Competition Commission Market Investigation on the Supply of Groceries in the UK
A Bill to establish a Groceries Code Adjudicator was introduced into Parliament on 10 May 2012. The Groceries Code Adjudicator will enforce the Code, which applies to all retailers with groceries turnover in excess of £1 billion per year.
The need for an independent body to ensure the Code is adhered to was one of a number of recommendations made by the Competition Commission as a result of its Market Investigation into the Groceries Market.
The Government’s policy paper on the Groceries Code Adjudicator (PDF, 153 Kb) was published in May 2012. In addition to the Bill and Explanatory Notes, published on the Parliamentary website, the Government has published an Impact Assessment (PDF, 197 Kb) . The details of pre-legislative scrutiny, including the Business, Innovation and Skills Select Committee’s report and the Government’s response can be found on the Select Committee’s website.
The Government had earlier consulted on its proposal to establish a body. Its response (PDF, 797 Kb) was published in August 2010.
The Groceries Supply Code of Practice (GSCOP)
In August 2009 the CC published a GSCOP Order which came into effect in February 2010. This contains the Code which the proposed Groceries Code Adjudicator will be responsible for upholding.
Repeal of the Land Agreements Exclusion Order
Following a consultation in 2009, BIS announced its decision (PDF, 363 Kb) in January 2010 to revoke the Land Agreements Exclusion Order. The Revocation Order took effect from 6 April 2011.
The Competition Test
On 2 October 2009 the CC announced its new decision on the Competition Test following further work undertaken after an appeal launched by Tesco in July 2008 and a remittal by the Competition Appeals Tribunal to undertake further analysis. There are no further developments. Government ministers are considering their response to the Test.
