The Office of Fair Trading (OFT) is to re-open its investigation into the domination by Tesco of the UK grocery market.

The competition watchdog has announced its intention to look again at the Tesco position, in response to prolonged criticism from, amongst other groups, the Association of Convenience Stores, which was upset that the OFT failed to investigate complaints against Tesco in the past.

The new stance of the OFT is expected to be formalised this week in a court hearing.

The storm clouds could be gathering over Tesco, which accounts for 30 per cent of the British grocery market and £1 of every £7 spent by consumers in the country. The Department of Trade and Industry has also mooted that it will ask for a new review of the competitiveness of the supermarket business.

Topics