OFT urged to permit action on alcohol pricing
3 Mar 08
MP says competition laws must not stop retailers setting responsible prices
Stopping the sale of cheap alcohol in supermarkets to tackle Britain's "booze culture" will need government intervention because of competition rules, according to retailers.
Now the Office of Fair Trading has been called on to co-operate in clarifying its position in the public interest.
MP Nigel Griffiths, a former minister with responsibility for competition and consumer affairs, is to meet OFT representatives today to press his case. Mr Griffiths said yesterday that supermarkets must end the practice of selling some alcohol cheaper than bottled water. Scotland's Justice Minister Kenny MacAskill has also pressed the supermarkets to take action.
Tesco has said it is willing to discuss responsible alcohol pricing with the government, but that competition rules prevent supermarkets as a whole working together to fix prices.
Mr Griffiths said retailers had indicated that they needed a "note of comfort" from the OFT before taking any further steps. He said it was time for the OFT to show that it sided with the public interest.