UK Chancellor Rishi Sunak has reportedly warned that the food supply at care homes, schools, hospitals and prisons is at risk unless the government steps in to support struggling wholesalers. A letter cited in multiple media reports quoted Sunak as saying, “Without the income from the commercial sector, the supply of food to institutions such as care homes, prisons, schools and hospitals is at immediate risk.”
Trade bodies representing major food companies said the loss of business from the hospitality sector meant that firms which also serve the public sector could fail. They highlighted items made especially for care homes and hospitals, including easy-to-swallow foodstuffs for people with difficulty eating. The Federation of Wholesale Distributors and the Food and Drink Federation said, “Wholesalers send specialist food to care homes and this cannot be replaced by deliveries from supermarkets. The same supply chain is also essential to the ongoing supply of food to primary and secondary schools for the provision of school meals.”
The Federation urged Sunak to hand out discretionary grants and extend the furlough scheme to wholesalers in areas under tier 2 and 3 restrictions, to avoid supply warehouses closing. They said, “The above measures are essential to ensure continuity of critical public sector food and drink supply and the government must introduce them immediately.”
The Treasury said, “We've put in place a comprehensive plan to protect, support, and create jobs, with more than £200 bn of support since March, with particular support for the hospitality sector and it's wider supply chain.” It added, “And our winter economy plan will ensure this continues in the difficult weeks and months to come, providing a toolkit of support for all situations.”