North hit hardest by Sainsbury’s-Asda merger

North hit hardest by Sainsbury’s-Asda merger
News RN Asda Sainsburys
Login or register to save this article

Retailers across the north of England will be hit hardest if the Competition and Markets Authority (CMA) allows the Sainsbury’s and Asda merger without disposing of stores. 

In its latest findings on the proposed merger, the CMA identified 65 towns and cities across the UK where there would be a “substantial lessening of competition” if the two multiples successfully combined. This would give the combined business a significant competitive advantage in affected areas. 

According to the CMA, the north made up 54% of the 65 affected areas. 

The next worst-affected areas from the Sainsbury's-Asda merger were the south (23%), Midlands (12%), Scotland (4%), Wales (3%) and Northern Ireland (1%). 

Stuart McIntosh, chair of the independent group investigating the Sainsbury's-Asda deal, said: “We have provisionally found that, should the two merge, shoppers could face higher prices, reduced quality and choice, and a poorer overall shopping experience across the UK.

“We also have concerns that prices could rise at a large number of their petrol stations.”

More recent news: Facebook refuses to remove tobacco post

By Alex Yau Avatar
By Alex Yau 28 Feb, 2019

Comments

2 comments
  • By Steve Dixon 01 Mar, 2019
    Reply

    Never going to happen.... Asda to Venture Capitalists asWalmart clearly want to get out of UK and JSmerger was a winner for them....

  • By Peter Jones 01 Mar, 2019
    Reply

    Probably going to be blocked anyway.

Have you seen a boost in own-label products in the past year?

Make the most of betterRetailing.com

You know your shop better than anyone. Now you can decide exactly what news, advice and retailer case studies that you want to see to help you improve your business.

Subscribe to personalise your content Already have an account? Login