HTA report on horticultural industry four years on from Brexit

Four years after Brexit brought sweeping changes to trade regulations, the UK’s environmental horticulture sector continues to face spiralling costs, prolonged delays, and excessive bureaucracy, putting businesses under immense pressure. The Horticultural Trades Association (HTA) warns that these ongoing challenges threaten economic stability and consumer choice.

The sector, a cornerstone of the UK’s green agenda and economy, contributes significantly with domestic production valued at £1.7 billion in 2023. Imports of plants and related materials, predominantly from the EU, totalled £780 million, underscoring the industry’s reliance on international trade. However, Brexit-induced trade disruptions have exposed vulnerabilities, creating operational hurdles and exacerbating supply chain issues.

Challenges to Growth

Despite the sector’s importance, efforts to boost domestic production face significant barriers. Labour shortages remain a critical issue, with growers in 2023 reporting a 4% vacancy rate and sourcing just 87% of the seasonal labour needed. Rising wages, increased employer costs, and adverse weather further compound the problem. Additionally, a lack of confidence in investment and limited access to land deter growers from expanding operations.

Current policies have intensified these difficulties. The Common User Charge (CUC), which disproportionately impacts small and medium-sized enterprises (SMEs)—comprising 95% of the sector—alongside inadequate infrastructure at Border Control Posts (BCPs), has resulted in delays and stock waste. Furthermore, the absence of a mutual plant health agreement with the EU places UK businesses at a disadvantage compared to their EU counterparts.

Industry Voices: Calls for Stability and Action

Key industry figures have voiced their concerns. Stuart Tickner of Provender Nurseries highlighted the challenges of adapting to the post-Brexit Border Target Operating Model (BTOM) and the escalating costs associated with plant imports. “All the frictions around BCPs have meant some hauliers, drivers, and even growers have decided they don’t want to export to the UK anymore,” he said. He called for government action, particularly through a new plant health agreement, to restore stability.

Paolo Arrigo, founder of Seeds of Italy, expressed frustration at the inconsistencies and inefficiencies in the current system, which he described as a “lottery” for importers. “The UK has a passion for plants… We urgently need to rejoin the customs union and the Single Market to give the UK a boost and restore our standing in the world,” he added.

Jennifer Pheasey, Director of Public Affairs at the HTA, criticised the lack of progress in addressing Brexit-related challenges. “Four years after leaving the EU, the anticipated benefits have yet to materialise while we continue to face challenges that threaten the stability of our businesses and trade,” she said. Pheasey called for immediate action to reset UK-EU relations, streamline border processes, and secure a plant health agreement.

HTA’s Call to Action

The HTA is urging policymakers to simplify border processes, invest in BCP infrastructure, and establish a plant health agreement with the EU to ease compliance burdens and reduce costs. Without coordinated action, the sector risks declining competitiveness, reduced consumer choice and hindered progress towards the UK’s green growth goals.

The HTA remains committed to working with government leaders to deliver on the unrealised promises of Brexit and ensure a sustainable future for the environmental horticulture sector.