The Chairman of the Competition Commission, Peter Freeman, met Andrew George, MP for St. Ives and Chair of the Grocery Market Action Group (GMAG) yesterday and confirmed that proposals for a new Supermarket Ombudsman were on track. The new ombudsman will clamp down on any evidence of unfair trading practices by the UK’s major supermarkets.
Mr George and fellow GMAG members from the NFU, British Brands Group and Actionaid welcomed Mr Freeman and officials from the Competition Commission to the House of Commons yesterday afternoon to discuss the Commission’s progress following up the proposals contained in its final report on the grocery market of April 2008.
The report recommended the introduction of a strengthened Grocery Supply Code of Practice (GSCOP) to be overseen by an independent ombudsman. Although the Competition Commission has the power to introduce the new GSCOP, it has been seeking a voluntary agreement from the UK’s major supermarkets on the establishment of an ombudsman before deciding whether to hand the matter over to government ministers to implement.
At yesterday’s meeting the Competition Commission expressed its determination to proceed with the recommendations set out in its report of April 2008. Officials indicated that they expect to implement the GSCOP shortly and to make a decision on the referral of the ombudsman to Government.
Commenting Mr George said:
"The meeting was positive and has helped to reassure us that the Competition Commission is determined to implement its recommendations. We had some concerns due to the amount of time that has passed since the Commission made its original recommendations. We should soon see some meaningful progress.
"The major supermarkets continue to post record profits. But many of their suppliers struggle, whilst privately complaining about the unfair treatment they receive. Rapid progress is necessary before it’s too late for some."
