Newsagents push OFT to launch inquiry
16th May 2012
The National Federation of Retail Newsagents (NFRN) and the Association of Convenience Stores (ACS) are going to the Competition Appeals Tribunal in a bid to force an inquiry from the Office of Fair Trading (OFT) over newspaper and magazine prices.
According to the NFRN and ACS, there is compelling evidence to suggest that the rising cost of papers is leading to a drop in sales, thereby harming businesses across the country. The organisations have said that their application for a Competition Commission inquiry into the practice of putting up prices was rejected last year, despite the OFT apparently revealing in 2009 that they had found evidence of anti-competitive market features.
The regulatory body have since explained that the decision not to hold an inquiry was due to the fact that the newspaper and magazine industry was in a ‘state of flux’.
A group of competition lawyers with some of the leading London legal jobs have been asked to act for the trade representatives, who believe the OFT is essentially supporting an anti-competitive industry.