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The consumer watchdog today said fresh evidence has emerged in its investigation into Tesco and Morrisons over the alleged price fixing of milk, butter and cheese.
The Office of Fair Trading (OFT) made clear that it is still pursuing the two supermarkets four-and-a-half years after launching an inquiry into grocery stores and dairy groups.
Rival supermarkets Asda and Sainsbury have already admitted they were part of a dairy price-fixing group that cost shoppers an extra £270 million in higher prices.
Suppliers such as Dairy Crest and Robert Wiseman Dairies have also settled with the OFT and fines handed by the watchdog down total £116 million.
The industry claims prices were set over two years between 2002 and 2003 to help farmers after the outbreak of foot-and-mouth disease in 200, with widespread public support and political backing.
The companies also insisted that they made no extra profit as a result of the price-fixing.
Tesco and Morrisons say they were not involved but face fresh scrutiny after new evidence emerged.
“The parties that are continuing to contest the OFT's provisional findings are Morrisons and Tesco,” the watchdog said today.
“Morrisons and Tesco now have an opportunity to make written and oral representations in the response.”
Tesco executive Lucy Neville-Rolfe said: “We are helping the OFT with the next stage of this long-running inquiry. However, we have made it clear that we did not collude with anyone and that remains the position.
“We will of course look carefully at any new evidence the OFT sends to us. We will however continue to defend our position strongly.
“We always strive to give a good deal for customers and we deliver on this in a fiercely competitive market.”
Safeway also admitted colluding on the price of butter before it was bought by Morrisons.
