§ Jim DowdTo ask the Secretary of State for Trade and Industry (1) if she will ask the Competition Commission to reopen its investigation into competition in the retail industry conducted in 2000; [175759]
(2) what research has been undertaken into the practice of below cost selling in the grocery industry since 2000; [175760]
(3) what plans she has to commission research into the impact of below cost selling in the U K retail industry. [175761]
§ Mr. SutcliffeThe Competition Commission investigation in 2000 did not look at the retail industry generally. It was a specific investigation into the supply of groceries from multiple stores. The Commission's report found that the practice of below cost selling, when carried out by companies with market power, did operate against the public interest but that remedies would be disproportionate to the adverse effect. The Commission therefore did not recommend any action in this regard.
It is for the competition authorities to decide if a market investigation into the retail industry is now needed or if further research on below cost selling is required.