DTI is poised to report back on pharmacy plans

The DTI will deliver a progress report early next week on whether the£8.6 billion UK pharmacy market should be opened up to competition.

Secretary of State for Trade and Industry Patricia Hewitt has indicated she wants a 'balanced package of measures', rather than the free-for-all as proposed by the OFT.

Supermarkets could soup up pharmacy opening plans if the way was cleared.

Asda already has 82 pharmacies, but says it would like one in all 260 stores.

Investec analyst Matthew McEachran said the DTI had bought time to 'save face' at the OFT. He expected liberalisation to be rejected, with the interim possibility of minor alterations to the original licensing guidelines.