Groceries Code Adjudicator

Rachel Gilmour Excerpts

Tuesday 25th February 2025 Westminster Hall

[David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)]

I beg to move,

That this House has considered the Groceries Code Adjudicator.

It is a pleasure to serve under your chairmanship, Mr Twigg.

There is a deep unfairness at the heart of our food system. That unfairness stems from the power imbalance between producers and retailers. At one end, the retailers we buy our food from are making huge profits. Last year, the big four supermarkets saw a 97% increase in their profits: Tesco made £2.3 billion, Asda made £1.1 billion and Sainsbury’s made £701 million. That is enough to convince anyone that there is enough money in the till to go around.

As we know, food prices have soared since 2022, yet Welsh farming incomes are actually falling. That is a sign of a food system that generates huge profits for the supermarkets and the big retailers, while the producers at the other end suffer what they must. Farmers and growers carry the risks of food production but do not receive a fair share of the rewards. The people who grow our food deserve to earn a decent living. That is why the Liberal Democrats will keep campaigning to level the metaphorical playing field for farmers.

[Rachel Gilmour (Tiverton and Minehead) (LD)]

The Groceries Code Adjudicator was established by my party, the Liberal Democrats, during that sad time in Government. It was an extremely important achievement designed to protect the interests of farmers and food producers. Some hon. Members will know of my background as a director of the National Farmers Union, and my constituency of Tiverton and Minehead is home to some 1,600 farmers. In recognising that farmers are the lifeblood of the rural economy, would my hon. Friend agree that the GCA’s resources and scope must be expended to ensure it can exercise its investigative powers and correct the imbalance between our farmers and the big supermarket chains?

[David Chadwick]

I thank my hon. Friend for highlighting the achievements of the Liberal Democrats in power, particularly the fact that we have a long record of standing up for rural communities. The physical hills that Welsh farmers have to climb are getting steeper. Energy and fertiliser costs are rising, subsidy schemes are changing and farm incomes are falling. To make matters worse, the Government’s family farm tax threatens to further strain their livelihoods. Those are just a few of the battles that farmers face. Their industry deserves a fair market, and it is for that reason that the Liberal Democrats introduced the Groceries Code Adjudicator during the coalition years.