Groceries Code Adjudicator Bill [Lords]

Eilidh Whiteford Excerpts

Tuesday 26th February 2013 Commons Chamber

[Dr Eilidh Whiteford (Banff and Buchan) (SNP)]

The hon. Gentleman makes the point about the markets in which the supermarkets operate, but does he at least concede that the power imbalance between the supermarket and the supplier is often very unfair, and that supermarkets have consistently pushed the costs and risks of doing business on to the supplier at the end of the food chain?

[Philip Davies]

No, I do not agree with that at all. I will come on to this point in a bit more detail soon, but the hon. Lady is forgetting something. The big supermarkets, without a shadow of a doubt, are massive companies that have hundreds of stores in their chains. By definition, a viable supplier to a supermarket chain has to be a very big company as well, otherwise it would not have the wherewithal to supply all the supermarket’s branches. When I get to the detail of my new clauses, I will talk about the thresholds that the Bill should apply. She will see that far from it being the case that vast supermarkets are being awful to very small suppliers, many of the suppliers are bigger than the supermarkets that they are supplying. She ought to bear that in mind.

--- Later in debate ---

[Philip Davies]

I am grateful to my hon. Friend, who knows a great deal about this subject.

If people want to transfer money to suppliers either, in their idealistic world, from supermarkets or, in the real world, from their constituents, and if they think that a price worth paying, let them say so. If they reject my new clauses, however, I want them to be clear with their constituents about whom they are benefiting as a result of higher prices and who they will be paying their higher prices to. My hon. Friend the Member for Fylde (Mark Menzies) listed a few of them, but I will give a more extensive list, with your permission, Mr Speaker. We are talking about companies such as Esso, which supplies petrol to supermarkets. Do supporters of the Bill really want to help Esso, which is far bigger than any supermarket chain? Is the purpose of the Bill to enable Esso to go along with its complaint to the adjudicator, so that the adjudicator can faff about looking at a complaint from Esso about Tesco or Asda? Is that what the Bill is all about?

[Dr Whiteford]

The hon. Gentleman’s argument, to which I am listening carefully, seems to have been predicated on the premise that there is no problem, so why on earth would there be a problem between these big corporations?

[Philip Davies]

I will try to put it more simply for the hon. Lady’s benefit: I do not agree with the Bill, as I think I made abundantly clear—I did not want to mislead anybody. If we are to have a Bill, however, I want it to focus on the people I think she had in mind when she decided to support the Bill. If anybody wants to intervene and say that when they had the idea of supporting the Bill, the first company they had in mind was Esso, let them do so.