Tesco Clubcard under fire: Supermarket reported to regulator amid allegations offers lack transparency
A consumer group has reported Tesco to the competition regulator as officials continue their inquiry into whether the grocery sector is ripping off shoppers.
Which? said it had gone to the Competition and Markets Authority (CMA) to complain about a lack of clear pricing on the “vast majority” of the retailer’s food and drink promotions amid the cost of living crisis.
It claimed the UK’s largest supermarket chain could be breaking the law. Tesco has strenuously denied that suggestion.
Concerns centre on the retailer’s use of so-called unit pricing both in-store and online.
This is the small print on shelf prices which, for example, gives a price per 100g on things like jam – or per sheet for toilet rolls.
These unit prices help shoppers compare prices for the same products, which could be larger or smaller, to work out which is cheaper.
Which? wants Tesco to give unit prices on its Clubcard offers, as Sainsbury’s does under the Nectar Prices scheme. Pic: Which?
‘Tesco stands out’
Which? accuses Tesco of a lack of transparency and says that is making life more difficult for hard-pressed customers.
It said that Tesco’s decision not to display unit pricing on its Clubcard offers could be a “misleading practice” under the Consumer Protection From Unfair Trading Regulations 2008 (CPRs).
A statement added: “Under the CPRs, retailers must also avoid ‘unfair commercial practices’.
“Which? believes under these rules unit prices could be seen as ‘material information’ which most people would need in order to make an informed decision about how to get the best value from what they are buying.
“Which? has found issues with unit pricing across all supermarkets but Tesco stands out as it consistently omits unit pricing from Clubcard offers, which now account for almost all promotions it offers on groceries.”
Read more:
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There’s no evidence supermarkets are profiteering
Out of these two ketchup bottles on sale at Tesco, the smaller one under a Clubcard price is not the cheapest option per unit. Pic: Which?
Is ‘greedflation’ keeping prices high?
The group raised the complaint as the CMA investigates whether supermarkets are making excess profits through inflated prices.
The supermarket sector has denied fuelling so-called “greedflation” – while early work by Sky News on the issue suggested there was little evidence of profiteering during the first quarter of the year.
Nevertheless, food inflation has been the sticky element of the main Consumer Prices Index (CPI) measure this year, keeping the rate at a higher level than had been expected and intensifying the squeeze on household budgets.
The latest reading for food and non-alcoholic drink inflation by the Office for National Statistics (ONS) showed it was still running above 19% during the year to April.
The government is desperate to bring food inflation down as it works towards a voter pledge to halve the overall rate of inflation this year.
Ministers are considering the idea of a cap, while bringing pressure on the wider food industry to act.
The sector argues that taxpayer aid for the supply chain’s energy costs will help ease prices significantly.
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Government looks at food price cap
Tesco rejects accusation of ‘confusing’ labelling
Tesco, which is due to update the City on its trading performance in a week’s time, told Sky News it had followed all statutory guidance on the unit price issue.
A spokesperson said: “Providing great value and clear pricing is really important to us. We always take care to ensure we are compliant which is why we asked Trading Standards to review our approach on Clubcard Prices.
“They formally endorsed our labelling, confirming it meets the current legal requirements and guidelines.
“We are supportive of calls for greater clarity on the regulations in this area, in the interests of both businesses and consumers, and are actively looking at how we can make the way we display pricing even clearer for our customers.
“However, given that we are complying with all the current rules, we are disappointed that Which? has chosen to make these ill-founded claims against our Clubcard Prices scheme, which helps millions of households get great value week-in, week-out, and could save shoppers up to £351 per year.”
But Which? head of food policy Sue Davies said: “Tesco’s unclear Clubcard pricing is at best confusing for shoppers struggling with soaring food inflation and at worst, could be breaking the law.
“This is simply not good enough from the UK’s biggest supermarket.
“Tesco should think of its customers and act now to introduce clear unit pricing on all offers, including Clubcard promotions, so shoppers can easily find the best value items.”
A CMA spokesperson responded: “Our current review of unit pricing is considering the issue of how supermarkets provide unit price information for products on promotions, including loyalty promotions.
“We will set out our findings in July.”
UK
Starmer urges anyone with information on Epstein case to come forward – after Andrew misses Congress deadline
Sir Keir Starmer has urged anyone with information on the Jeffrey Epstein case to come forward after Andrew Mountbatten Windsor missed the deadline to appear in front of US Congress.
US legislators have criticised Andrew for what they describe as “silence” amid their probe into Epstein after he failed to respond to their request for an interview.
When asked about Andrew missing the deadline and whether the former prince should help the case in any way he can, Sir Keir said on his way to the G20 summit in South Africa: “I don’t comment on this particular case.”
He added that “a general principle I’ve held for a very long time is that anybody who has got relevant information in relation to these kind of cases should give that evidence to those that need it”.
Andrew is not legally obliged to talk to Congress and has always vigorously denied any wrongdoing.
Sir Keir Starmer spoke to reporters on his way to the G20 in South Africa. Pic: Reuters
It comes as Marjorie Taylor Greene, a loyal supporter-turned-critic of US President Donald Trump, said on Friday she is resigning from Congress in January.
Ms Greene’s resignation followed a public falling-out with Mr Trump in recent months, as the congresswoman criticised him for his stance on files related to Epstein, as well as on foreign policy and healthcare.
Members of the House Oversight Committee had requested a “transcribed interview” with Andrew in connection with his “long-standing friendship” with Epstein, the paedophile financier who took his own life in a New York prison in 2019 while awaiting trial on sex trafficking and conspiracy charges.
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Releasing the Epstein files: How we got here
But after saying they had not heard back, Democrats Robert Garcia and Suhas Subramanyam accused Andrew of hiding.
Their statement read: “Andrew Mountbatten Windsor’s silence in the face of the Oversight Democrat’s demand for testimony speaks volumes.
“The documents we’ve reviewed, along with public records and Virginia Roberts Giuffre’s testimony, raise serious questions he must answer, yet he continues to hide.
“Our work will move forward with or without him, and we will hold anyone who was involved in these crimes accountable, no matter their wealth, status, or political party. We will get justice for the survivors.”
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The new Epstein files: The key takeaways
It follows Andrew being stripped of his prince and Duke of York titles earlier this month.
He had previously agreed to stop using his titles, but had expected to remain a prince and retain his dukedom, ahead of the publication of the memoirs of the late Ms Giuffre, who had accused him of sexually assaulting her when she was a teenager – an accusation he denies.
A 13-year-old girl has been arrested on suspicion of murdering a woman in Swindon.
Police said the teenager was detained following an incident in Baydon Close, Moredon, in the Wiltshire town on Friday evening.
Officers responded to reports of disorder inside a house. When they arrived, a woman in her 50s living at the address was found to be not breathing. She was declared dead at the scene.
There were no other reported injuries.
Forensic officers are at the scene to collect evidence
Detective Inspector Darren Ambrose, from Wiltshire Police’s major crime investigation team, said: “This is a serious incident in which a woman has sadly died.
“We have set up a cordon at the address while an investigation is carried out.
“I can confirm that we have arrested a teenage girl in connection with this incident and we are not looking for anyone else.”
Police have asked people not to speculate about the incident online as this could prejudice the case.
A police statement read: “Residents can expect to see an increased police presence in the area while we continue carrying out our enquiries into the woman’s death.
“The suspect remains in custody at this time.”
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Police said anyone with concerns should speak with their local neighbourhood policing team, either by emailing or approaching officers in person.
Rail fares are to be frozen for the first time in 30 years, the government has announced.
Ministers promised that millions of rail travellers will save hundreds of pounds on regulated fares, including season tickets and peak and off-peak returns between major cities.
The fare freeze applies to England and services run by English train operators.
People commuting to work three days a week using flexi-season tickets will save £315 a year travelling from Milton Keynes to London, £173 travelling from Woking to London and £57 from Bradford to Leeds, the government said.
The changes are part of Labour’s plans to rebuild a publicly owned Great British Railways. Other planned changes include tap in-tap out and digital ticketing, as well as investing in superfast Wi-Fi.
The freeze applies to regulated fares, including season tickets and peak and off-peak returns. Pic: iStock
Chancellor Rachel Reeves said the government was introducing a freeze on rail fares for the first time in 30 years, which “will ease the pressure on household finances and make travelling to work, school or to visit friends and family that bit easier”.
“We all want to see cheaper rail travel, so we’re freezing fares to help millions of passengers save money,” Transport Secretary Heidi Alexander said.
“Commuters on more expensive routes will save more than £300 per year, meaning they keep more of their hard-earned cash.”
Rail unions and passenger groups welcomed the move, praising how it will make travel more affordable for passengers and promote more sustainable travel alternatives.
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Eddie Dempsey, general secretary of the Rail, Maritime and Transport union, said: “More affordable fares will encourage greater use of public transport, supporting jobs, giving a shot in the arm to local economies and helping to improve the environment.”
TUC general secretary Paul Nowak said the rail fare freeze “will be a huge relief to working people”.
“This is the right decision, at the right time, to help passengers be able to afford to make that journey they need to take, and to help grow our railway in this country, because the railway is Britain’s green alternative – taking cars and lorries off our congested roads and moving people and goods safely around our country in an environmentally-friendly way,” Mick Whelan, general secretary of the train drivers union Aslef, said.
The Tories welcomed the move but said the government was “late to the platform”.
Shadow transport secretary Richard Holden said: “In government, the Conservatives kept fares on the right track with below-inflation rises and consistently called for no further hikes to protect hard-working commuters.”
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