Costs expected to rise after pound’s record low | Eastern Daily Press
Founder Miranda Hudson talks to Derin Clark on what the mini budget means for local business
The aftermath of Chancellor Kwasi Kwarteng’s budget on Friday has seen the pound plunge to a record low sparking fears that interest rates will rise to 6pc next year.
As the value of the pound plummets, businesses are anticipating that their costs will rise – exasperating what they are calling the ‘cost of doing business crisis’.
Photo of an annual forage brew at the brewery taken by Matthew Curtis
The article in Eastern Daily Press business news landed the front page and reports:
Norfolk brewery, Duration Brewing, depends on imports from the US for some of its key core products.
Miranda Hudson Duration’s managing director says
“Three of our seven key core brands Turtles, Dripping Pitch and Sweeping Coast are American styles with US hops in their profile and together these account for a high percentage of our brewery sales.”
“We only procure hops from the US, however, these are our most expensive ingredients and we are concerned that the fall of the pound against the dollar will adversely impact the cost of goods making it prohibitively expensive.”
“It would be very hard to change our entire offer should we no longer be able to afford to procure US hops. This is an added blow after seeing ongoing price hikes on cardboard, aluminium and utilities – all costs that affect our bottom line in a time when our customers can’t afford the cost increase on our products.”
Read the full article HERE.