§ Mr. Hardyasked the Minister for Trade when he expects the recommendation of the Monopolies and Mergers Commission, contained in its report, "Discounts to Retailers", that the Office of Fair Trading should publish guidelines covering trading relationships between buyers and sellers to be implemented; and if he will make a statement.
§ Dr. VaughanThe commission referred in its report to suggestions from some witnesses that the director general should issue guidelines for relations between buyers and sellers: and made clear that the desirability and propriety of taking such action were matters for the director general. The director general has considered carefully whether to issue such guidelines; but he has come to the view that guidelines regarding discounts would not be consistent with the obligation under the Competition Act to treat each case on its merits, or with the conclusion of the MMC report that the general effect of non cost-related discounts had not been against the public interest.
§ Mr. Hardyasked the Minister for Trade what steps he has taken to establish procedures, as recommended by the Monopolies and Mergers Commission, to investigate cases where the operation of large discounts to certain retailers may be regarded as against the public interest; and if he will make a statement.
§ Dr. VaughanAs the commission stated in its report, powers to investigate such cases already exist under the Fair Trading Act 1973 and the Competition Act 1980. The Director General of Fair Trading makes a careful examination of each case of suspected abuse of which he becomes aware, on its merits.