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MARKET REPORT

UK competition watchdog targets Aldi and Lidl land agreements

Executive takeaway

The Competition and Markets Authority has proposed new restrictions on land agreements used by Aldi and Lidl, extending rules that already apply to larger UK grocers.

The UK's Competition and Markets Authority has proposed bringing Aldi and Lidl within restrictions on the use of land agreements that can block rival supermarkets from opening nearby. The existing regime, which limits exclusivity clauses and restrictive covenants on retail sites, applies to the country's larger grocery chains. The discounters have gained substantial share of the UK grocery market over the past decade, and the proposal reflects the regulator's view that their scale now warrants the same treatment. The measures are at the proposal stage and subject to consultation.
Wire sources cited

Produced automatically by the INDY NEWS Desk from the public wire sources cited above, and checked against them before publication. Market commentary, not investment advice.