Landmark’s John Mills hits out at CMA decision to approve Tesco-Booker deal

John Mills, managing director of Landmark Wholesale, has hit out at the Competition and Market Authority’s decision to provisionally approve Tesco’s acquisition of Booker.

“We are incredibly disappointed with the CMA’s decision. This move will not increase competition, it will destroy it,“ he said.“The combined Tesco/Booker business has sales of £60 billion while the rest of the UK wholesale industry amounts to £25 billion. Other wholesalers will not be able to compete with the buying and distribution power of Tesco/Booker.

“As a result of this decision Tesco, which currently accounts for £1 in every £8 on the high street, will dominate the convenience and corner shop market and will undoubtedly now dominate the food service/out-of-home market as well.”

Mills (pictured) added: “We believe that there is a risk that thousands of jobs will disappear from family-run foodservice wholesalers and independent stores and the net impact will reduce choice for consumers and communities, a point that seems to have been totally lost to the CMA.”

The challenge is now for Landmark, and others, to work harder than ever to find better, smarter and more efficient ways of buying and working, said Mills. “We will continue to work closely with our members to ensure that we provide them with the best possible trading platform to compete in this changing and increasing competitive marketplace,” he stated.