First Report - COVID-19 and food supply

We consider that, once the crisis hit, the Department for Environment, Food and Rural Affairs (Defra) worked well with industry to put in place measures to help retailers to deal with significantly increased consumer demand.

However, it appears that the Government had not anticipated how much retail demand would increase and that it would have a disruptive effect on food supply to consumers via retailers. Given that empty shelves were already being reported in other … Read more However, it appears that the Government had not anticipated how much retail demand would increase and that it would have a disruptive effect on food supply to consumers via retailers. Given that empty shelves were already being reported in other countries that were ahead of the UK with regards to COVID-19 cases and responsive measures, this is surprising and disappointing. Show less

It is entirely reasonable and predictable that consumers would want to buy more food in anticipation of a lockdown, the need to self-isolate if they developed COVID-19 symptoms; or school closures and changed working patterns resulting in more meals eaten … Read more It is entirely reasonable and predictable that consumers would want to buy more food in anticipation of a lockdown, the need to self-isolate if they developed COVID-19 symptoms; or school closures and changed working patterns resulting in more meals eaten at home. The Government and retailers, including convenience stores, failed to develop an effective joint communications plan in anticipation of increased consumer demand. At a time when the public was looking to the Government for advice on how to live safely, we consider that the Government could have made more effort to provide reassurances. In the event of further lockdowns or restrictions, the Government should ensure that more emphasis is placed on reassuring the public that there will be enough food and essential supplies for everyone. Show less

We heard concerns about the relaxation of competition law on smaller retailers and their suppliers. Smaller retailers played a vital role in providing food to people during the pandemic, particularly where they were unable to get to supermarkets, and we … Read more We heard concerns about the relaxation of competition law on smaller retailers and their suppliers. Smaller retailers played a vital role in providing food to people during the pandemic, particularly where they were unable to get to supermarkets, and we suggest that in future, the Government must ensure that small retailers are well supplied and supported. While the relaxation has helped retailers manage a period of unprecedented demand, the longer the exclusion orders are in place, the greater the risk of detriment to consumers. The Government should clarify the conditions to be met in order for the exclusion orders relating to the COVID-19 pandemic to expire. The Government and Competition and Markets Authority should review whether the relaxation of competition law has been detrimental to consumers and suppliers to large retailers during the pandemic. Show less

The spike in demand for online grocery shopping and home delivery was an obvious consequence of measures designed to stop the spread of COVID-19. We commend the efforts of supermarkets and convenience stores in ramping up their capacity to offer … Read more The spike in demand for online grocery shopping and home delivery was an obvious consequence of measures designed to stop the spread of COVID-19. We commend the efforts of supermarkets and convenience stores in ramping up their capacity to offer online shopping throughout the pandemic. The Government’s temporary relaxation of rules around drivers’ hours also helped. Show less

There is no reason why the Government should have had any misconceptions about the capacity of online retailers to cater for the increased demand from consumers shopping from home. Online accounted for a small proportion of the market before the … Read more There is no reason why the Government should have had any misconceptions about the capacity of online retailers to cater for the increased demand from consumers shopping from home. Online accounted for a small proportion of the market before the pandemic and retailers were advising Defra on their capacity to increase the service. In encouraging people to shop online without acknowledging the limited capacity of retailers to cater for that demand, the Government set the scene for public COVID-19 and food supply 47 frustration and for blame to be placed at the door of the retailers. We are concerned that there may have been a failure of communication between Government and the public, and across Government. The Government should clarify how it intends to manage the mismatch between demand and capacity for online food shopping in the event of a second wave of COVID-19 infections. There should be better communication across Government and between Government and the public about online capacity. Show less

The significantly increased demand for online shopping, combined with in-store measures to prevent the spread of COVID-19 and limit excessive buying, have had a negative impact on people who are not shielding but struggling to access food, despite being able … Read more The significantly increased demand for online shopping, combined with in-store measures to prevent the spread of COVID-19 and limit excessive buying, have had a negative impact on people who are not shielding but struggling to access food, despite being able to afford it. We accept that some mistakes and compromises were inevitable and that retailers, on the whole, responded well to the unprecedented situation, although they will need to adjust to different needs more quickly in future. However, we urge Defra to consult with retailers and charities to ensure that reasonable adjustments are made for this group of people as the pandemic continues. Ensuring that the necessary steps to contain future pandemics or other crises do not result in disproportionate impacts on people with disabilities or other vulnerabilities should be built into the Government and industry’s emergency planning. (Paragraph 35) Food insecurity Show less

Use of food banks was increasing before the pandemic and has effectively doubled during the pandemic. It is likely that the situation will get worse before it gets better. Food bank use is normally a symptom of, amongst other things, … Read more Use of food banks was increasing before the pandemic and has effectively doubled during the pandemic. It is likely that the situation will get worse before it gets better. Food bank use is normally a symptom of, amongst other things, a lack of sufficient income and social support, rather than a food supply issue and we note the June 2020 report of the Work and Pensions Committee, which addresses these matters and calls for flexibility in Universal Credit advance payments. Show less

During the early stages of the pandemic, however, supply to food banks and food aid organisations was disrupted. At the same time, a significant amount of food is still being wasted in the supply chain. Food waste must always be … Read more During the early stages of the pandemic, however, supply to food banks and food aid organisations was disrupted. At the same time, a significant amount of food is still being wasted in the supply chain. Food waste must always be reduced, but, at a time of such critical need, it is particularly abhorrent. We commend Defra for providing £16 million of funding for the redistribution of food to vulnerable people. However, we recommend that Defra continues to provide the £5 million annual funding for FareShare to redistribute surplus food from the farmgate and across the supply chain to frontline food aid providers, for a further two years. As well as helping those who struggle to afford food as the effects of the pandemic continue, it would also reduce food waste at the farmgate. Over the next two years, Defra should evaluate whether the scheme has been successful and whether it should continue or be expanded as part of its efforts to reduce food waste. The Government should evaluate the impact of the £63 million provided to local authorities to assist those struggling to afford food and consider whether further support is necessary. Show less

With the need to quickly provide children with a substitute for free school meals after schools closed, the Department for Education (DfE) designed a national voucher system. The speed with which it was set up was commendable and some teething … Read more With the need to quickly provide children with a substitute for free school meals after schools closed, the Department for Education (DfE) designed a national voucher system. The speed with which it was set up was commendable and some teething problems were inevitable. However, the system has been beset by significant problems, ultimately leading to about a third of children experiencing greater food 48 COVID-19 and food supply insecurity in the first month. A particular problem was the Government’s immediate reliance on the larger retailers to participate in the scheme, with discounters and convenience stores excluded for technical reasons, even when they were able to offer workable voucher schemes which would have helped more children. There was a need for closer collaboration on the part of both Government and retailers. The Government did not sufficiently consider the realities of where families dependent on free school meals were most likely to shop for food. We note that vouchers can be used during school holidays. Children in poverty are particularly vulnerable to experiencing insufficient nutritious food during the school holidays, so it is important such schemes have universal reach. Penalising some schools that use voucher systems outside the problematic national scheme ignores the fact that the ultimate priority, as recognised by those schools, should be keeping children fed. Although more retailers were added to the scheme, we consider that this took too long. We are disappointed at the apparent lack of willingness to quickly adapt the scheme in response to the issues that emerged. Show less

The Government should now be more flexible and recognise the importance and success of most community-led responses to the provision of free school meal substitutes. Schools should be allowed to provide vouchers for whichever retailers serve their community best, without … Read more The Government should now be more flexible and recognise the importance and success of most community-led responses to the provision of free school meal substitutes. Schools should be allowed to provide vouchers for whichever retailers serve their community best, without financial penalty. In addition, schools should be encouraged to continue catering directly for their pupils without being put in a financially worse situation than those using the national voucher scheme. Show less

The distribution of food parcels to people who were Clinically Extremely Vulnerable (CEV) and without other means of support was a valuable way of ensuring that those people had access to basic foodstuffs. We accept that many of the complaints … Read more The distribution of food parcels to people who were Clinically Extremely Vulnerable (CEV) and without other means of support was a valuable way of ensuring that those people had access to basic foodstuffs. We accept that many of the complaints about the contents of parcels were likely to relate to the early food parcels made from the emergency bulk food offer from Government to local authorities. Once the centralised system was in place, it appeared to operate very well. However, if the Government repeats such an endeavour in future, such as during a second wave of COVID-19, it should make greater efforts to ensure that nutrition and dietary needs are given higher priority from the start. Show less

One of the key questions for our inquiry was what the COVID-19 pandemic had shown about our food system, not just in terms of food supply, but also demand. There are clearly millions of people whose ability to afford sufficient, … Read more One of the key questions for our inquiry was what the COVID-19 pandemic had shown about our food system, not just in terms of food supply, but also demand. There are clearly millions of people whose ability to afford sufficient, nutritious food has been severely disrupted or worsened. Lessons must be learnt from the experience in all four nations on how best to avoid and respond to food insecurity. We are very concerned that this situation will be exacerbated as the economic impacts of the pandemic continue to unfold. We are aware that a combination of ending furlough and a potential second wave of coronavirus may conspire to make the level and severity of food insecurity significantly higher. Therefore, the Government urgently needs a sustainable plan to mitigate the possible growth of food insecurity through a combination of financial and food supply strategies. Following the publication of the National Food Strategy, we recommend that the Government consults on whether a “Right to Food” should be given a legislative footing to ensure the Government has a reference point for action to tackle and measure food insecurity, with the flexibility to meet that commitment using different measures. Following the publication of the National Food Strategy, we recommend that the Government consults on whether a COVID-19 and food supply 49 “Right to Food” should be given a legislative footing to ensure the Government has a reference point for action to tackle and measure food insecurity, with the flexibility to meet that commitment using different measures. This should happen as a matter of great urgency, in anticipation of increasing challenges to the food security of the nation post-COVID-19. Show less

The Government should amend the Agriculture Bill so that food security assessments should take place yearly, rather than every five years.

Responsibility for food falls across several Government departments, but there is a risk that food insecurity falls between the cracks with no clear lead. The establishment of a cross-Government taskforce looking at food insecurity during the pandemic indicated that Defra … Read more Responsibility for food falls across several Government departments, but there is a risk that food insecurity falls between the cracks with no clear lead. The establishment of a cross-Government taskforce looking at food insecurity during the pandemic indicated that Defra recognised the value of coordination across Government. However, the national voucher scheme for free school meals would certainly have benefitted from a faster and more joined-up approach between the DfE and Defra. We consider that Defra has made a good effort to tackle the issue, but it alone cannot tackle the causes of and solutions for food insecurity. The Government should measure and report levels of food insecurity across the country. We recommend that the Government appoints a Minister for Food Security, empowered to collect robust data on food insecurity and draw together policy across departments on food supply, nutrition and welfare in order to deliver sustainable change. (Paragraph 74) Foodservice sector Show less

The closure of foodservice and hospitality businesses was a huge shock for their food and drink suppliers, particularly those providing perishable goods who were unable to find alternative markets quickly. The Government could have done more to anticipate problems that … Read more The closure of foodservice and hospitality businesses was a huge shock for their food and drink suppliers, particularly those providing perishable goods who were unable to find alternative markets quickly. The Government could have done more to anticipate problems that would arise, particularly as it was necessary Government health measures, rather than market forces, that caused severe economic disruption. This was particularly demonstrated by the crisis in the dairy sector, which we are examining in a separate call for evidence. Show less

We cautiously welcome the decision to allow foodservice and hospitality businesses to reopen with reduced social distancing, as this will increase the likelihood that they and their food suppliers will survive the economic impact of the pandemic. The Government must … Read more We cautiously welcome the decision to allow foodservice and hospitality businesses to reopen with reduced social distancing, as this will increase the likelihood that they and their food suppliers will survive the economic impact of the pandemic. The Government must ensure that foodservice and hospitality businesses that were thriving before the pandemic remain economically viable. We welcome that extra support for the sector was announced in the Plan for Jobs 2020. In addition, every effort must also be made to minimise the risk of infection and protect customers and staff. Show less

The hospitality and foodservice sectors may take over a year to recover from forced closure and further financial difficulties are likely. The Government should work with producers, processors and wholesalers to understand their concerns and monitor the health of food … Read more The hospitality and foodservice sectors may take over a year to recover from forced closure and further financial difficulties are likely. The Government should work with producers, processors and wholesalers to understand their concerns and monitor the health of food and drink suppliers, particularly SMEs, over the next 18 months as supply chains restart. In its response to this Report, the Government should include a plan for how it intends to support food and drink suppliers to the hospitality and foodservice sector during this turbulent time. (Paragraph 92) 50 COVID-19 and food supply Key workers in the food sector Show less

We would like to put on record our unreserved thanks to all the key workers in the food supply chain whose efforts and sacrifices have meant that the nation is being fed during the COVID-19 pandemic.

Guidance on measures that businesses should take to protect workers, such as guidance on how to introduce social distancing and the use of personal protective equipment, was not issued quickly enough. We commend the processors, manufacturers, retailers and trade unions … Read more Guidance on measures that businesses should take to protect workers, such as guidance on how to introduce social distancing and the use of personal protective equipment, was not issued quickly enough. We commend the processors, manufacturers, retailers and trade unions that developed and implemented COVID- secure working practices before the Government had issued satisfactory guidance. It is disappointing that guidance on social distancing in the workplace was only published in April. We recognise the pressure the Government, and in particular Public Health England, was under at the time. However, yet again, it appears that the Government was somewhat slow to react and support food businesses in dealing with the impacts of COVID-19 prevention measures. The Government should ensure that improved co-ordination mechanisms are in place between government departments, public bodies and with the devolved administrations to ensure that in any future disruption, guidance can be developed, cleared and issued more rapidly. This may mean better resourcing of critical specialist functions, so they have the capacity to meet unexpected surges in demand. Show less

While there have been some outbreaks in meat and poultry processing plants in England and Wales, these have been in the minority, which is a testament to the efforts of the industry to keep workers safe. Further investigations should be … Read more While there have been some outbreaks in meat and poultry processing plants in England and Wales, these have been in the minority, which is a testament to the efforts of the industry to keep workers safe. Further investigations should be carried out by the Government and industry on the reasons for these outbreaks. We are concerned that factors such as a lack of statutory sick pay may discourage workers from self-isolating if they develop symptoms. The Government should gather data from industry and unions on how many workers could be disincentivised to self-isolate by their employment terms. The Government and industry should also evaluate whether migrant workers face other issues that increase the risk of outbreaks, for example language barriers and living and travel arrangements. (Paragraph 105) Food resilience and security Show less

The COVID-19 pandemic was unanticipated, and yet the Government had been preparing for an influenza pandemic for many years; this too could have resulted in lockdowns, self-isolation and closures of businesses, with knock-on effects on food. We consider that Defra … Read more The COVID-19 pandemic was unanticipated, and yet the Government had been preparing for an influenza pandemic for many years; this too could have resulted in lockdowns, self-isolation and closures of businesses, with knock-on effects on food. We consider that Defra mounted an excellent and commendable response to the food system disruptions caused by COVID-19, but we are surprised that the Government appeared to be so unprepared in the first place. It is particularly surprising because some other countries were ahead of the UK in terms of lockdowns and school and business closures, and therefore provided a clear indication that extraordinary measures were likely to be required. Show less

The measures put in place by Government to control the COVID-19 pandemic undoubtedly had a significant and disruptive effect on food systems in the UK. The food supply chain was, with time, Government support and the efforts of key workers, … Read more The measures put in place by Government to control the COVID-19 pandemic undoubtedly had a significant and disruptive effect on food systems in the UK. The food supply chain was, with time, Government support and the efforts of key workers, able to keep providing food to those who could afford and were physically able to go to shops and supermarkets. In addition, significant efforts were made by COVID-19 and food supply 51 Government to ensure that Clinically Extremely Vulnerable (CEV) people who had to shield at home received food, albeit not always adequate in quantity or nutrition. Therefore, the food supply chain for retail consumers and CEV people was shown to be resilient. However, it remains to be seen how the food system will reorient to a new normal, a key test of resilience, particularly where foodservice and hospitality are concerned. The longer-term effects of the COVID-19 pandemic on our food supply resilience remain to be seen. Show less

It is clear that before the pandemic, many people were already unable to have physical and economic access to sufficient, safe and nutritious food that met their dietary needs and food preferences for an active and healthy life. This was … Read more It is clear that before the pandemic, many people were already unable to have physical and economic access to sufficient, safe and nutritious food that met their dietary needs and food preferences for an active and healthy life. This was evidenced by the already-increasing demand for food banks over the past decade. The pandemic exacerbated these existing food insecurities and we have heard warnings that the situation is likely to worsen. Going to back to the pre-pandemic “normal” will not be good enough. The National Food Strategy must address national and personal food security and the Government must show clearer leadership on tackling the causes of insecurity. The Government must respond to the National Food Strategy within six months of its publication, as it has promised, including clear proposals for tackling food insecurity. This response should also set out what the immediate priorities for a Minister for Food Security should be. Show less

The Government cannot afford to be complacent; even though the supply chain ultimately proved to be resilient, for several weeks shoppers were faced with empty shop shelves and (in effect) rationing of staple goods. This disruption largely came from changing … Read more The Government cannot afford to be complacent; even though the supply chain ultimately proved to be resilient, for several weeks shoppers were faced with empty shop shelves and (in effect) rationing of staple goods. This disruption largely came from changing patterns of demand caused by Government action, which is an unusual situation. Disruptions that reduce the supply of food to the UK, for example because of a disorderly end to the transition period or climate change effects, will pose different, and potentially greater, challenges altogether. There also remains the possibility that further waves of COVID-19, or another future pandemic, may still lead to the disruption of cross-border supply chains. We welcome the Secretary of State’s confidence about the end of the transition period, but seek reassurances that food supply disruptions have been factored into contingency planning across Government. Defra must review the annual Sector Security and Resilience Plans for the food sector in light of lessons learned from the COVID-19 pandemic, including the extent to which consumer behaviour can disrupt supply chains. It should also be clearer about the difference between resilience and efficiency, and assess the extent to which our dependence on multi-national just-in-time supply chains affects resilience. Given the industry’s concerns about the potential impact of a disorderly end to the Brexit transition period, and other potential risk factors, this should happen as a matter of urgency. Show less

If the UK leaves the transition period provided for by the UK’s withdrawal agreement with the EU at the end of 2020 without a clear trading arrangement with the EU, the relaxation of competition law may again be called for. … Read more If the UK leaves the transition period provided for by the UK’s withdrawal agreement with the EU at the end of 2020 without a clear trading arrangement with the EU, the relaxation of competition law may again be called for. The Government should explain whether another relaxation of competition law may be required in the event of a disruptive exit from the transition period, based on lessons learned from the COVID-19 pandemic. (Paragraph 118) 52 COVID-19 and food supply Show less