§ Mr. Gwilym Robertsasked the Secretary of State for Trade if he will make a study of the report by the Institute of Purchasing and Supply on the use of premium offers as an incentive to business purchasers of components and raw materials; if he will study the effects of such premium offers on competition and on consumers; and if he will make a statement.
§ Mrs. Sally OppenheimI have seen two press releases by the Institute of Purchasing and Supply on the use of premium offers. On the basis of the evidence at present before me, I do not think that a general study of the effects of premium offers on competition and on consumers is necessary.
I am advised that under the common law any employee is already required to account to his employer for any gifts which he may receive from suppliers or customers as a result of his employment and that any purchasing officer who corruptly accepts a gift from a supplier as a result of placing an order for good may be guilty of an offence under the Prevention of Corruption Act 1906.