UK should ‘cherish’ turnips, suggests Thérèse Coffey, as food shortages could last a month – business live

Video: Coffey says people should ‘cherish’ turnips amid tomato shortages

Here’s a video clip of Thérèse Coffey, Defra secretary of state, telling MPs that British people should “cherish the specialisms” in UK food production, as they struggle to buy salad vegetables in the current shortages.

As covered earlier, Coffey’s point is that consumers want a ‘year-round choice’, a demand which supermarkets and growers round the world try to meet.

Without that, we would be on a winter diet of turnips, not being able to enjoy tomatoes (as we used to be able to, anyway).

As Coffey puts it… the UK should “cherish the specialisms” it has in food, adding that a “lot of people would be eating turnips right now” under a seasonal food model – rather than thinking about lettuce, tomatoes and similar produce, which are now rationed at several supermarkets.

Asked whether the supermarkets imported too many products, and Britons should shift to seasonal eating, Coffey replies:

“It’s important to make sure that we cherish the specialisms that we have in this country.

“A lot of people would be eating turnips right now rather than thinking necessarily about aspects of lettuce and tomatoes and similar, but I’m conscious that consumers want a year-round choice and that is what our supermarkets, food producers and growers around the world try to satisfy.”

And as flagged earlier, Coffey predicted the current shortages could last from two to four weeks.

Updated at 10.16 EST

Key events

Bankman-Fried charged with four new counts in FTX criminal case

Four new charges have been unsealed against Sam Bankman-Fried, accused of fraud in last year’s implosion of the FTX cryptocurrency exchange.

A new superseding indictment against FTX cryptocurrency exchange founder Bankman-Fried containing 12 charges has been unsealed in a Manhattan federal court, Reuters reports.

The new indictment, which was filed on Wednesday, says:

“Exploiting the trust that FTX customers placed in him and his exchange, Bankman-Fried stole FTX customer deposits, and used billions of dollars in stolen funds for a variety of purposes.”

In December, Bankman-Fried was charged with eight counts of fraud, money laundering and other charges over the collapse of the now-bankrupt exchange. He has pleaded not guilty.

Prosecutors say Bankman-Fried used the stolen customer funds to plug losses at Alameda Research, his hedge fund.

Alameda’s former chief executive, Caroline Ellison, and a former FTX executive, Gary Wang, have both pleaded guilty to fraud charges and agreed to cooperate with the investigation.

Last month, Bankman-Fried insisted that he didn’t steal funds or stash billions away.

Video: Coffey says people should ‘cherish’ turnips amid tomato shortages

Here’s a video clip of Thérèse Coffey, Defra secretary of state, telling MPs that British people should “cherish the specialisms” in UK food production, as they struggle to buy salad vegetables in the current shortages.

As covered earlier, Coffey’s point is that consumers want a ‘year-round choice’, a demand which supermarkets and growers round the world try to meet.

Without that, we would be on a winter diet of turnips, not being able to enjoy tomatoes (as we used to be able to, anyway).

As Coffey puts it… the UK should “cherish the specialisms” it has in food, adding that a “lot of people would be eating turnips right now” under a seasonal food model – rather than thinking about lettuce, tomatoes and similar produce, which are now rationed at several supermarkets.

Asked whether the supermarkets imported too many products, and Britons should shift to seasonal eating, Coffey replies:

“It’s important to make sure that we cherish the specialisms that we have in this country.

“A lot of people would be eating turnips right now rather than thinking necessarily about aspects of lettuce and tomatoes and similar, but I’m conscious that consumers want a year-round choice and that is what our supermarkets, food producers and growers around the world try to satisfy.”

And as flagged earlier, Coffey predicted the current shortages could last from two to four weeks.

Updated at 10.16 EST

In the economic world, the US grew a little slower than first thought at the end of last year.

US GDP has been revised down, to show the economy grew at an annual rate of 2.7% in October-December, down from a first estimate of 2.9% annualised growth.

That’s effectively a quarterly growth rate of almost 0.7% – still better than the UK, which stagnated in Q4 2022.

The data shows that consumer spending was lower than first thought, while core inflation pressures remain strong.

Theresa Coffey suggests people would be eating turnips right now under seasonal eating

Defra secretary of state Theresa Coffey has suggested that UK shoppers would be eating turnips this winter, not hoping to buy tomatoes, without overseas imports.

Coffey was asked by Conservative MP Selaine Saxby whether she agreed that supermarkets import “far too many” products, and the UK should be eating more seasonably to support British farmers.

Coffey said that it was important to “cherish the specialisms that we have in this country”, and told MPs:

“A lot of people would be eating turnips right now rather than thinking necessarily about aspects of lettuce, and tomatoes and similar.

But I’m conscious that consumers want a year-round choice and that is what our supermarkets, food producers and growers around the world try to satisfy.”

This may be a gift to the Daily Star, who could potentially reprise their efforts with Liz Truss and a lettuce…. perhaps with turnip-lover Baldrick and a cunning plan…..

Updated at 10.16 EST

Sky: Government to shake up Ofgem’s board

Sky News are reporting that the government is preparing to overhaul the board of energy regulator Ofgem, by replacing a slate of directors this year.

The energy regulator has faced intense criticism over its handling of the prepayment meters scandal, on top of the collapse of a swathe of the energy supply chain industry in 2021 and 2022.

And with several executives’ terms expiring this year, or having expired already, Grant Shapps – the Secretary of State for the Department for Energy Security and Net Zero – is apparently pushing for new blood.

Here’s the story:

Sky News understands that the Department for Energy Security and Net Zero (ESNZ) has begun recruiting a new chair for the watchdog, as well as four non-executive board members.

The Ofgem board currently comprises Professor Martin Cave, who will step down as chairman in October when his five-year term expires, a slate of independent directors and Jonathan Brearley, its chief executive.

Two non-executives who have already departed will be replaced, while two more – Lynne Embleton and John Crackett – have terms expiring later this year.

A further two board members are due to serve until 2025.

An Ofgem spokesperson said its chairman “will not be seeking reappointment for the role”.

More here.

Households face ‘crunch point’ when bills rise in April

Households are heading for a “crunch point” in April as energy bill support is set to fade away and the moratorium on force-fitting prepayment meters ends, MPs have been warned this morning.

Citizens Advice said households are going to come under increased pressure, with averge costs set to rise during the summer when energy use is lower.

It comes as household bills are set to soar by around £500 on average, hitting £3,000 per year for the typical home from April.

Bills are currently set at £2,500 for the average home – and households have also been getting vouchers for £400 spread over six months.

Meanwhile, energy suppliers have been banned from installing prepayment energy meters under warrant after concerns about their behaviour were raised. But that ban will come to an end in a little over a month.

Andy Manning, principal economic regulation specialist at Citizens Advice, said:

“We’ve got the moratorium on forced installations of prepayment meters at the moment, but that’s due to expire at the end of March. The end of March is also when the support schemes fall away, so it seems there’s a real crunch point when we get to April 1.”

Speaking to MPs on the Public Accounts Committee, he said the situation is “of concern”.

Updated at 08.57 EST

Consumers should see ‘significant volumes’ of British tomatoes by end of MarchBritish Tomatoes being grown in huge greenhouses/ glasshouses in the Worcestershire countryside. Photograph: Simon Hadley/Alamy

UK tomato growers have reassured customers that there should be “significant volumes” of British tomatoes on supermarket shelves by the end of March, as retailers impose buying limits to cope with a shortage.

The British Tomato Growers Association (BTGA) said shortages are mainly down to a lack of imports but the local growing season is due to begin soon.

The BTGA said in a statement:

“Many people have commented on the current lack of fresh tomatoes in some supermarket stores.

“Whilst this is predominantly a consequence of the lack of imported product at this time of year, the British season will soon begin and we expect significant volumes of British tomatoes on shelves by the end of March and into April 2023.

“The British tomato season runs from the end of March until November each year.”

Updated at 07.51 EST

Spanish farmers blame the weather and Brexit for UK salad shortages

Sam Jones

The head of Spain’s largest farming association has pointed to Brexit and its impact on transportation, bureaucracy and border controls as the underlying cause of the UK salad crisis, saying there has been no major drop in production among his members.

Alfonso Gálvez – who serves as general secretary of Asaja, which represents farmers in the Murcia region, said he was puzzled by media reports of weather-induced shortages.

“I’ve seen these articles but I don’t understand why they’re talking about shortages here in Spain,” he said, adding:

“Things are normal here so far this season so I don’t know if it’s more a problem of UK logistics since the Brexit regulations came into effect.

There’s enough produce to supply the market and the vegetable season is happening pretty normally.”

While he acknowledged that rising costs had led to a drop in production for some growers – and frosts had affected some artichoke and lettuce crops – Gálvez said those issues were not serious or widespread enough to have significantly reduced market supplies.

The UK shortages, he suggested, may have more to do with bureaucracy and logistics than the weather.

Here’s the full story, by our correspondent in Madrid, Sam Jones:

Updated at 07.39 EST

BoE’s Mann: We have an inflation problem

British businesses’ and households’ inflation expectations for the year ahead remain too high for the Bank of England to be confident about inflation returning swiftly to its 2% target, Bank of England policymaker Catherine Mann has warned.

In a Q&A session after her speech this morning:

“We have an inflation problem. That’s the bottom line.”

Inflation was 10.1% in January, more than five times the Bank’s target of 2% per year.

Having spoken about the continued need for higher interest rates, Mann added:

“I don’t think we are in a restrictive stance, particularly.”

UK retailers brace for sales fall in March

UK retailers expect sales volumes to fall next month, after holding steady in February, as rising cost of living eats away at disposable incomes.

The Confederation of British Industry’s (CBI) distributive trades index has risen to +2 this month from -23 in January. Economists had predicted a smaller recovery, to -13.

But a measure of expected sales in the month ahead fell to -18 from -15.

Martin Sartorius, CBI principal economist, says:

“Whilst retail sales volumes were largely unchanged in the year to February and slightly above seasonal norms, firms remain pessimistic about their business outlook and are bracing themselves for yet another fall in sales next month”