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2021 Budget

On the 3rd of March the Chancellor announced the 2021 Budget. After a difficult year for businesses and employees this was anticipated to be one of the most important Budgets for a long time.

We have highlighted a few key areas that may affect our members:

The furlough scheme and self-employed income support has been extended. The furlough scheme will now run until the end of September – it had been due to close at the end of April. Meanwhile, the Self-Employment Income Support Scheme (SEISS) will be extended to 600,000 people who were previously excluded. A fifth grant for the self-employed has also been confirmed.

Income tax, national insurance contributions and VAT won’t rise, but thresholds will be frozen from 2022 onwards – meaning in real terms many will pay more in tax from 2022 onwards. The Chancellor said the Government would deliver on its promise to increase the personal allowance – the rate over which people start paying tax – to £12,570 next year, but said it would then be kept at this rate until April 2026. The higher rate threshold will similarly be increased next year, to £50,270, but will then also be frozen until 2026.

The personal allowance level applies across the UK but the higher rate threshold for non-savings and nondividend income will apply to taxpayers in England, Wales, and Northern Ireland.

The contactless payment limit will rise to £100. That’s up from £45 and officially takes effect from today, though in practice it may take longer for retailers to implement the increased limit.

Alcohol and fuel duty will be frozen. This is the second year in a row that alcohol duty has been frozen, whilst fuel duty has been frozen for over a decade.

The 5% reduced rate of VAT for the tourism and hospitality sector will be extended for six months. It will now last until the end of September, with an interim rate of 12.5% for another six months after that.

A new restart grant will start in April to help businesses. These will be available in England and will be up to £6,000 per premises for non-essential retail businesses and up to £18,000 per premises for hospitality, accommodation, leisure, personal care and gym businesses.

A Recovery Loan Scheme will provide lenders with a guarantee of 80% on eligible loans between £25,000 and £10 million. This will launch on 6 April and will be open to all businesses, including those who have already received support under the existing coronavirus guaranteed loan schemes.

Source: Moneysavingexpert.com

POST-COVID PACKAGING

The outbreak of COVID-19 has heightened concerns about the safety and security of our food supply chain. How has the packaging industry responded, and can clever packaging help alleviate health and hygiene worries?

COVID-19 has changed consumer priorities and behaviour, giving rise to a new challenge for the food industry: reassuring the customer that what they eat is safe.

Coronavirus aside, we frequently read about food recalls due to salmonella, e-coli and foreign particle contamination. But the pandemic has only fuelled fears about food safety, with frozen singled out in numerous reports that the virus could be transmitted via frozen food packaging.

In October, Chinese health authorities discovered live coronavirus on a package of frozen food in Qingdao—the first time active virus was detected on the outside of refrigerated goods.

All this has led to a shift in consumer priorities when it comes to food packaging. According to research firm FMCG Gurus, 47% of consumers are concerned about food poisoning because of chemicals in packaging contaminating the product.

Yet packaging can be a key tool in building trust in claims made about product safety and alleviating consumer concerns, so what are the options for frozen brands?

Labelling

QR codes, in general, are used to connect the customers to online information. These codes are conveniently accessible and scannable using smartphone devices which makes them a go-to tech-innovation for sharing information.

While they’re often used as a marketing tool, QR codes on food labels can also help quickly trace supply chains, vendors and retail destinations. They can also provide the consumer with details of ingredients, their origins and allergens.

Access to information is perhaps the greatest tool in boosting consumer confidence in the safety of their food. The more data available on the origins and journey of food, the higher the confidence of retailers and grocery customers.

Heat-reactive ink

Thermochromic ink reacts to changes in temperature by exhibiting a colour change. This is currently an expensive innovation, therefore it’s use has largely been limited to short-term promotional purposes.

But intelligent packaging incorporating thermochromic ink has the capacity to show when microwaved food or drink is too hot to consume, or show when perishable foods are being stored correctly at a cold temperature This could alert retailers, producers and consumers if a material intended to be cold was outside acceptable temperatures during transport, delivery or storage.

Antimicrobial and tamer-proof packaging

Antimicrobial products kill or slow the spread of microorganisms such as bacteria, viruses, mould and mildew. Antimicrobial packaging has been around for a while, and such materials are increasingly being offered by packaging companies. Looking at market reports published before the pandemic, the main markets then were in food packaging and niche medical areas. Going forward it is likely most shared touch-surfaces will include an antimicrobial treatment; from supermarket trolleys to escalator handrails, end-users will look for reassurance their products are treated to avoid bugs growing on the surface.

In addition to reassurance about unintentional contamination, people also increasingly want to be sure their food has not been deliberately tampered with.

GlobalData found 51% of the global population agree they are concerned about the safety of the packaging on the products they purchase, and 52% also believe secure and tamper-proof packaging is more important than ever.

Tamper Evident Packaging typically features one or several barriers of entry that provide visible evidence to the consumer that a product has been tampered with.

Next time we’ll take a much-needed break from COVID-19 to explore how packaging design can further boost the image and reputation of frozen food.

CGA REPORT 03.03.21

We are pleased to advise members that they can access the latest market recovery report on the Foodservice market.

CGA Key takeaways are:

  • While 4,170 new sites have been recorded since December 2019, the loss of nearly 12,000 venues means there have been nearly three closures for every fresh opening—leading to a net loss of 7,724 licensed premises. The number of permanent closures is expected to rise sharply, with the effects of trading restrictions—including a catastrophic drop in trade over the key month of December
  • While the sector now has a roadmap to reopening, research for the MRM suggests that the freedom to trade outside from mid-April will be of limited benefit. Less than half (43.2%) of England’s pubs, bars and restaurants have an outdoor area of some kind, and while the number is higher among food pubs (78.4%), it is far lower among casual dining restaurants (11.4%)
  • The MRM also reveals that the food-led sector has been hit harder by COVID-19 than the drink-led market, losing 7.6% and 5.5% of total sites respectively. The casual dining sector has contracted by 15.8%—equivalent to more than 1,000 casual dining restaurants, or nearly one in six of the total, shutting their doors since December 2019
  • Many city centres have proved more durable than expected, with central Sheffield, Liverpool, Edinburgh and Nottingham all seeing fewer than 3% of their licensed premises close since December 2019, whilst central London has seen a below-average 6.3% decline. It provides optimism that major cities may rebound quickly when the hospitality sector is able to trade again

 

ICELAND LAUNCHES LOTUS BISCOFF ICE CREAM CAKE

  • Iceland and The Food Warehouse exclusively launches Lotus Biscoff Ice Cream Cake
  • The product is exclusively available in-stores and online from Wednesday 24th March

 As the early signs of Spring and Summer appear, Iceland and the Food Warehouse are exclusively launching the most exciting dessert for Lotus Biscoff fans across the country – the Lotus Biscoff Ice Cream Cake (£3.00, 650ml), 2021 is saved!

Available in stores and online from Wednesday 24th March, the Lotus Biscoff Ice Cream Cake (£3.00, 650ml) features a viral-sensation-in-waiting triple whammy of Lotus Biscoff Ice Cream swirls, Lotus Biscoff Caramelised Spread and crispy chocolate layers; finally it is topped with crunchy Lotus Biscoff biscuit pieces to really up the Biscoff ante!

The new premium ice cream cake delivers the iconic taste and crunch of Lotus Biscoff that the nation knows and loves. Perfect for sharing with friends and family at the end of a barbecue – we will enjoy the sunshine whilst it lasts – or enjoying whilst curled up on a sofa.

The exclusive hybrid Biscoff treat serves six, if you can manage to share. Lotus Biscoff Ice Cream Cake is just £3.00 and lands in freezers from Wednesday 24th March.

For further information on Iceland’s range please visit www.iceland.co.uk

DATA DRIVEN SENSING FOR THE FOOD AND DRINK SECTOR

Nik is an Associate Professor of Chemical Engineering. He has a PhD in engineering and spent four years as a researcher in the School of Food Science and Nutrition at the University of Leeds before joining Nottingham in 2014.

Nik’s research is focussed on digital manufacturing within the food and drink sector and his team develops intelligent sensor technologies to tackle some of the biggest challenges around sustainability, food safety, hygiene and productivity. A focus of Nik’s research is developing sensor and data analysis methods that work effectively in challenging food production environments and can be integrated with other key industrial digital technologies such as AI, Robotics and the Industrial Internet of Things.

Nik has led projects investigating how sensors and data analytics can be used to reduce the cost and environmental impact of industrial cleaning processes and unit operations such as fermentation and mixing.

Nik is currently a member of the EPSRC Early Career Forum in Manufacturing Research, on the Food Standards Agency register of experts and a Co-Investigator on the EPSRC digital manufacturing network: Connected Everything 2.

View the full programme and book your tickets here: https://bfff.co.uk/event/the-bfff-technical-conference/

PLASTIC: WHAT’S THE ALTERNATIVE?

The world produces 381 million tonnes of plastic waste every year, a figure set to double by 2034. Some alternative materials have been hailed ‘silver bullets’ to the problem, but are they really a viable option?

But what exactly is sustainable plastic alternative? Is it recyclable, compostable, biodegradable, made from renewable materials? Better yet, could it be plastic made from captured carbon dioxide or other greenhouse gases? All of these options exist today, and quite a few are already on the market.

Biodegradable plastic is forecast to grow to more than $6 billion in market size by 2023 and the UK’s compostable packaging market is predicted to increase tenfold by 2025. But what’s the difference?

Biodegradable refers to the ability of a material to break down and return to nature. To qualify as biodegradable, packaging materials must completely break down and decompose into natural elements within a year.

Compostable materials go one step further by providing the earth with nutrients once the material has broken down.

Sounds great, but these materials aren’t without their problems.

Compostable packaging, for example, generally requires an industrial facility to heat the plastic to a high enough temperature for microbes to break it down, in combination with measured levels of oxygen and moisture. Home composting systems are simply unable to provide these conditions.

When sent to landfill, compostable plastics are deprived of the light and oxygen needed to decompose, and can instead release significant levels of methane, a greenhouse gas far more potent than carbon dioxide. In short, the results are virtually the same as traditional oil-based plastics.

Meanwhile, biodegradable items can break down within the environment with the help of bacteria or other living organisms, but this doesn’t necessarily mean they’re good for the environment. Some plastic bags can biodegrade into tiny pieces in around 20 years, but they are still harmful to the environment.

Both compostable and biodegradable packaging materials are still in the minority in the UK and most recycling plants are not yet equipped to deal with them, so despite the best of intentions, much of the compostable packaging we produce is still incinerated or sent to landfill.

For this reason it’s vital that any brand using these materials ensures the packaging carries clear labelling so consumers know how to dispose of the packaging correctly.

There are of course cost implications to switching from traditional plastics. Currently compostable and biodegradable materials cost more to produce, and if this cost is passed to the consumer they are less likely to buy.

Some biodegradable materials are two to 10 times more expensive to produce than comparable non-biodegradable materials. But as demand for these materials increases, the prices will fall.

While packaging that decomposes seems like a perfect solution to the ever-increasing plastics problem, we also need to consider the environmental impacts of creating – or rather, growing – the raw materials. Many industry experts already view bioplastics as a counter-productive solution and this should be considered when weighing plastic against compostable packaging.

As compostable plastics are made using biomass – such as corn starch, wood pulp, sugar cane, and wheat straw – there is much debate about whether creating high volumes of bioplastic is coming at the expense of our food supply.

But as we race to find the next big thing in food packaging, we must not lose sight of the importance of a circular economy. The traditional plastics already in circulation can be kept out of landfill if waste infrastructure is better able to collect and process them, and in our quest to reduce our reliance on virgin materials, this route should not be neglected.

Next time we examine how the pandemic have changed consumer priorities, and how this in turn will shape post-COVID packaging.

 

GIVING FOOD TO GOOD CAUSES

Originally from a food supplier background Nicole has first- hand experience of how food waste is generated and was therefore motivated to support re-distribution of surplus to help feed vulnerable people across the UK.

Working closely with the food industry, as Commercial Manager, Nicole is responsible in helping the food industry to divert their nutritional surplus to be used for social good. Alongside this Nicole is also responsible for liaising with FareShare’s large redistribution network to ensure frozen and chilled surplus is supplied readily to the third sector.

Overcoming huge barriers and implementing long-term strategies, Nicole has been responsible for ensuring our frozen infrastructure can support demand. Nicole continues to focus on ways to safely and securely divert more quality surplus frozen food from the food industry to more people in need.

Info about FareShare: 
FareShare is the UK’s largest food redistribution charity, with more than 30 warehouses across the UK. It takes food from the food industry that can’t be sold in shops, either because of packaging errors, a short shelf life or overproduction. That food, which is the same as the food you’d eat at home, is then redistributed through a network of 11,000 frontline organisations, across the UK such as homeless hostels, school breakfast clubs, domestic violence refuges, older people’s lunch clubs, food banks and hospices. Since the pandemic, FareShare has more than doubled its work, providing the equivalent of more than 2 million meals a week to people who might not otherwise eat.

Click the link to view the full programme and book your tickets.  https://bfff.co.uk/event/the-bfff-technical-conference/