ACS

The Association of News Retailing (ANR) has expressed disappointment at the OFTs decision not to allow a market investigation of the news and magazine distribution sector.

ANR Managing Director John Lennon said: “We are deeply disappointed that the OFT has decided not to allow a market investigation by the Competition Commission. Retailers have been calling for a number of years for effective action to rectify the anti-competitive practices and inefficiencies that are created by the structure of news and magazines sector. The consequence is poor service, lack of choice and reduced innovation for retailers and ultimately the consumer.

“The OFT should have acknowledged that the recent sudden demise of Dawson News has significantly reduced choice and competition in an already highly consolidated market place.

“We note that although the market investigation request is refused the OFT has not given the industry a ‘clean bill of health.’ We will study closely the report they have produced and the recommendations they have made. “

The OFT has acknowledged the need to review this issue within two years, John Lennon concluded: “It is certain that by not allowing the full market investigation that the issues raised are not going to go away and the OFT will have to revisit the issue.”