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Christmas in the Times of the Coronavirus and Brexit

JSOFT
JSOFT
JSOFT

When the UK's planned exit from the European Union becomes official in 2021, many things will change for businesses who import and export goods to and from the UK. With the involvement of the bureaucracy, tedious paperwork, border checks, and increased taxes, many businesses within the EU will simply stop dealing with the UK to avoid complications. With the decrease in businesses willing to deal with the UK, the UK market will become less competitive, and prices of every product and service will increase.

Currently, it costs about £20 to ship a 10kg parcel to Sweden (an EU member) from the UK, while the cost of delivering the same package to a non-EU member like Norway is about £36. The difference of about 80% has to do with less market competitiveness. Basically, delivery companies aren't lining up to deliver to Norway because of the increased hassle of customs and border controls. And the same will happen with the UK post-Brexit when it becomes a less attractive and hence less competitive market for sellers in the EU.

What this means for shoppers across the UK is that it will be far more expensive to buy goods when Christmas comes next year, and there will be fewer products to choose from. Hence, this Christmas is an ideal opportunity for Brits to buy what they want at pocket-friendly rates. And if the UK fails to enter a free-trade deal with the EU, which seems quite likely, the increase in costs of imported goods will be huge by next Christmas.

Hence, this Christmas is an ideal opportunity for Brits to buy what they want at pocket-friendly rates. And if the UK fails to enter a free-trade deal with the EU, which seems quite likely, the increase in costs of imported goods will be huge by next Christmas.

The coronavirus pandemic perhaps fuelled the 50% increase seen in online sales this year. Along with increased sales, there was an unprecedented demand for goods to be delivered at home. Brexit caused a 30% shortfall in warehouse workers and drivers, and with supply chains already strained, any more load during Christmas can stretch companies beyond capacity.

Businesses usually see a boom around Christmas time, allowing them to make profits that cover their yearly costs. Many retailers see their sales doubling up. With families estranged from each other and people spending Christmas at homes due to the pandemic, high volumes of requests will come in for deliveries of goods to loved ones around Christmas time. Both retailers and couriers need to work efficiently to meet this increased demand for their services in a timely manner. Online shoppers should take the precaution of buying and sending their Christmas gifts before time to avoid any delays in delivery.

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