BCC: UK’s Economic Security At Risk

The British Chambers of Commerce (BCC) is urging Government to prioritise the UK’s economic security, after 10 years of geopolitical shocks have repeatedly damaged growth. 

Businesses in the UK have been left permanently bruised by the Pandemic, Brexit, wars in Ukraine and the Middle East, supply chain chaos and US tariffs.  

The BCC’s new report, Delivering Growth: Resilient Global Supply Chains, sets out urgent steps needed to secure vital manufacturing inputs and stop British competitiveness declining in an increasingly unstable world. 

It says the Prime Minister must take cross-government responsibility for protecting the UK economy from external crises after years of neglect by successive governments. 

Among the actions it is calling for are: 

• The creation of a ‘trade bazooka’ to allow the UK to deter economic coercion, by responding decisively to hostile trade actions. 
• Taking a robust approach to the EU’s Made In Europe agenda to guarantee the role of UK businesses in wider European supply chains. 
• Making the UK’s national security a defining priority for the economy over the next decade and involving more British businesses in the defence sector. 

The report argues that keeping the UK’s position as a major trading nation depends on secure access to key inputs such as energy, steel, semiconductors and growth minerals. Demand for some materials is set to rise massively over the next decade, and domestic production cannot meet future needs. 

More than 75% of UK manufacturing exports begin with imports, underlining how exposed businesses are to disruption in global supply chains. The UK is also a highly trade‑intensive economy, with imports and exports together accounting for over 60% of GDP. 

But demand pressures are rising rapidly. By 2035, UK requirements for critical minerals are forecast to increase sharply, driven by growth in electric vehicles, clean energy and advanced manufacturing. These include a rise of over 13,000% in lithium demand and a 1,928% increase for copper. 

New steel quotas and duties are also due in July 2026, alongside global steel overproduction estimated at 640–680 million tonnes, threatening cost pressures for manufacturers and construction firms. 

Meanwhile ongoing disruption – from wars and tariffs to industrial subsidies and economic coercion – is becoming the norm rather than the exception.  

The BCC is calling for the creation of a new Economic Security Cabinet Committee chaired by the Prime Minister to coordinate policy making across government on issues from tariffs to critical imports.   

Without these smarter tools, deeper international partnerships and clearer leadership from the centre, the UK risks falling behind competitors who are moving faster to protect their supply chains. 

Shevaun Haviland, Director General of the British Chambers of Commerce, said: 

“Over the past decade, British businesses have weathered some of the toughest economic shocks we’ve faced in the past 100 years. Through sheer resilience and ingenuity, they have kept trading in an increasingly unpredictable global environment. 

“But it’s clear that this is not enough. The UK’s inadequate economic security has become a drag on growth, competitiveness and national strength; yet it is still not given the focus and urgency it demands. 

“The wars in Ukraine and Iran have demonstrated how supply chains can be disrupted overnight. We now live in a world where trade interests may be weaponised, and where failing to secure key raw materials means failing to grow. 

“The UK’s defence industry must also be made a priority. The Russian threat on our doorstep is not going to suddenly fade and the US now has other priorities. By improving our national security, we bolster our economic security as well, but those benefits must be felt more widely by our smaller firms. 

“This report sets out practical, achievable steps to protect the foundations of our economy – from steel and semiconductors to defence and clean energy. 

“The message from business is clear: delay is a luxury the UK can’t afford. The Prime Minister must act now, match the pace of our competitors, and put economic security at the heart of our national growth strategy.” 

Source: British Chambers of Commerce

Last week, the BBCC team and Board of Directors gathered for an intensive strategic retreat. Our focus was clear: how can we continue to enhance our organisation and, more importantly, better serve the evolving needs of our valued members. It was a session full of productive discussions and visionary planning that has left us with a clear roadmap for the exciting chapters ahead.

We would like to express our sincere gratitutes towards our Chair Barry Brand and Vice Chair Kamelia Slaveykova for leading 2 very inspiring sessions and well as our Board Members Diana Pazaitova, Gilbert McCaul, Zlatina Ruseva-Savova, Yordan Vassilev, ChriStina Trifonova, Tim Buisseret, Martin Dimitrov and Paul Wright for their continued support and dedication to BBCC.

A massive thank you to Yavor Kirov, Ralitsa Georgieva, and the entire team at AYA Estate Vineyards for their exceptional hospitality. From the fascinating tour of the grounds and vineyards to the delicious food, their team provided the perfect environment for our strategic sessions—we truly appreciate the warm welcome!

Stay tuned for more updates on the initiatives we’re brewing!

The British Embassy in Sofia invites BBCC members and partners to support an exceptional cultural initiative in Sofia this October 2026.

Saraband, a distinguished UK early-music ensemble specialising in 17th-18th century repertoire, will perform in Sofia as part of a two-day programme celebrating UK-Bulgarian cultural collaboration.

Find out more:

The TELUS Digital Bulgaria Community Board Foundation invites foundations, associations, community centers, and other non-profit legal entities to apply with their projects focused on healthcare, education, or the environment.

This year, the foundation of TELUS Digital Bulgaria is allocating a total of EUR 85,000 across two open calls to support projects that have as direct beneficiaries children, young people, or their families, and use social innovation and technology in addressing a problem identified in the communities where these organizations are active

The maximum funding per project has been increased to EUR 10,000. The application deadline is 23:59 on Thursday, May 21, 2026.

Applications are submitted directly online via the foundation’s website communityboardbulgaria.com – enabling organizations to apply quickly and easily and providing them with streamlined access to all necessary application forms and instructions in one place.

The foundation of TELUS Digital Bulgaria celebrates its 12th anniversary, having funded 192 projects with nearly EUR 1,000,000. In the past year, 13 organizations received funding, including: the “First Three Minutes” Foundation, Bulgarian Biodiversity Foundation – Strandzha Branch, “Whoever Searches – Finds” Foundation, Bulgarian Breast Cancer Association (BDRG), “Retina Bulgaria” Association, “Endometriosis and Reproductive Health” Foundation, ARTON Bulgaria Foundation, Bulgarian Association of Freestyle and Extreme Skiing (BASSES), Social Future Foundation, “For Children – 2017” Association, “Nikola Yonkov Vaptsarov – 1964” Cultural Centre, Sports Club Association “Uspeh – Sofia”, Association for Support of People with Mental Disabilities – Varna. 

All details and application forms are available at: communityboardbulgaria.com 

At the General Assembly on April 24, 2026, Deyan Blagoev was elected as Co-Chairman of the Executive Board of the Artificial Intelligence Bulgaria Cluster. Together with Kristina Eskenazi, he will continue to develop the cluster as a strategic partner at the national and European level.
Read more here.

Reacting to the latest labour market data from the ONS, Patrick Milnes, Head of People and Work at the British Chambers of Commerce, said:    

“While unemployment has seen a surprise fall to 4.9%, the expectation is that it will rise this year as business uncertainty caused by the Iran War overshadows the UK economy. 

“With the cost of employment also high, and expected to rise as the Employment Rights Act comes into effect, our latest forecast expects unemployment to hit 5.5% this year.  The slow-down in wage growth indicates businesses are taking their foot off the gas and the labour market will continue to loosen. 

“With the conflict in Iran likely to drive higher inflation and weaken growth, the spectre of stagflation is beginning to grow. 

“This has upended expectations at the start of the year of further interest rate cuts by the Bank of England, increasing the level of uncertainty still further. 

“The Government must move swiftly to show that it understands the problems firms face. Action to ease the cost burdens they face, such as help with electricity bills and reform of business rates would go a long way to demonstrating this.” 

More detail on the labour market data can be found here.   

Technological upgrade to boost capacities from 100 Gbps to 400 Gbps

Neterra has officially launched its fourth fully independent data transmission route between Sofia and Frankfurt. The company stands as the only provider in the region to maintain four separate and geographically diverse paths along this key destination, supported by its global internet exchange platform, NetIX.

The decision to build this new route comes in response to the increasing frequency of disruptions across international data highways. An analysis of network events since early September 2025 shows that various outages caused multiple routes to fail simultaneously, impacting the services of major global content platforms.

“When external interruptions occurred in international infrastructure, we saw that even three routes were not always enough to guarantee the quality we strive for,” says Dean Belev, Senior Product Manager for Connectivity and NetIX at Neterra.

“That is why we initiated the construction of a fourth line based on our specific requirements. Now, all four routes are completely independent, not only in their physical paths but also in terms of operators and equipment used. This represents the highest level of protection we can offer our customers.”

The new infrastructure already secures the services of several hundred customers who rely on data transmission, internet access, and NetIX platform services within the region.
Driven by the demand for Neterra’s services and the steady expansion of NetIX capacity (~7Tbps), Neterra plans a major technological upgrade of its Sofia-Frankfurt routes within the year. The company will migrate from N × 100 Gbps to N × 400 Gbps across all four routes. This move will position the network among the most capable and well-protected in Europe.

In an interview for Economy.bg, Deloitte’s tax experts Atanas Arshinkov and Todorka Dublekova share how companies in Bulgaria can benefit from the new R&D tax incentives coming into force in 2026.

R&D is no longer limited to labs.

It often sits in your software development, process improvements, and product optimisation.

With the new rules allowing a 125% tax deduction on eligible R&D costs, companies now have a real opportunity to turn innovation into a measurable financial impact.

Yet many businesses already qualify, without realising it.

Are you making the most of it?

 Read the full interview: https://www.economy.bg/innovations/view/63830/Novi-danychni-stimuli-za-inovacii-Kak-kompaniite-v-Bylgariya-mogat-da-se-vyzpolzvat-prez-2026–

Synevo Bulgaria is pleased to announce the expansion of their network with the opening of three new blood drawing points in Bulgaria – two new locations in Plovdiv and one in Stara Zagora. These new sites bring their services even closer to patients, offering convenient access to high-quality laboratory diagnostics in modern and comfortable settings.

To celebrate the launch, all three locations offer a 10% discount on all laboratory tests during their first month of operation, along with a free sampling fee. This limited offer is Synevo’s way of welcoming new patients and thanking their existing ones for their trust as Synevo continues to grow. To find the most convenient location for you, see the full list of our blood drawing points across the country here – https://www.synevo.bg/

Commenting on the latest trade data released by the Office for National Statistics, William Bain, Head of Trade Policy at the British Chambers of Commerce, said: 

“February was a weak month for UK exports, even before the outbreak of conflict in the Middle East. The one high point was increased goods sales to the US, but this was offset by falls in goods exports to the EU and the rest of the world. Services exports also experienced subdued volume growth amid uncertain global demand. 

“By contrast, February was a strong month for imports, with services imports up by 0.7% in volume and goods by 3.9%. Strong growth in imports of Chinese electric cars, by £0.8bn in February, was a noticeable feature of the data. 

“Given the challenges faced in both supply chains and exports demand, twin track approaches are needed in response. Government must secure the supply of key growth materials and critical goods for the UK economy, particularly in those sectors impacted by the Iran War. 

“It must also expand the routes to overseas markets for UK goods and services through full leverage of existing and forthcoming free trade agreements. That means working with business to identify opportunities in key partner countries. Government should also move quickly on a new economic security approach here at home.” 

Detailed analysis 

Goods exports fell by 2.6% in volume terms in February 2026 with a similar fall to both the EU and the Rest of the World. Goods exports to the US continued to fluctuate with a rebound of 11.3% in exports values in February, led by the machinery and transport sectors. Goods exports to the US remain below levels prior to the 2024 Presidential election. 

Services exports returned to a higher growth path in February with a 0.23% month on month increase in volume terms, but this may have been more attributable to domestic factors rather than higher global demand. 

Goods imports rose by 3.9% in volume terms in February, with a 1.5% rise in EU imports in goods, and a 6.4% rise in imports from the rest of the world. Good imports from the US fell by 8.2% in February. Overall machinery and car imports rose by £0.8bn alone month on month, led by an expansion in Chinse electric vehicle imports.  

More information on the ONS data can be found here. 

Source: British Chambers of Commerce