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Grocers called to Downing Street for food prices summit

Grocers called to Downing Street for food prices summit

Darling wants grocers to help curb food prices

Chancellor Alistair Darling has summoned supermarket chiefs to a meeting at Downing Street today to discuss soaring food prices.

The British Retail Consortium, National Farmers Union and commodity traders will also attend the summit, The Times reported.

Darling is concerned that rising food prices are creating inflationary pressure and that the poor have been worst hit.

Research by Ernst & Young has shown that the spiralling cost of food and energy was responsible for more than half of the UK's 3 per cent inflation rate. Dependent upon this year's wheat harvest, more food prices rises are possible.

Executives from Tesco and Asda will attend today's meeting. Sainsbury's will be represented by the British Retail Consortium.

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Reader Response

Added: Thursday, 22 May 2008 11:54 BST
Ian Middleton, Kidlington, United Kingdom

Is it just me or does Mr Darling's plea sound a bit rich when his government never seems to lose an opportunity to add to the retailers costs?

The recent backdoor proposals to allow local councils to further load the already crippling rates burdens on businesses being just the latest in a long line of costs directly attributable to the current incumbents. In the last few years we've also had SDLT, the removal of void rates relief, above inflation increases in the minimum wage, and a u-turn on lease reforms.

If Mr Darling really wants to help reduce prices at the tills maybe he should consider how spiralling overheads that are within his direct control impacts on the consumer.


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