Why 30 Logistics Leaders Have Written to the UK Government
Thirty major organisations with operations in the UK are calling on the country's government to place the logistics industry at the heart of its forthcoming Industrial Strategy.
Logistics leaders from a group of 30 leading businesses, including Amazon, Heathrow Airport and Tesco, have signed a letter urging the government to recognise logistics as a foundational sector.
Led by business group Logistics UK, the signatories stress that supply chain efficiency is critical to economic growth and must be integrated into future policymaking.
The letter, addressed to Business and Trade Secretary Jonathan Reynolds, calls for the logistics sector to be represented on the new Industrial Strategy Council, arguing that its role in ensuring the smooth movement of goods is essential to the success of all industries. Without this recognition, business leaders warn that the government's strategy will lack a fundamental pillar necessary for economic development.
David Wells, CEO at Logistics UK, highlights the importance of logistics across all sectors: "Nothing in the economy moves without logistics: it provides our hospitals, schools, factories and shops with everything they need, everywhere, every day."
Logistics 'intertwined' with economic growth
David warns that, without a strong logistics presence in economic policymaking, the government's growth strategy could falter before it even begins.
The Industrial Strategy Green Paper introduces the concept of 'foundational sectors'—industries that provide the essential infrastructure and services needed to drive growth elsewhere. Logistics UK argues that the logistics industry must be recognised as one of these sectors to ensure efficient goods transportation and economic expansion.
"Effective logistics is the foundation of any successful economic activity, whatever the industry," David continues. “To create an industrial strategy that does not improve the efficiency of the movement of goods would be a huge, missed opportunity and [would] throttle growth in other sectors.
Logistics UK contends that the UK's global logistics ranking highlights the urgent need for investment and policy support. The World Bank’s Logistics Performance Index has seen the UK drop from fourth to 19th place over the past decade.
According to David, this decline is largely due to congestion, border friction and underinvestment in transport infrastructure. He argues that these challenges "put the brakes on growth across the whole economy" and must be addressed to unlock new opportunities.
Driving productivity
Numerous business leaders believe that, by improving transport infrastructure and reducing supply chain inefficiencies, the UK can reverse its declining logistics performance and boost economic growth.
Research by Oxford Economics supports this view, estimating that optimising logistics policy and infrastructure could generate up to £8bn (US$10.1bn) per year in productivity-led growth.
David stresses that including Logistics UK in the Industrial Strategy Council would enable stronger collaboration between the government and businesses.
He concludes: “Recognising the important role that logistics must play as a foundational sector in the forthcoming Industrial Strategy, with a voice on the Industrial Council, will enable our sector to achieve the maximum impact possible for the country – and ensure we are all focused on driving the growth we know is possible for the UK, its businesses and its long-term prosperity in the coming months and years.”
Signatories of the letter
- ADM Milling (UK) Ltd – Ashley Fuller, Managing Director
- Amazon Logistics – Kerry-Anne Lawlor, Vice President
- Ceva Logistics – Huw Jenkins, Managing Director Contract Logistics UKIN
- DHL Supply Chain UK&I – Saul Resnick, CEO
- DP World – Mark Rosenberg, Executive Vice President - Northern Europe
- Evri Ltd – Martijn de Lange, CEO
- Freightliner Group Ltd – Tim Shoveller, CEO
- Grid Smarter Cities – Neil Herron, CEO
- GXO – Gavin Williams, Managing Director UK and Ireland
- Heathrow Airport – Thomas Woldbye, Chief Executive
- Howard Tenens Limited – Jamie Hartles, Chief Executive Officer
- Indurent – Julian Carey, Chief Executive Officer
- Kuehne + Nagel UK Ltd – Pamela Quinn, Managing Director
- Logistics UK – David Wells, Chief Executive
- Maersk Logistics and Services UK Ltd – Gary Jeffreys, Managing Director
- Maritime Transport Ltd – Tom Williams, Deputy Chief Executive Officer
- Nestlé UK – Richard Hastings, Head of Logistics
- Owens Group – Huw Owen, Group Managing Director
- Palletways (UK) Limited – Robert Gittins, Managing Director
- Port of Dover – Doug Bannister, Chief Executive
- R Swains & Sons Limited – Stuart Rigby, Finance Director
- Royal Mail – Emma Gilthorpe, Chief Executive
- Rudolph and Hellmann Automotive Ltd – James Hamilton, Chief Executive Officer
- Scania (Great Britain) Limited – Chris Newitt, Managing Director
- Segro – James Craddock, Managing Director UK
- Tesco Stores Ltd – Matthew Barnes, UK CEO
- The Malcolm Group – Andrew Malcolm, CEO
- TIP-Group – Mike Furnival, Managing Director for the UK & Ireland
- Uniserve Group – Gary Cobbing, Group Chief Commercial and Operating Officer
- Wincanton – James Wroath, Chief Executive Officer
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