Overview

• More than half of UK retailers and exporters face disruptions due to Houthi rebel attacks on Red Sea trade routes, leading to increased shipping costs and extended delivery times.
• The British Chambers of Commerce highlights a 300% increase in shipping container costs for some businesses and delays of up to four weeks.
• US and UK military responses aim to protect international shipping, but the disruption continues with no end in sight.
• The ongoing situation threatens to exacerbate supply chain issues, with potential impacts on UK inflation and global demand.
• Government urged to provide support for affected exporters in the upcoming budget, amid concerns over profitability and economic impact.