LBC Exclusive: Tesco Chairman says stores 'coping well' after Brexit

14 January 2022, 10:41 | Updated: 14 January 2022, 10:56

Watch in full: Nick Ferrari’s conversation with Tesco Chairman John Allan

The Tesco Chairman has revealed the chain is suffering "no major problems" due to Brexit.

John Allan CBE exclusively spoke to LBC's Nick Ferrari this morning to talk about how the supply chain system is coping with the impact of Brexit.

Last year, widespread shortages were predicted due to the UK's exit from the European Union and driver shortages.

In September 2021, Tesco was one of the firms which offered a £1,000 joining bonus to encourage new recruits to the industry.

He also discussed the supermarket's decision not to follow the lead of Ocado, Next and Ikea in cutting sick pay for un-jabbed employees who need to isolate.

Mr Allan noted there are no plans to change policy offering full sick pay to unvaccinated workers.

Nick asked Mr Allan: "Are we over the impact of Brexit? It is still causing bumps in the supply chain?"

He said: "I think they're managing.

"As from January 1, of course, we've had the full import regime.

"We've been working incredibly hard with our suppliers to get them ready for that and it was good that there was a period in which people had time to get it ready.

"I think we're coping. At the moment there are no major problems.

"Doesn't mean there won't be, but as we talk today, the system seems to be coping."

He explained there has been a shift to move products by trains and additional ports to reduce the strain on Calais and Dover.

He added: "I think the system is coping and certainly Tesco is coping well."

Businesswoman says Brexiteers in supply chain have 'gone very quiet'

Read more: Ikea cuts sick pay of workers who are unvaccinated against coronavirus

Mr Allan said that the company has no plans to implement a similar policy and they offer full sick pay to anyone needing to isolate at present, but noted that "nothing is forever".

He said: "We try to focus on what's right for our colleagues.

"We have huge regard.

"If anyone compliments Tesco on its performance over Christmas and so on, the real people to thank are the 300,000 people who worked in our stores and in our supply chain, keeping the shelves full, keeping the stores going.

"And we're trying to do the absolute utmost for them. We have no plans to change that." 

Read more: Self-isolation for fully-vaccinated people with Covid slashed from seven days to five