Competition Commission Market Investigation on the Supply of Groceries in the UK
Draft Groceries Code Adjudicator Bill
The Government announced in August 2010 that it was to take steps to establish a body to monitor and enforce the Groceries Supply Code of Practice (“the Code”). The Government published a draft Bill on 24 May 2011, inviting Parliament to undertake pre legislative scrutiny that will begin the Parliamentary process for enacting the Groceries Code Adjudicator.
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 draft Bill can be viewed here - Draft Groceries Adjudicator Bill (PDF, 465 Kb) (PLEASE NOTE: If printing this document, please do so on double-sided pages and staple along the left hand margin in order to read it correctly). In addition to the draft Bill, the Government is also publishing the Impact Assessment (PDF, 197 Kb) and a document setting out its policy for the Groceries Code Adjudicator (Groceries Code Adjudicator - Government policy (PDF, 99 Kb) ). The Government consulted during 2010 on its proposal to establish a body and its response (Groceries Code Adjudicator - Government response to the consultation (PDF, 797 Kb) ) was published in August 2010. The Competition Commission’s reports into the Grocery Market were published in 2008.
If you would like to make any comments on the draft Groceries Code Adjudicator Bill, please do so by 19th July 2011 either by email: firstname.lastname@example.org, or by post:
Groceries Code Adjudicator Bill Team,
Department for Business, Innovation and Skills,
Level 3, Orchard 2
1 Victoria Street
London SW1H 0ET
PLEASE NOTE: The Business, Innovation and Skills Select Committee has announced its intention to conduct pre-legislative scrutiny on the Bill. The Committee has asked for written evidence in connection with the inquiry to be sent to the Committee by Wednesday 15 June 2011.
For further information, please go to: Parliament UK - Government's Draft Groceries Code Adjudicator Bill
The Groceries Supply Code of Practice (GSCOP)
On the 4 August 2009 the CC published a new GSCOP Order which came into effect on 4 February 2010. The Order is available at: GSCOP Order- Competition Commission Groceries report,
Repeal of the Land Agreements Exclusion Order
BIS launched its consultation on the Land Agreements Exclusion and Revocation Order on 29 July 2009 which ended on 4 November 2009. On 13 January announced its decision to revoke the Land Agreements Exclusion Order with the effects of the revocation coming into force in 2011 . The decision document can be viewed at:(Government response to the Consultation on The Competition Act 1998 Land Agreements Exclusion and Revocation Order 2004 (PDF, 363 Kb) ). The Statutory Instrument made on 29 June 2010, confirmed that the Order would come into effect on 6 April 2011 to allow businesses time to adjust their agreements.
A copy of the Order is available at: http://www.opsi.gov.uk/si/si2010/pdf/uksi_20101709_en.pdf
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.