the food supply chain. While there are benefits to improving the attractiveness of the food supply chain as a place to work in terms of securing a more stable and predictable workforce, there is a risk that this may come at the cost of higher consumer food prices or a loss of market share to imports potentially produced to lower standards. This would impact on the UK’s food security and on the ability of some families to afford enough healthy nutritious food. As we made clear in our report on covid-19 and food supply there are already concerns about both. The Government should pay particular attention to food prices in the period after the introduction of the new immigration policy—if prices rise, due to a shortage of labour, it should stand ready to make appropriate policy adjustments. (Paragraph 15) Skilled workers
Government Response
Accepted
HM Government Accepted
1.1. The Government agrees with the committee that there is a need to carefully monitor the impact of changes on food supply chain workforces. The aim to mobilise and strengthen the domestic recruitment pipeline across the sectors brings with it many benefits, including greater stability for employers, increased career opportunities for UK residents (particularly given rising unemployment), and better long-term security for domestic food supply in general. However, the Government must work with industry to ensure that any risks related to the impact of these changes are appropriately mitigated in a timely way. 2 First Special Report of Session 2021–22 1.2. The Government continually monitors the latest domestic production, agri-food, and general retailer food price data, and regularly engages with growers, retailers and other food sector organisations to understand how food prices are changing. The influencing factors of food prices are complex and wide-ranging, therefore establishing a credible link between the price of food and labour supply is not always possible. However, Defra is committed to working throughout 2021 to scrutinise all relevant data related to the impact of labour supply to agri-food chain sectors, as well as continually monitoring and evaluating the impact of its policies.