Groceries Code Adjudicator Bill [HL]

Lord Palmer Excerpts

Tuesday 22nd May 2012 Lords Chamber

[Lord Palmer]

My Lords, in principle, I do not think that we need more quangos. However, I, too, welcome the Bill and congratulate the noble Baroness on her fluent and succinct introduction, which was done with her usual charm and flair.

From my earliest memories I have been involved in the food chain, initially as a prime producer and then as a biscuit manufacturer. I have now done a full circle; I farm in one of the most beautiful parts of the country, the Scottish Borders. I am delighted to see that the Bill applies to Scotland. I also own a shop, mainly selling souvenirs and biscuits, with a tiny turnover of approximately £4,000 per annum. I also declare an interest as a member of the National Farmers’ Union of Scotland.

It is important to realise how incredibly cheap food is today. The noble Baroness, Lady Parminter, made this point: 45 years ago, 40% of the national wage went on food; today, it is just under 8%, which is a huge difference. Twenty years ago, as a farmer I was selling malting barley for £160 per tonne, the same as I got two years ago, despite the price of fertiliser tripling from 20 years ago and the price of fuel nearly quadrupling. These are grim statistics that emphasise the huge powers that the supermarkets have. Perhaps more importantly, however, prime producers are being squeezed, and hopefully this is where the Bill will make a difference.

While not wishing to throw a spanner in the works, I would be interested to know why the noble Baroness thinks that “groceries code adjudicator” is the correct term. Some influential organisations have said that perhaps a better and more understandable title would be “supermarket ombudsman”. I am sure that that would make more sense to those who shop in supermarkets and to those who supply them. When the noble Baroness winds up the debate, will she inform the House of the exact logistics of how this very important person will be appointed?

As other noble Lords have mentioned, the adjudicator must have real teeth. He, or she, must be able to levy realistic financial penalties from its very inception. As other noble Lords have also mentioned, in that all the main political parties believe in its conception I wish the Bill all speed and hope that it can become law before the end of the year rather than, as rumour has it, not until next year.