More than 40% of UK retailers and transport and storage firms plan to raise prices in May, according to Office for National Statistics survey data highlighted by Parcelhero. The figures mark a sharp increase from April.

The latest ONS Business Insights survey found that 41.1% of transport and storage companies expect to increase prices this month, along with 40.5% of retailers and 35.2% of manufacturers. The data points to broad pricing pressure across sectors closely tied to consumer demand and the movement of goods.

In April, 18.6% of transport and storage companies, 25% of retailers and 21.5% of manufacturers planned price increases. That means the share of transport and storage firms planning rises has climbed by 22.5 percentage points month on month, compared with 15.5 percentage points for retailers and 13.7 percentage points for manufacturers.

The comparison with March is also stark. That month, 10.5% of transport and storage firms increased prices, along with 24.6% of retailers and 13.5% of manufacturers, suggesting pressure has intensified over a short period.

Rising costs

The survey also showed many businesses reporting higher input costs. Comparing March with February, 50.6% of transport and storage firms said the price of goods and services they bought had risen, as did 50.9% of retailers and 48.5% of manufacturers.

Many businesses also reported weaker trading. In March, 26% of transport and storage businesses said turnover had fallen, compared with 27.2% of retailers and 25% of manufacturers.

Parcelhero linked rising costs and pricing plans to disruption associated with conflict in the Middle East. Among companies that experienced global supply chain disruption in March, 49.9% of retailers and 48.5% of manufacturers cited conflict in the Middle East as a factor. Across all sectors, 46% pointed to conflict in the Middle East as a reason for supply chain disruption in March, 34 percentage points higher than in February, according to the ONS.

The ONS data also indicated wider strain across the economy. Economic uncertainty was cited as affecting business by 27.6% of transport and storage companies, 43.9% of retailers and 37.4% of manufacturers. Across all sectors, this was the highest proportion reported since the question was introduced in April 2022.

Energy and freight

Energy costs featured prominently among the reasons businesses are considering price increases this month. They were cited by 34.1% of transport and storage companies, 42.9% of retailers and 45.2% of manufacturers.

Transport and haulage costs were also a major factor. The figures showed 41.6% of transport and storage companies said these costs were causing them to consider raising prices, while 36.4% of retailers and 40.6% of manufacturers said the same.

The transport and storage sector is central to domestic distribution and international trade flows. Any increase in freight, shipping or aviation costs can quickly move through supply chains and into shop prices, adding to pressure on businesses already facing subdued demand.

David Jinks, head of consumer research at Parcelhero, said the latest data pointed to mounting pressure on both companies and households.

He said: “The results of the latest ONS Business Insights survey spell bad news for both British industry and consumers. 41.1% of transport & storage sector companies say they plan to increase their prices this month, together with 40.5% of retailers and 35.2% of manufacturers.

“To put these price increases into perspective, only 18.6% of transport & storage companies planned price increases for April, together with 25% of retailers and 21.5% of manufacturers. That’s a 22.5 percentage point increase in the number of transport & storage firms planning increases over last month, a 15.5 percentage point increase among retailers and a 13.7 percentage point increase among manufacturers.

“The situation is even gloomier when compared with March, when the impact of the conflict was only just beginning to bite. In March, only 10.5% of transport & storage firms increased their prices, together with 24.6% of retailers and 13.5% of manufacturers.

“The planned price rises for this month are not surprising when we look at the increase in the cost of services and goods that companies are now facing. Comparing March with February, 50.6% of transport & storage firms reported an increase in the price of goods and services they bought in March, as did 50.9% of retailers and 48.5% of manufacturers.

“The bad news didn’t stop there. As the impact of the conflict hit, 26% of transport & storage businesses reported that turnover decreased in March, together with 27.2% of retailers and 25% of manufacturers.

“There is no mystery over the source of escalating prices and falling demand. Of those companies that experienced global supply chain disruption in March, 49.9% of retailers and 48.5% of manufacturers cited conflict in the Middle East. Across all business sectors, 46% cited conflict in the Middle East as a reason for experiencing global supply chain disruption in March – a 34 percentage point rise from February, according to the ONS.

“Businesses across all sectors face ongoing challenges created by the conflict. 27.6% of transport & storage companies, 43.9% of retailers and 37.4% of manufacturers said economic uncertainty was impacting their business. Across all business sectors, that’s the highest proportion reported since the question was introduced in April 2022, according to the ONS.

“Looking specifically at the factors causing businesses to consider raising their prices this month, 34.1% of transport & storage companies named energy costs, as did 42.9% of retailers and 45.2% of manufacturers.

“One final cost increase facing British businesses is in transport, because of disruption to the Strait of Hormuz and to international shipping and aviation across the Middle East. 41.6% of transport & storage companies said this was an issue that had caused them to consider raising prices this month. 36.4% of retailers and 40.6% of manufacturers also cited transportation or haulage costs as factors causing them to consider increasing prices during May.

“Unfortunately, the economic impact of the conflict does not look likely to lessen any time soon. The fragile ceasefire between the US and Iran is currently under increased threat over the Strait of Hormuz blockade, while international supply chains will face increased costs and disruption for months, even if the truce holds.”

Team Sport, which has 40 e-karting centres across the UK, already has approved plans for a new £2m indoor electric go-karting centre at Bicester Motion.

The proposed 500m two-level track sits within a former aircraft hangar in the RAF Bicester Conservation Area.

Elevation of Team Sport signage detail (Image: Team Sport)

Now, it wants to install a three metre LED-illuminated sign, comprising of a stainless steel painted back tray with opal acyclic graphics.

This will be switched off outside of opening hours to ensure limited impact during evening periods.

READ MORE: Residents meet scientists on ‘chemicals’ near former RAF base

The application, submitted to Cherwell District Council, also includes plans for two almost four-metre semi-transparent vinyl stickers on the glazing wall and entrance door, and a hand-painted ‘137’, the historic hangar number on the south-west and north-east elevations in RAF blue-grey paint.

Savills, agent acting on behalf of Team Sport, said: “The proposed advertisements and hand-painted building numbers are appropriately located, scaled and designed; preserve the special architectural and historic interest of the Grade II Listed Building; enhance legibility and support the approved use; and comply with national and local planning and heritage policy.”

Comments are open on the planning authorities website until Friday, May 29 and it expects to make a decision by Friday, June 19.

Plans were approved in January by Cherwell District Council for the 31,000 sq ft site in Bicester run by Team Sport.

Hangar 137, which was originally built as an aircraft shed for the RAF between the First and Second World Wars, has been overhauled in time for the site’s centenary.

The project forms part of Bicester Motion’s environmental, social and governance plans, which focus on turning historic buildings into businesses that can provide long‑term economic benefits for the area.

Bicester Motion’s story began in 2013 with the purchase of the former WW2 RAF Bicester Bomber Training Station, a 444-acre site.

According to Bicester Motion, as much as 99 per cent of the buildings on the site have been restored or re-activated for modern business use, with the site now held as a national exemplar of constructive conservation by Historic England.

Daniel Geoghegan, chief executive officer at Bicester Motion, said earlier this year: “The practical completion of Hangar 137 in its centenary year is a significant achievement for the estate and a powerful example of what heritage regeneration can deliver.

“This 1926 Type A hangar was built at a defining moment in Britain’s aviation history.

“Our responsibility has been to protect that significance while ensuring the building can support a viable, modern commercial use.”

The former RAF base is home to more than 50 firms across the automotive, aviation, engineering and mobility industries.

Beer52 has extended its warehousing partnership with Europa Warehouse after eight years of collaboration.

The renewed contract comes as the Edinburgh-based subscription drinks business expands into coffee with the launch of Coffee52, adding to its existing beer, wine and whisky clubs.

Founded in 2013, Beer52 says it has more than 100,000 UK members across its clubs. Subscribers receive monthly boxes containing eight to 10 craft beers, along with snacks and Ferment magazine, which features stories about independent drinks producers.

Europa now handles fulfilment for Beer52’s wider portfolio, including Wine52, Whisky52 and Coffee52, from its Corby site. The facility processed 1.62 million consignments in 2025.

Scaling demand

The warehousing arrangement has expanded over time. Beer52’s operations were initially supported at Europa’s Birmingham site before moving to Corby as volumes increased.

According to the companies, the subscription model creates sharp swings in demand, particularly in the final quarter of the year and around promotional periods. Order volumes can rise by as much as 60 per cent within seven days.

Monthly boxes can include up to 16 stock keeping units, plus snacks and printed material, adding complexity to picking and fulfilment. As Beer52 broadens its product range, warehousing flexibility has become increasingly important.

Beer52 also uses bonded warehousing, allowing goods to be stored ahead of seasonal peaks without immediate duty payments. It said this helps manage cash flow and plan inventory during periods of heavy demand.

New category

The launch of Coffee52 marks Beer52’s first move into coffee. The business described the new offer as a coffee discovery club for consumers interested in trying different products, extending a model it has already used in beer, wine and whisky.

The expansion comes as direct-to-consumer drinks brands look for ways to add adjacent categories and increase customer spending across memberships. For Beer52, it also broadens the supplier base beyond brewers, winemakers and distillers.

James Eccleshall, head of supply chain at Beer52, linked the company’s logistics arrangements to its supplier model.

He said: “We’re proud to be able to champion outstanding small independent drinks makers, introducing our subscribers to rare, small-batch producers and the most exciting hidden gems in the drinks world.

“Our successful partnership with Europa has been critical in supporting our growth and managing the extreme peaks that come with a subscription-based model. Their ability to flex quickly, combined with the advantages of bonded warehousing, gives us confidence that our supply chain can continue to scale as our customer base grows.

“We have a true partnership with Europa; our teams have a collaborative approach, continually looking at how we can excel and refine our processes to not just meet but exceed customer expectations.

“Europa has been with us on our journey as Beer52 has grown from a single craft beer subscription into a multi-category drinks business. Their ability to support our seasonal peaks and expansion into wine and whisky has been vital in helping us deliver a great experience to our members.”

Warehouse footprint

Europa supports other drinks brands across retail and eCommerce, including Naked Wines, FUNKIN, Beerwulf and Laylo. Its warehousing network in London and the Midlands totals more than 1 million square feet, with customs warehousing for wet and dry goods.

Europa is part of Europa Worldwide Group, which says it has annual turnover of GBP £300 million and employs 1,300 people worldwide. The group operates across road freight, air freight, sea freight and warehousing.

Dionne Redpath, chief operating officer and warehouse divisional director at Europa Worldwide Group, outlined how the logistics provider views the account.

She said: “Beer52 is a great example of a modern, fast-growing drinks brand that needs agility, reliability and smart customs solutions from its logistics partner.

“Beer52 and its other brands aren’t simply a delivery service; they support the growing number of artisan brewers, distillers and winemakers, sharing their stories and bringing them into the homes and attention of artisan beer, wine and whisky lovers.

“We’re proud to be supporting Beer52, Wine52 and Whisky52 as they continue to expand and introduce more consumers to premium craft drinks from around the world.”