This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7246756.stm
The article has changed 7 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Supermarket powers to be curbed | Supermarket powers to be curbed |
| (20 minutes later) | |
| Suppliers will get better protection in their dealings with big supermarkets to ensure fair competition. | |
| An ombudsman will be appointed to resolve any disputes between retailers and their food suppliers, the Competition Commission recommends. | |
| They will have the power to award compensation and will uphold a tougher supermarket code of practice (SCOP). | |
| Proposed changes to the planning law could also give shoppers a wider choice of supermarkets in their local areas. | |
| The proposals come after a two-year investigation into the UK's supermarket sector, which is dominated by four major chains - Tesco, Asda, Sainsbury's, and Morrisons. | |
| Planning changes | Planning changes |
| The changes could help farmers and consumers, but does little to ease the plight of small shopkeepers on the High Street. | |
| The plan includes measures to stop retailers imposing restrictions on who can build on land they sell off. | |
| There is also a five-year time limit on the agreements between supermarkets and local authorities that prevent rivals setting up shop nearby. | |
| However, the plans do not require supermarkets to sell land or stores. | |
| Tougher code | |
| The SCOP, which sets out how supermarkets should treat their suppliers, was created in response to the Competition Commission's last major investigation into the grocery sector in 2000. | The SCOP, which sets out how supermarkets should treat their suppliers, was created in response to the Competition Commission's last major investigation into the grocery sector in 2000. |
| A new version will be created which includes all grocery retailers with turnover greater than £1bn. | A new version will be created which includes all grocery retailers with turnover greater than £1bn. |
| Supermarkets will have to employ compliance officers to make sure the code is followed. | |
| The new code will protect suppliers from supermarkets changing the terms of agreed supply contracts. | |
| Often, even after a farmer had agreed to a contract price with a supermarket, if the store decided to buy produce, he would be forced to accepted a lower unit price. | |
| Interested parties now have a fortnight to comment on these recommendations before the final report is published in April. | Interested parties now have a fortnight to comment on these recommendations before the final report is published in April. |
| 'Too few supermarkets' | 'Too few supermarkets' |
| According to market research group TNS Worldpanel, the UK's big four - Tesco, Asda, Sainsbury's and Morrisons - now account for more than three-quarters (76.2%) of the grocery market. | According to market research group TNS Worldpanel, the UK's big four - Tesco, Asda, Sainsbury's and Morrisons - now account for more than three-quarters (76.2%) of the grocery market. |
| In October, the commission concluded that there were aspects of the grocery market that prevented or restricted competition. | In October, the commission concluded that there were aspects of the grocery market that prevented or restricted competition. |
| It said many people had too few large supermarkets to choose from in their local area which acted as a barrier to competition. | It said many people had too few large supermarkets to choose from in their local area which acted as a barrier to competition. |
| The commission also said it was concerned about retailers being able to transfer unexpected costs to their suppliers. | The commission also said it was concerned about retailers being able to transfer unexpected costs to their suppliers. |