TESCO “seriously” breached an industry code by delaying payments to suppliers, an investigation into the supermarket giant found yesterday.
Groceries Code Adjudicator Christine Tacon’s long-awaited report on Tesco’s practices revealed it had breached the legally binding code aimed at protecting groceries suppliers when it “intentionally delayed” paying suppliers and made “unilateral” deductions.
In her 84-page report, Ms Tacon made a series of recommendations to stop the practices, demanding that Tesco be more transparent in its dealings with suppliers.
No financial penalty was imposed because the adjudicator only received the power after the probe began.
Tesco group chief executive Dave Lewis apologised and said he accepted the regulator’s findings.