Waitrose struck deals with landlords to shut out rivals
WAITROSE broke competition rules and acted against the interests of shoppers to prevent rival supermarkets from opening near its own stores, regulators have found.
The chain, owned by the John Lewis Partnership, signed deals with landlords barring them from leasing property to other major grocers in seven locations across England, the Competition and Markets Authority said.
The regulator found Waitrose had breached an order made in 2010 amid concern supermarkets were resorting to restrictive property agreements as part of their expansionist “race for space”.
Adam Land, at the CMA, said it was “disappointing that Waitrose has acted against the interests of shoppers, despite these rules having been in place for over 10 years.
“Families across the UK are facing the rising cost of living. Preventing other supermarkets from opening new stores could stop people saving on their weekly shop.”
Waitrose breached the rules in Bromsgrove, Rustington, Swindon, Daventry, Chester, Notting Hill Gate and Market Harborough. The CMA said five of the breaches had been resolved and two are ongoing. The mutual, which has 331 shops, has agreed to rewrite several property deals to ensure there are no future breaches.
A Waitrose spokesman said: “We’ve identified and addressed a small number of historic errors, but don’t believe we’ve enforced these to stop new shops opening.
“All of these branches are closely surrounded by other supermarkets, offering plenty of choice for customers.
“We’ve worked closely with the CMA and have now strengthened our internal processes.”
The CMA’S investigation into land deals by other supermarkets is ongoing.