HC Deb 27 January 2000 vol 343 cc561-2
3. Mr. Bob Russell (Colchester)

On what date he received the Competition Commission's inquiry into the impulse buying ice-cream industry; and when he intends to publish its findings. [105751]

The Minister for Energy and Competitiveness in Europe (Mrs. Helen Liddell)

My right hon. Friend the Secretary of State for Trade and Industry received a copy of the Competition Commission's report on the supply of impulse ice-cream on 21 September. It will be published as soon as is practicable.

Mr. Russell

That is not a helpful response for the independents in the ice-cream distribution industry who have been waiting months for the report, which has been completed. I have one such distributor in my constituency. What message can I take back to that gentleman—the appropriately named Mr. D. Frost—whose business is suffering? Does the Minister agree that the Wall's stranglehold is anti-competitive and not in the interests of consumers and retailers?

Mrs. Liddell

I am sorry that the hon. Gentleman finds my reply unhelpful, but it is the only one I can give. I am sure he is well aware that a number of companies in the ice-cream market are publicly quoted and I therefore cannot give any indication in the House on market-sensitive matters. The publication of the report is market sensitive. The Government are well aware of the difficulties, and I congratulate him on his endeavours, but he should know that it is not in the interests of the ice-cream industry to make statements in the House that could destabilise the market.

Mr. David Drew (Stroud)

Much as I would welcome the publication of the report, does my right hon. Friend agree that there will be major repercussions for British jobs and the way in which customers perceive their ice-cream? There is no reason why we cannot have stability in the market, even though we need the report to be published as soon as possible.

Mrs. Liddell

My hon. Friend makes a good point. He, too, has been vociferous on the matter, and all his points will be taken into account when the report is published.

Mr. Nick Gibb (Bognor Regis and Littlehampton)

Under the Competition Act 1998, a company can be fined up to 10 per cent. of its annual turnover. Out of the blue last August, the Government announced that that could apply to three years' annual turnover, effectively tripling the fine to 30 per cent. Was that always their intention, before and during the passage of the 1998 Act, or is it a new policy departure?

Mrs. Liddell

In all their deliberations on competition, the Government take into account best practice and the best possible conclusions that we can reach to achieve a truly competitive market. The hon. Gentleman of all people should know that it is very important to ensure that adequate and proper competition is in place in the United Kingdom.

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