BHETA advises suppliers to plan for continued volatility amid global tensions

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BHETA
March 20, 2026
4 min read
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BHETA advises suppliers to plan for continued volatility amid global tensions

BHETA is advising members across the home improvement, garden, housewares and small electrical sectors to strengthen resilience planning in response to the ongoing geopolitical tensions involving Iran, the USA and Israel.

While the situation remains fluid and may yet stabilise in the coming weeks, the association is urging suppliers to take a measured view of the potential economic impacts — particularly around cost pressures and consumer confidence.

Indirect impacts already emerging

Although UK suppliers have limited direct exposure to the region, the effects of the conflict are already being felt through familiar economic channels.

These include:

  • upward pressure on energy and fuel costs
  • increased volatility in freight and shipping insurance
  • renewed uncertainty around inflation and interest rates
  • early signs of more cautious consumer spending behaviour

For sectors such as DIY, garden and housewares — where a significant proportion of product is discretionary — even small shifts in confidence can influence demand patterns, particularly for higher-ticket orseasonal items.

Focus on duration, not just disruption

BHETA is emphasising that the key risk for suppliers is no tnecessarily the immediate shock, but how long uncertainty persists.

Steve Richardson, BHETA’s General Manager, commented:


“Even relatively short periods of geopolitical disruption can have a longer tail in terms of costs and consumer behaviour. The important thing for suppliers is to plan for a range of outcomes, including the possibility of continued volatility through the coming months.”

If energy prices remain elevated or logistics costs continueto fluctuate, suppliers may face ongoing pressure on:

  • cost of goods
  • gross margins
  • retailer pricing expectations
  • and consumer demand

Practical steps for suppliers

BHETA is encouraging members to review their current operating assumptions and ensure they are prepared for changing market conditions.

Key areas of focus include:

Cost management
Suppliers should closely monitor movements in freight, fuel, materials and insurance costs, and update landed cost calculations regularly to avoid margin erosion.

Demand forecasting
Greater attention should be paid to category-level performance, particularly for discretionary, seasonal or project-led product ranges which may be more exposed to changes in consumer confidence.

Inventory planning
Stock levels should be aligned with realistic demand expectations, with particular caution around slower-moving or seasonal lines.

Retailer engagement
Maintaining open and proactive communication with retail partners is essential, particularly where there may be changes to call-off patterns, promotions or lead times.

Opportunity alongside risk

BHETA notes that while the current environment presents challenges, it may also create opportunities for suppliers who can demonstrate reliability and flexibility.

Retailers are likely to place increased emphasis on:

  • dependable supply
  • clear value positioning
  • and responsive service

Suppliers who can manage costs effectively, maintain availability and adapt their offer to changing demand patterns may be well positioned to strengthen their relationships and gain share.

Supporting members through uncertainty

BHETA continues to support members through ongoing marketmonitoring and practical guidance.

This includes:

  • regular cost of goods  reporting, providing insight into movements across freight, materials and inputs. We will increase the frequency of these reports through the period of volatility.
  • guidance on contingency and disaster planning, helping suppliers prepare for disruption
  • sector briefings and market updates to inform decision-making

Steve Richardson added: “Our role is to help members navigate uncertainty with confidence —providing clear, practical insight so businesses can make informed decisions rather than reacting to headlines.”

Looking ahead

While it remains too early to assess the full impact of the current situation, BHETA’s view is that suppliers should prepare for continued volatility in the near term, even if geopolitical tensions ease.

The underlying lesson, the association says, is that resilience — in cost control, supply chains, customer relationships and cash management — remains a critical capability for businesses across all home-related sectors.

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