The Competition and Markets Authority (CMA) has today commenced its formal inquiry into the Tesco / Booker merger. More information on the inquiry can be found here: https://www.gov.uk/government/news/cma-opens-tescobooker-merger-investigation.

The first phase of the investigation runs until 25 July 2017, after which the merger will either be cleared or, if the CMA identifies a potential reduction in competition, it will be referred for an in-depth investigation lasting up to 24 weeks – unless the merging parties can offer proposals following the first phase of the investigation which address any concerns identified.

ACS chief executive James Lowman said: “Convenience stores’ ownership, operating models, supply agreements and relationships with wholesalers are often not well understood. Our role is to assist the CMA’s investigation with information about the sector and the way the market operates. The merger demonstrates the importance and relevance of the convenience sector to the modern consumer.”

The convenience sector overall is worth over £37bn annually, creating jobs for almost 400,000 people in over 50,000 stores in mainland UK.

The CMA is currently seeking views on the merger from interested parties. ACS will be making a submission to the CMA in due course.