The proposed merger between the supermarket chains Sainsbury and Asda has been blocked this morning.
The Competition and Mergers Commission blocked the Sainsbury’s-Asda merger after finding it would lead to increased prices in stores, online and at many petrol stations across the UK.
The panel members concluded that the deal would result in a substantial lessening of competition at both a national and local level for people shopping in supermarkets. This would mean shoppers right across the UK would be affected, not just in the areas where Sainsbury’s and Asda stores overlap.
Sainsbury’s boss Mike Coupe said the regulator was “effectively taking £1bn out of customers’ pockets”.
But he said the supermarket would not appeal against the decision.