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Supermarket Regulator

My hon. Friend is right. That would be most helpful and welcome, and perhaps one of the things that the independent regulator could do. What would the independent regulator do? He or she would be able to take independent confidential evidence, which Ministers cannot do because every day they have to deal with both sides of industry. It is important that we have a figure and a body that is seen to act with integrity when dealing with such situations. The supermarket regulator could consider loyalty payments, slotting fees, which are charged to buy shelf space, fees charged for artwork and the repackaging of products, and the way in which supermarkets like to manage the public statements of their suppliers. A supermarket regulator could consider the concept of ““reasonableness”” in the contract terms that are agreed—if any are—between the suppliers and the supermarkets. The renegotiation of those contracts should be determined absolutely by price and quality of service. The president of the National Farmers Union Scotland, John Kinnaird, said:"““The public silence amongst supermarket’s suppliers speaks volumes. It is of absolutely no surprise that the OFT has received virtually no evidence of breaches of the Supermarkets Code of Practice. Many of the companies that we contacted required repeated assurances from us that any comments they made would never be attributed to them. That kind of fear within the food supply chain is totally unacceptable. An independent regulator is required to police the trading environment. It needs power to act””." This morning I met the Under-Secretary of State for Trade and Industry, my hon. Friend the Member for Bradford, South (Mr. Sutcliffe), who is responsible for consumer affairs. He would have responded to the debate but, as the House knows, he is in Brussels because we hold the presidency of the EU and he has business there. My hon. Friend said to me on a personal basis, not a ministerial basis, that he supported establishing an independent regulator, but that it is not the Government’s policy to do so. He also said that he saw what was happening from his experience in Bradford and that his Department had been dealing with the issue for 25 years. That honesty and openness is refreshing among Ministers. I believe that, after 25 years, it is time to act. I had a good meeting with my hon. Friend, and he was prepared to listen. That is half the battle. With a turnover of £37 billion, Tesco ranks about 53rd in the World Bank’s listing of 184 national economies, putting it ahead of Bolivia, Belarus and Bulgaria combined. In the very near future, we will discuss scrapping our Sunday trading laws, which Tesco and others already breach. When people go to the Tesco Express near me on a Sunday night, it is not just to buy petrol and to pick up a bag of sweets, as in the old days, but, in many cases, to do their weekly shopping because the main supermarkets closed at 5 o’clock. Opening hours become yet another obstacle for smaller independent retailers and another aspect of competition difficulty. Having one or a few dominant players in a market goes against all theories of healthy competition and will, in the end, affect consumers and the supply of goods. I believe I speak on behalf of many when I argue that the British people want a diverse market, with a variety of choice—something that will not happen if we only have one option, which is Tesco. I hope that the Government heed the call from hon. Members on both sides of the House for the appointment of a supermarket regulator. It is vital that something is done before it is too late.