Will Brexit Ruin the UK Food Sector and Will Crypto Save It?
Brexit is about the UK leaving the European Union (EU). There has been much news about the affect of Brexit upon the UK economy and in this article, I want to focus on the possible affect upon the food sector in the UK economy and the relationship to a cryptocurrency. The caveat is that the affects depend upon which type of Brexit will happen i.e. a “soft” vs a “hard” Brexit (in simple terms).
Chefs have a very high turnover and is estimated as at least 40%. The UK is facing a skills and staff shortage within the cooking sector where 23% of restaurants claimed that they are unable to recruit the staff that they need, 37% reported skills shortages and approximately 20% of chefs leave the profession early. Migrant workers from the EU constituted approximately 41% of the chefs and cooks workforce in 2016
A report argued that some businesses are reported to have scaled down their growth plans, others struggle to operate effectively and existing chefs are working longer to compensate for the shortages. These are some of the major reasons for the closure of many restaurants within the UK, with the increase in closures being 21% in 2017.
What about Brexit?
There are concerns that if there is a requirement for EU nationals to obtain a visa (which can be difficult and costly), then less people will move to the UK. This will likely mean less staff being available in in the UK to work as chefs or cooks.
Since sometimes chefs that join a restaurant come with their group, they also sometimes leave as a group, making the shortage worse. Over 37% of takeaways believe that the UK’s decision to leave the EU will make it more difficult to recruit staff for their business. Another report argued that the hospitality sector can face a recruitment gap of 1 million workers by 2029 due to a lack of access to EU workers. One casual dining operator described Brexit as already impacting their recruitment.
What are the solutions?
The UK government could negotiate with the EU for freedom of movement but considering the problems faced by the UK government in this regard and on agreeing other simpler matters, this solution may not come into fruition.
Home Eats provides an alternative solution through its proposition to allow good home cooks to sell homemade food through the Home Eats app in return for the cryptocurrency EAT Token. Thus, restaurants that have a time of high demand can order homemade food through Home Eats to compensate for the staff shortage. This can avoid the situation of customers being turned away from restaurants due to a lack of capacity, which can be damaging for a restaurant’s brand.
The Home Eats solution not only allows home cooks to earn an income and to monetise home cooking, it also allows home cooks to enhance their skills, gain experience, and potentially fill part of the staff shortage of restaurants over the long run.
The Home Eats cryptocurrency solution is thus not only a potential benefit for the cryptocurrency world but also for the UK economy and livelihood of UK households.
This article has been presented by Home Eats, a company bringing the new cryptocurrency “EAT” Token to homemade food. The pre-sale of EAT Token will be in September 2018 and the ICO in October 2018. More information can be found at http://homeeats.co.uk/ and the whitepaper.