Street markets versus supermarkets
A recent report by the think-tank 'the New Economics Foundation' (NEF) indicated that planning decisions that favour the building of huge outlets over established smaller markets could result in fewer jobs and less choice for local communities. NEF research suggests that local street markets generate twice as many jobs as big supermarkets and sell some goods at half the price of the supposedly cut-price retail giants.
The report found that an average basket of goods bought at Queen's Market in London was 53 per cent cheaper than at the nearest Asda supermarket. Opponents of the retail giants believe the growing popularity of independent markets selling locally sourced or unusual produce is gradually turning public opinion against the "big four". The Competition Commission* has launched a full inquiry into the £95bn grocery sector after accusations that the big supermarkets are abusing their power by selling goods below cost. The "big four" in Britain - Asda, Sainsbury, Tesco and Morrisons - control 75 per cent of the sector.
There has been a growing backlash against retail giants such as Tesco and Asda, amid concerns that independent traders are being forced out of business by practices such as exploiting staff by undercutting wages. The big supermarkets and their supporters have always claimed that they create more jobs, offer consumers more choice and keep food prices down.
Many UK consumers want new laws brought in to curb the power of the big supermarket chains. Campaigners are concerned at the proliferation of huge out-of-town supermarket retail sites as well as the huge number of former corner shops that have been bought up and rebranded as Tesco Metro or Sainsbury Local stores. The number of independent corner shops now makes up less than half of the convenience store sector.
Guy Rubin, the author of the NEF report, is reported to have said that the irony was that planning decisions were often taken which actually impoverish local communities and economies. They can also reduce consumer choice, and undermine the small enterprises that shoppers favour, and which prevent the UK from turning into a nation of clone towns. The NEF is putting forward the view that small street-markets could be advantageous from the point of view of creating employment and providing a wider range of goods.
*The Competition Commission is an independent public body which conducts in-depth inquiries into mergers, markets and the regulation of the major regulated industries. It was previously called the Monopolies and Mergers Commission
To read about their reports on their website
