British businesses turning away from China, industry group says

A view of Canary Wharf business district in London, Britain, October 14, 2020. REUTERS/Matthew Childs

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LONDON, July 30 (Reuters) – British businesses are cutting ties with China due to concerns about political tensions, a shift that is likely to stoke inflationary pressures, the head of the Confederation of British Industry (CBI) said in an interview published on Saturday .

“Every company that I speak to at the moment is engaged in rethinking their supply chains … because they anticipate that our politicians will inevitably accelerate towards a decoupled world from China,” CBI Director-General Tony Danker was quoted as telling the Financial Times newspapers.

China was Britain’s biggest source of imported goods in 2021, accounting for 13% of the total, while it was the sixth-largest destination for goods exports, according to Britain’s official trade statistics.

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