ACS

Liberal Democrat MP Andrew George has tabled a question to the Department of Business, Enterprise and Regulatory Reform on their action on the Competition Commissions recommendation of an establishment of an Ombudsman to oversee the new Groceries Supply Code of Practice (GSCOP).
He asked: “With reference to the Government's response to the Competition Commission's inquiry into grocery retailing of 29th July 2008, what definition of consumer interest his Department will use when determining whether to establish an independent Ombudsman to oversee the Groceries Supply Code of Practice.”

It is expected that Mr George will gain a response to his question on the 6th October.

The Competition Commissions recommendation came after a two year investigation into the Grocery market to see if it was functioning fairly and to the benefit of consumers.

Key recommendations from the Competition Commission included:

• a reformed code of practice to regulate the dealings between supermarkets and their suppliers (GSCOP)
• the GSCOP to be policed by a new Ombudsman
• a new competition test to prevent supermarkets from building stores in areas where they are already dominant

ACS Chief Executive, James Lowman said: “It is vitally important that the Department of Business, Enterprise and Regulatory Reform carries through the recommendations of the Competition Commission. If the Competition Commission fails to agree with retailers on a new Ombudsman power, then it falls to BERR to set up a comprehensive Ombudsman within a short time frame. The Competition Commission have concluded that an Ombudsman and improved GSCOP is essential for safeguarding Government interest, and this remedy must be implemented.”