The UK Government has just announced that it will set up a supermarket ombudsman to enforce the Groceries Supply Code of Practice (GSCOP) and curb the power of the big supermarket chains.

Mark said:

"This is a very welcome move. It will help farmers, suppliers and producers, but also support local shops.  The power supermarkets wield is enormous and a regulator can help restore a level playing field.

"Many parts of Scotland have a fine tradition of independent suppliers and retailers.  This is good news for them."

The enforcement body will work towards striking a balance between on the one hand farmers and food producers getting a fair deal and on the other supermarkets offering consumers quality products at affordable prices.

The code will also work to ensure free and fair trade competition takes place so that supermarkets aren’t allowed to dominate to the extent of driving smaller shops out of the marketplace.

Over the past year, the UK Government has introduced a series of measures to support small businesses including shops such as free business advice, allowing them to defer paying tax and extending the length of time for which losses can be offset against tax.

Of course, we all use supermarkets and they haven’t just appeared on the high street – some of our supermarket chains go back over a hundred years.

However, after an investigation, the Competition Commission found that that large grocery chains were passing on excessive risks and unexpected costs to their suppliers and recommended a body be set up after supermarkets rejected voluntary measures.

In recent years they have also greatly expanded the range of products they offer to include many products which used to be the domain of smaller, specialist shops.
We need to support farmers and ensure they get a reasonable price for their produce rather than being forced to cut their margins continually faced with the demands of large supermarkets.

We must also make sure smaller shops remain a part of the high street providing a more individual service as part of the local community.