Rising transport expenses now affect 19% of businesses selling across UK nations, marking the highest level since January 2023 according to new ONS data.
Transport costs are squeezing UK businesses that trade between England, Scotland, Wales and Northern Ireland, with nearly one in five now citing delivery expenses as a major challenge to their operations.
The Office for National Statistics revealed that 17% of trading businesses reported selling goods or services to customers in other UK nations during the 12 months to late April 2026. Of these cross-border traders, 19% identified transport costs as a significant obstacle – a sharp rise from just 12% in January 2026.
The Squeeze on Business Costs
The transport cost burden represents the highest proportion of affected businesses since January 2023, according to the ONS Business Insights and Impact on the UK Economy survey published on 23 April 2026. This 7 percentage point jump in just three months signals mounting pressure on firms trying to maintain trade links across the UK’s internal borders.
But transport isn’t the only cost headache. Economic uncertainty emerged as the top challenge affecting turnover for trading businesses in early April 2026, with 35% reporting it as a concern. For larger firms with 10 or more employees, this figure climbed to 40%.
The broader picture shows businesses grappling with rising input costs across the board. Some 40% of trading businesses reported price increases for goods or services they purchased in March 2026 compared with February – a pattern that’s been persistent since 2022.
Government Response
The Department for Business and Trade has emphasised its commitment to supporting UK traders through the Trade Remedies Authority’s 2026-2029 plan, published on 30 April 2026. The authority aims to protect businesses from unfair international trade practices like dumping, with new digital services specifically designed for small and medium enterprises.
On top of that, the Business Insights and Conditions Survey tracks these trends through voluntary fortnightly responses from businesses, with data weighted to reflect the broader economy’s performance across financial metrics, workforce issues, pricing pressures and trade resilience.
What This Means for Kent Residents
Kent businesses that rely on cross-UK trade – chiefly logistics firms using the M20 to reach Scotland and northern England – face intensifying cost pressures that could affect local employment and pricing. Companies operating from Kent’s strategic position near Channel ports may find their competitive advantage eroded by rising domestic transport costs. Local firms can seek guidance from Kent Invicta Chamber of Commerce on managing these challenges, as Kent County Council continues to support freight movement through infrastructure planning including Operation Brock contingency measures for port disruptions.
Source: @ONS
Key Takeaways
- Transport costs now challenge 19% of UK cross-nation traders, up from 12% in January 2026
- Economic uncertainty affects 35% of all trading businesses, rising to 40% for larger firms
- 40% of businesses reported higher input prices in March compared to February 2026