FSB brands grocery inquiry 'a failure'

Date: 2nd May 2008

The Federation of Small Businesses (FSB) has branded a Competition Commission (CC) inquiry into the grocery sector as "a failure".

It was suggested that the commission had not managed to come up with any solutions which would prevent small shops from going out of business as a result of competition from large supermarkets.

FSB trade and industry chairman Clive Davenport said: "Supermarkets are forcing small shops out of business in many areas of retailing, not just groceries. Important issues such as the travesty of almost limitless free parking at out of town superstores while independent high street shops face ever-more stringent parking restrictions were not even considered."

Mr Davenport said the country was in danger of "sleepwalking" into the death of thousands of small businesses and called upon the government to "step in".

Earlier this month the FSB urged local councils across the country to "rethink" their parking policies, amid fears that high charges were pushing motorists towards out-of-town shopping centres.