Tesco launches legal challenge to competition test

Tesco today confirmed it had lodged its challenge to the commission's proposal to introduce a “competition assessment” into the UK planning system.

It argues that the competition test does not remedy the adverse effect on competition identified by the commission.

Tesco's corporate and legal affairs director, Lucy Neville-Rolfe, said: “We are pleased that once again, the commission has found that the groceries sector is broadly competitive and delivers a good deal for customers.

“We are appealing on just one aspect of the final report and remedies.

“The competition test would not address the planning barrier identified. Perversely, it would introduce another barrier into the planning process.

“The bureaucracy involved would increase delays and costs - and could even jeopardise long term regeneration schemes - at a time when Tesco is working hard to keep prices low for customers.

“Planning decisions should be taken by local people who understand what their community needs, and it is a matter of principle to Tesco that customers, not regulators, should decide where we shop.”