Groceries Code reporting needs more transparency

A lack of transparency in retailer reporting is making it difficult to assess if the Groceries Code is having any effect, according to the British Brand Group.

The group, which represents well-known brands, has called on the Office of Fair Trading (OFT) to increase the level of detail required from retailers.

Retailers are required to report to the OFT on alleged and actual breaches of the code, as well as disputes and their outcomes.

However, most retailers did not quantify these or give any detail on dispute outcome other than whether it had been resolved or not.

Reports published last year by the top 10 biggest supermarkets, covering the 2012-13 period, gave a woefully small level of detail about code compliance, yet did not fall short of what retailers were required to do, said John Noble, director of the British Brand Group. A lack of clarity in the Groceries Code Order (GSCOP), which determines how retailers should report, was to blame he said.

“The retailer reports are not as transparent as we would have liked,” said Mr Noble. “I’m not surprised they are giving as little detail as possible, but it does make it difficult to judge to what extent the existing code is having an effect.

“The GSCOP Order is vague on what must be included in these summaries. We have suggested to the OFT that it would be helpful to have consistency between retailer reports and that information should be quantified where possible, including quantifying alleged and actual breaches, and number of disputes each year.”

Grocery code courses

The British Brand Group is running courses for those who supply supermarkets, on what their rights are under the Groceries Code. Visit the British Brand Group website or telephone Mr Noble 01730 821 212.