Regulator To Release Final Report On UK Grocery Sector

The UK’s major supermarket groups are anxiously awaiting the release of the Competition Commission’s final report into Britain’s grocery market .
The report, to be released today, comes at the end of a two-year investigation into the supermarket sector, which continues to be dominated by the four major chains – Tesco, Asda, Sainsburys, and Morrisons .
Since its last report in February, the watchdog has been consulting supermarkets and suppliers over suggested changes to the planning system to make it harder for one retailer to dominate a particular area.
The planning recommendations include measures to stop retailers imposing building restrictions on land they sell off and also suggest a proposed five-year time limit on the exclusivity agreements between supermarkets and local authorities that prevent rival firms from opening nearby stores .
The Competition Commission also called for a new ombudsman to deal with disputes between retailers and their suppliers .
According to the group, the ombudsman would have the power to award compensation and would uphold a stronger supermarket code of practice (SCOP), which would cover all grocery retailers with turnover in excess of £1 billion.
But the proposed changes to the grocery sector have been met with scepticism from campaigners who believe they would do little to ease the plight of the smaller high street grocers.

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