UK’s economic stability starts at sea, says the CEO of the Chamber of Shipping

Mace | 28th April 2026 | Comment, Policy & Think Tanks, Politics
Rhett Hatcher

Shipping moves 95 per cent of the UK’s trade. Most of the time, this happens smoothly until there is a global crisis, writes Rhett Hatcher, CEO of the Chamber of Shipping

In moments of regional (the Gulf) or global (COVID) crisis, shipping becomes visible in a way the country rarely notices. Supply chains tighten, routes come under pressure, and the system that powers the economy moves rapidly from the background to the centre of national attention. That is where we find ourselves now. Conflict in the Gulf and the impact of this on the Strait of Hormuz show how quickly a regional issue results in a domestic one for the UK. This is one of the most important arteries of world trade. When it comes under pressure, vessels are delayed, energy shipments face uncertainty, and the UK’s economic rhythm is disrupted almost immediately. What is often treated as distant geopolitical risk suddenly becomes a direct challenge to national economic stability. Seafarers feel this strain long before anyone else. They keep goods moving through areas of heightened risk while facing increased threat levels, longer rotations at sea and greater uncertainty about what lies ahead. Designating the region as a Warlike Operations Area is necessary, and it exposes a simple reality - the UK relies on people working in an environment shaped by global instability to keep the country supplied and functioning. The industry continues to adapt. It absorbs shocks, reroutes and maintains the movement of essential goods. Yet flexibility has limits. A prolonged period of disruption increases pressure on energy security, costs, and the reliability of the supply chains that underpin daily economic life. When these key arteries become strained, the consequences are felt across the entire system. The government has recognised the seriousness of the moment. Ministers are more engaged, departments are coordinating more effectively, and industry is now in consistent dialogue with senior officials, including at meetings chaired by the Prime Minister. This responsiveness is positive and necessary. However, reactive crisis management is not the same as having a layered national resilience strategy and established contingency plans. Much of the current focus is on short-term measures such as negotiating safe transit and mitigating immediate energy shortfalls. These actions matter, but they address symptoms rather than underlying causes. Recent events have highlighted deeper vulnerabilities in the UK’s economic infrastructure and national resilience. For many years, the UK has operated on assumptions suited to a more predictable global environment. That environment no longer exists. Shipping, as both the backbone and the early warning mechanism of global trade, is often where these pressures appear first. This moment, therefore, requires more than a reactive posture. It requires a fundamental reconsideration of how the UK builds and maintains resilience. That includes how essential supply chains are protected, how the maritime industry is integrated into security and economic planning and how the people and systems that sustain the national economy and our social wellbeing are supported and protected. This is not an easy debate to have, but it is one the country can no longer avoid. Shipping must be recognised as central to this discussion and to any long-term solution. The approach to decarbonisation illustrates the importance of timing and sequencing. The industry is committed to Net Zero and is investing heavily in achieving it. Yet policy design still carries major implications. Extending emissions trading to domestic maritime routes at this moment raises questions, especially for lifeline services supporting the Isle of Wight and Northern Ireland. The issue is not whether environmental progress should continue but whether it is sensible to introduce additional pressures on a system already experiencing significant strain. Aligning policy with the planned 2028 review would support climate goals while ensuring that economic resilience is not compromised. Resilience is not conceptual. It is built, maintained and tested every day. Shipping keeps the UK’s economic lifeblood moving, and seafarers working under considerable pressure keep that system functioning. If the UK wants to be resilient, it must balance short-term responsiveness with long-term strategy and invest in both the system and the people who keep it operating. The events unfolding today are not anomalies. They are warnings, and the question now is whether the country chooses to act on them. Rhett Hatcher is CEO of the UK Chamber of Shipping...

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