Rachel Reeves is trying to impose price caps on supermarkets in backroom negotiations, according to the FT. UKSSR…
The Treasury is pressuring major supermarkets to voluntarily cap prices on essentials. Rachel Reeves is said to be hoping to announce the policy alongside a cost-of-living package on Thursday. In exchange Labour is offering regulatory “incentives” including easing packaging rules and delaying healthy food regulations…
Supermarkets are obviously furious and describing it as a knee-jerk reaction to the SNP’s similar scheme, which has been roundly dismissed as a 70s-style gimmick. Reeves has also also demanded guarantees that farmers wouldn’t lose income from the caps. Has everyone at the Treasury with an economics degree been locked in the cellar?
Paula Barker, Liverpool Wavertree MP backing Andy Burnham, told Times Radio there wouldn’t be trouble from the markets under Burnham:
“The markets will have to fall in line.”