While the debate over the terms of Brexit rages on, all manufacturers reliant on imports will have a keen eye on the impact of any final deal on the sterling exchange rate.
“If we see a dramatic change in currency rates it could be the mechanism that opens the pricing floodgates,” warns Stephen Jacobs, insight director at IRI.
“With food and drink prices and long-term inflation around 8% down on the wider market, will the market adjust prices around 10% to catch up on all that lost inflation? Or will we find ourselves fixed in an eternal price standoff? My guess is it will be somewhere between the two,” he says.
“Be prepared for the worst and hope for the best – but having no plan could leave you very exposed and miss a big opportunity that is only going to happen once.”