CMA blasts Morrisons and M&S for stopping rivals from opening nearby shops

Morrisons and M&S have promised to stop using unlawful agreements that prevent rivals from opening nearby shops.

The Competition and Markets Authority (CMA) slammed both firms after discovering a total of 65 agreements which limited competition. 

Landowners agreed with the retailers they would restrict their land being used by a rival supermarket – breaching legislation introduced in 2010.

Retailers can make ‘exclusivity’ agreements with landlords that prevent rival stores opening – but only for up to five years.

The CMA said Morrisons broke the rules 55 times between 2011 and 2020. M&S made ten breaches between 2015 and 2019.

Morrisons said it cooperated fully with the probe and planned to rectify the outstanding breaches quickly. 

M&S said it was remedying existing breaches and the expired ones ‘have made no practical difference to the activity of our competitors or our tenants and did not adversely affect competition’.