The BRC said that by the UK potentially defaulting to WTO rules, retailers would be unable to absorb such cost increases. UK consumers have been warned by British Retail Consortium that shop prices could rise substantially unless the government is able to secure the right Brexit trade deals for Britain. For example, the average duty on imported meat may rise to 27% if the UK ended up trading under World Trade Organization rules, and clothing and footwear tariffs could rise to 16% for all EU imports against the current zero-rating, as well as a 14% rise in costs for importers of Chilean wine. The report also warns that there will be an increase in food prices, with some products such as fruit and vegetables likely to see price hikes from 10% to 25%.
UK consumers have been warned by British Retail Consortium that shop prices could rise substantially unless the government is able to secure the right Brexit trade deals for Britain. For example, the average duty on imported meat may rise to 27% if the UK ended up trading under World Trade Organization rules, and clothing and footwear tariffs could rise to 16% for all EU imports against the current zero-rating, as well as a 14% rise in costs for importers of Chilean wine. The report also warns that there will be an increase in food prices, with some products such as fruit and vegetables likely to see price hikes from 10% to 25%.