Commission says supermarkets should face competition test
Planning Resource, reports today 30 April 2008 :
A competition test should be introduced in the planning system to prevent large grocery stores dominating some areas, the Competition Commission said in its final report on the grocery market, published this morning.
Confirming the recommendation made in its remedies statement, published in February (Planning, 22 February, p2), the commission also said it is taking action to prevent retailers using restrictive covenants in areas of high concentration.
Large grocery retailers will be required within six months to release the 30 existing restrictive covenants in highly-concentrated local markets identified in the report.
The commission recommended that Office of Fair Trading (OFT) should become a statutory consultee to planning authorities on all planning applications for grocery stores, including new stores and extensions, that would result in a net sales area in excess of 1,000m2.
The OFT would advise authorities on whether a retailer has passed or failed the competition test.
The report is available at http://www.competition-commission.org.uk/rep_pub/reports/2008/538grocery.htm
Search for news
Tynetown is a service provided by North Tyneside Council
Developed by Squarepage