CMA launches coronavirus taskforce to stamp down on over-pricing
The Competition and Markets Authority (CMA) has launched a taskforce to prevent businesses from taking advantage of shoppers during the UK coronavirus outbreak.
The UK competition watchdog warned the outbreak has “prompted many concerns that businesses might exploit the situacion to take advantage of people”.
Amid stockpiling of food and toilet roll across the UK, the CMA said it would identify firms “charging excessive prices or making misleading claims about their products”.
Its taskforce will scrutinise the market for harmful pricing practices, which could include shops hiking the prices of soap, hand sanitiser and toilet roll.
“The CMA will not tolerate unscrupulous businesses exploiting the crisis as a ‘cover’ for non-essential collusion,” the watchdog added.
It follows spending data showing a huge rise in stockpiling at supermarkets. Social media has shown bare shelves at supermarkets around the UK. And yesterday Starling Bank data showed shoppers’ spending spiked last Saturday as they stocked up on groceries.
Meanwhile, warehouse stockist Costco entered Starling Bank’s most popular merchants list for the first time.
And shoppers spent 10 per cent more at Tesco supermarkets compared to previous weeks.