Talking Tesco: UK Competition Commission

OFT refers Tesco's acquisition of Slough Co-Op store to the CC - our comments

This is a perverse outcome of the competition rules. It will create further delay and uncertainty for shoppers in Slough, the vast majority of whom we know from our surveys to be happy with their experience of food shopping.

We have always intended to redevelop and sell the Co-op site and that remains our intention. We have potential purchasers but they are not regarded by the OFT as one-stop operators. Indeed, the Safeway rules mean that many of the operators already present in the area - Asda, J Sainsbury, Marks & Spencer - appear not to be eligible purchasers.

The Competition Commission are already conducting a major inquiry and this unintended outcome of their rules will no doubt be given a fresh look.

19/04/2007