Groceries Code Adjudicator

Last updated

Groceries Code Adjudicator
Ombudsman overview
Formed25 June 2013;10 years ago (2013-06-25) [1]
Jurisdiction
Headquarters7th Floor, The Cabot
25 Cabot Square
Canary Wharf
London
E14 4QZ
United Kingdom [3]
Employees4.6 full time equivalents [4]
Ombudsman executive
  • Mark White, Groceries Code Adjudicator [3]
Parent department Department for Business and Trade
Website gov.uk/government/organisations/groceries-code-adjudicator OOjs UI icon edit-ltr-progressive.svg

The Groceries Code Adjudicator (or Supermarket Ombudsman [5] ) is an independent statutory office responsible for enforcing the Groceries Supply Code of Practice and to regulate the relationship between supermarkets and their direct suppliers within the United Kingdom. The post was created by the Groceries Code Adjudicator Act 2013 and is an independent office within the Department for Business and Trade.

The UK Competition Commission (as of 1 April 2014 the Competition and Markets Authority (CMA) undertook an investigation of grocery retail in 2009, and recommended that government establish an ombudsman for the sector. [6] The Groceries Supply Code of Practice applied initially to ten retailers with an annual turnover of £1bn+, namely Tesco, Co-op, Sainsbury’s, Marks and Spencer, Asda, Lidl, Morrisons, Aldi, Waitrose, and Iceland. On 9 February 2022, the CMA announced that Amazon.com would also be included with effect from 1 March 2022. [7]

Trade magazine and website Retail Week reported that in response to calls for submissions to the Competition Commission investigation, major UK retailer Aldi supported the establishment of a retail ombudsman, while Tesco, Sainsbury's, and a number of other major retailers did not support its establishment. [8]

In January 2013 Christine Tacon was appointed to the role for a four-year period. [9] Her first investigation, announced on 5 February 2015, looked into the supply chain activities of Tesco plc. [10] The investigation found that Tesco had breached the delayed payment provisions of the Code, but in respect of the rule that no payments should be required from suppliers for better positioning of goods unless in relation to promotions, no evidence of a breach was found. [11]

The Adjudicator publishes interpretative guidance on the Code of Practice, best practice statements and details of retailers' voluntary commitments [12] and arbitrates in disputes between retailers and suppliers.

Related Research Articles

Tesco plc is a British multinational groceries and general merchandise retailer headquartered in Welwyn Garden City, England. The company was founded by Jack Cohen in Hackney, London in 1919. In 2011, it was the third-largest retailer in the world measured by gross revenues and the ninth-largest in the world measured by revenues. It has shops in Ireland, the United Kingdom, the Czech Republic, Hungary, and Slovakia. It is the market leader of groceries in the UK.

Safeway Limited is a British groceries brand, and former chain of supermarkets and convenience shops. The British Safeway was founded in 1962 by the American Safeway Inc., before being sold to Argyll Foods in 1987. It was later listed on the London Stock Exchange. It was purchased by Morrisons in March 2004. Most of its 479 shops were rebranded as Morrisons, with others being sold. Safeway-branded shops disappeared from the United Kingdom on 24 November 2005.

<span class="mw-page-title-main">Morrisons</span> British supermarket chain

Wm Morrison Supermarkets Limited, trading as Morrisons, is the fifth largest supermarket chain in the United Kingdom. As of 2021, the company had 497 supermarkets across England, Wales and Scotland, and one in Gibraltar. The company is headquartered in Bradford, England.

<span class="mw-page-title-main">Sainsbury's</span> British supermarket chain

J Sainsbury plc, trading as Sainsbury's, is a British supermarket and the second-largest chain of supermarkets in the United Kingdom, with a 14.6% share of UK supermarket sales in September 2022.

<span class="mw-page-title-main">Waitrose</span> British supermarket chain owned by John Lewis Partnership

Waitrose Limited, trading as Waitrose & Partners, is a brand of British supermarkets, founded in 1904 as Waite, Rose & Taylor, later shortened to Waitrose. It was acquired in 1937 by employee-owned retailer John Lewis Partnership, which still sells groceries under the brand. Its head offices are located in Bracknell, Berkshire.

<span class="mw-page-title-main">Aldi</span> German multinational discount supermarket company

Aldi is the common company brand name of two German multinational family-owned discount supermarket chains operating over 12,000 stores in 18 countries. The chain was founded by brothers Karl and Theo Albrecht in 1946, when they took over their mother's store in Essen. The business was split into two separate groups in 1960, that later became Aldi Nord, headquartered in Essen, and Aldi Süd, headquartered in Mülheim.

Kwik Save is a British convenience store chain. Prior to 2007, it was also a discount supermarket chain that had shops across the United Kingdom. It went into administration in July 2007, but was brought back in April 2012. Its shops were small to medium-sized high street supermarkets, mainly located in areas with below average incomes.

In the Republic of Ireland, the retail sector provides one of the largest sources of employment in the economy, representing over 12% of the workforce. As of 2017, approximately 40,000 wholesale and retail businesses employed almost 280,000 people in Ireland, with the Department of Enterprise, Trade and Employment reporting that 90% of these businesses were Irish-owned.

<span class="mw-page-title-main">Category management</span> Concept in retailing

Category management is a retailing and purchasing concept in which the range of products purchased by a business organization or sold by a retailer is broken down into discrete groups of similar or related products. These groups are known as product categories. It is a systematic, disciplined approach to managing a product category as a strategic business unit. The phrase "category management" was coined by Brian F. Harris.

<span class="mw-page-title-main">Shoprite (Isle of Man)</span> Former Manx supermarket chain

Shoprite Limited was a community food store chain in the Isle of Man. It was a wholly owned subsidiary of Isle of Man Enterprises plc, until Tesco announced its purchase of the business on 9 October 2023.

<span class="mw-page-title-main">Criticism of Tesco</span>

Criticism has been directed at Tesco from various groups, including national organisations, trade bodies, individuals, consumer groups and watchdogs, particularly since the early 2000s.

<span class="mw-page-title-main">Co-op Food</span> British brand of consumer co-operative supermarkets

Co-op Food is a brand used for the food retail business of The Co-operative Group in the United Kingdom.

Tesco Town is British slang for an area where one retailer has large market share. Although the term references the Tesco chain of stores, it can be used to describe any area dominated by one particular retailer.

In the United Kingdom, it is common practice for retailers to have their own value brand in an effort to compete on price. These brands have become more popular in the UK with shoppers since the Great Recession caused food prices to rise.

Express pricing is a form of price discrimination where, in a reverse of economies of scale, retailers raise their prices slightly in smaller stores. The name of it originates from Tesco Express, but it can be used to apply to any retailer operating a similar policy. A 2018 Inside Out investigation found that some Express prices were 178% more than their non-Express counterparts. According to Sainsbury's, this can be attributed to discrepancies in "operational requirements and running costs. Rents, for example", it being "more of a challenge to deliver products to our local stores" and "other factors such as staffing, local rates and a focus on convenience products".

<span class="mw-page-title-main">Dark store</span> Retail outlet that only focuses on online shopping

A dark store is a retail outlet or distribution centre that exists exclusively for online shopping. A dark store is generally a large warehouse that can either be used to facilitate a "click-and-collect" service, where a customer collects an item they have ordered online, or as an order fulfillment platform for online sales. The format was initiated in the United Kingdom, and its popularity has also spread to France followed by the rest of the European Union and Russia, as well as to the United States.

Christine Mary Tacon CBE is a British government administrator. Tacon was the United Kingdom's first Groceries Code Adjudicator.

Prompt payment is a commercial discipline which requires businesses to:

<span class="mw-page-title-main">Groceries (Supply Chain Practices) Market Investigation Order 2009</span> UK statutory instrument

The Groceries Market Investigation Order 2009 is a statutory instrument of the Parliament of the United Kingdom.

References

  1. "Groceries Code Adjudicator powers come into force". Practical Law. Thomson Reuters. 27 June 2013. Retrieved 21 July 2021.
  2. "Groceries Code Adjudicator Act 2013, section 24". legislation.gov.uk. The National Archives. 2013. Retrieved 21 July 2021.
  3. 1 2 "Groceries Code Adjudicator". GOV.UK. Retrieved 21 July 2021.
  4. Groceries Code Adjudicator Annual Report and Accounts 2020-2021 (PDF). Dandy Booksellers Limited. 25 June 2021. ISBN   978-1-5286-2606-4 . Retrieved 21 July 2021.{{cite book}}: |website= ignored (help)
  5. "Christine Tacon named as supermarket ombudsman". BBC News . 21 January 2013. Retrieved 7 August 2023.
  6. "Competition Commission calls for retail ombudsman". The Daily Telegraph . 4 August 2009. Retrieved 20 April 2014.
  7. "Notice of Designation for Amazon.com Incorporated". GOV.UK. Retrieved 7 August 2023.
  8. Faithfull, Mark (5 June 2009). "Waitrose gives last-minute show of support for retail ombudsman". Retail Week . Emap International Limited . Retrieved 20 April 2014.
  9. "Christine Tacon CBE". GOV.UK. Retrieved 7 August 2023.
  10. "Tesco knowingly delayed payments to suppliers". BBC News. 26 January 2016. Retrieved 7 August 2023.
  11. Groceries Code Adjudicator, GCA Investigation into Tesco plc, published 26 January 2016, accessed 23 May 2024
  12. "GCA policy: Interpretative guidance, best practice statements and retailer voluntary commitments" (PDF). GOV.UK . March 2016. Retrieved 7 August 2023.