Small Business Minister has welcomed a positive
relationship change between supermarkets and their suppliers, as
she publishes the first statutory review of the
Groceries Code Adjudicator (GCA) today (19 July
2017).
The review, which considered independent findings from YouGov
alongside responses from trade associations, supermarkets and
suppliers, found that the GCA, Christine
Tacon CBE,
has been effective in exercising her powers and enforcing the
Groceries Code. Suppliers reported a positive change in their
relationship with large retailers, as well as a major reduction
in unfair trading practices. The number of suppliers who
complained about being charged to remain on supermarkets’
supplier lists fell from 30% to 9% between 2014 and 2016, while
problems with incorrect deductions from invoices fell from 47% to
30% over the same period.
A number of respondents praised Ms Tacon personally, with one
citing her “wealth of knowledge and skills”. Another commented
that she “holds an in-depth knowledge of the sector that is
hugely beneficial.
Small Business Minister said:
This review highlights the excellent work of the Groceries Code
Adjudicator over the past 3 years. It is vital that government
and the GCAcontinue working
together to prevent unfair treatment of smaller suppliers.
Poor supply chain practices have no place in an economy that
works for all, and I want to thank Christine for her
achievements in levelling the playing field and ensuring fair
treatment of suppliers and retailers alike.
Notes to editors
- Established in 2013, the Groceries Code Adjudicator,
Christine Tacon, is the UK’s first adjudicator of the groceries
industry, overseeing the relationship between the 10 largest
supermarket chains and their suppliers.
- In June 2017 Ms Tacon was reappointed for a second term in
the role, in which she is responsible for ensuring large
supermarkets treat their direct suppliers fairly and lawfully.