Allowing Somerfield to be sold off to one or more of the Big Four multiple retailers would deals a major blow to competition in the market and further reduce consumer choice, the Association of Convenience Stores (ACS) has warned.
Reacting to this morning’s news that Somerfield’s owners had put it up for auction, ACS chief executive James Lowman said: “We have warned about the repercussions of further acquisitions in the UK grocery market.
“It is this ongoing consolidation of the market into the hands of just four companies that reduces the opportunity for businesses to enter and grow in the market.
“The lack of choice and diversity that this presents now and in the future is a major blow to consumer interests.”
Lowman added: “The competition authorities should not allow the sale of Somerfield to an existing Big Four retailer as this will further entrench their dominance of the market.
“Nor should the authorities allow a fire sale whereby hundreds of shops are sold to the existing dominant retailers. The end result of either is reduced choice for consumers.”
