Key Points
- The Australian Competition and Consumer Commission has been given an additional $30 million to target supermarkets.
- The watchdog has an investigation on supermarket pricing underway.
- The rising costs of supermarket goods has meant Australians are struggling to afford food.
The Australian Competition and Consumer Commission (ACCC) will be given a $30 million boost to crack down on “unfair” practices by supermarkets and retailers.
Prime Minister Anthony Albanese said he has put the supermarket giants on notice over their “dodgy practices”.
“We don’t want to see ordinary Australians, families and pensioners being taken for a ride by the supermarkets, and we’re taking steps to make sure they get a fair go at the checkout,” he said.
The extra money will help the ACCC complete more investigations and enforcement.
It will aid the consume watchdog in monitoring behaviour and investigating concerns about falsely justifying higher prices.
Treasurer Jim Chalmers will also work with the states and territories to reform planning and zoning regulations to make the supermarket sector more competitive by opening up more sites for new stores.
“We’re taking decisive action to help Australians get fairer prices at the supermarket checkout, in stores and online,” he said.
“More funding for the ACCC will help to make pricing fair, boost competition and make sure that there are significant consequences for supermarkets who do the wrong thing.”
Current planning regulations are being viewed as a barrier to competition by stopping business entry and expansion.
Households have been struggling under the weight of cost of living pressures as inflation sticks and mortgage repayments remain high.
Labor is hoping hip-pocket pain will be relieved through the Reserve Bank cutting rates ahead of the federal election, due to be held by May 2025.
The ACCC announced last week it was taking through discount pricing claims.
The government also released a new mandatory Food and Grocery Code for consultation, which would impose multi-million dollar penalties on companies for serious breaches.