Friday 31 August 2007

Tesco Juggernaut Analysed

Thisismoney has an interesting analysis of Tesco today. Some interesting comments that include...

'Tesco is the most aggressive organisation in Britain when it comes to the use of space and planning', according to a 'top property agent'.

and...

'There were serious flaws in Tesco's application, in terms of justifying the retail need and the way the impact on local stores had been calculated', Co-op property director David Pringle in reponse to Tesco's plans to build another store in West London.

Tesco isn't making any friends these days...

Wednesday 29 August 2007

Tesco, Tesco, Wherefore Art Thou?

Dennis Owen writes to today's St Albans & Harpenden Review to ask why Tesco has not answered the question he asked through the paper on July 18th. Dennis (and many local residents) would like to know how Tesco plans to enforce its proposed three hour free parking to enable it to be used by shoppers.

Like Dennis, we've not heard anything from Tesco for some time - it's noticeable that the company has stopped its Q&A column in the Review as well.

PS - If you're interested in finding out more about supermarkets, BBC Radio 4's Today programme is running a series of reports on the industry - find out more here.

Monday 27 August 2007

Great News from Kent

After nine years of owing land in Maidstone, Tesco has given up on plans to build a supermarket and sold the land to property developers, according to the Maidstone Weald Bandolier (perhaps the best name for a local paper we've come across!).

We've made the point in the past to Tesco's Michael Kissman that this would be the best outcome for the site in St Albans. Given the turmoil in Tesco's planning department, the recent increase in house prices in St Albans due to increased Thameslink funding, local opposition, and the negative view of the council's Issues and Options document towards a supermarket to the south of St Albans, surely Tesco can see the commercial benefits of selling on the land?

Friday 24 August 2007

Tesco Extension Rejected in Bury

Further to our long list of accusations against Tesco below, the Bury Free Press today reports that Tesco built an extension to its store in the town that did not meet the planning permission it had been granted. The store then failed in its bid to obtain retrospective planning permission.

Bury Cllr Trevor Beckwith said,

"Our planning officers have been very charitable. If Tesco had put this up at the end of my garden, I would be very annoyed about it."

Again, we have to ask if we can trust Tesco's plans for St Albans?

UPDATE: The Daily Telegraph follows up this story today, including Tesco's response. According to a spokesperson for the supermarket,

"The intention was never to go ahead and do this without permission. We consulted with council officers throughout. We will now work with the council to come up with a solution."

Yes, Tesco, you consulted with officers, but not with local people. We worry a little that this is what you're relying on in St Albans - lots of meetings with council officers, but little engagement with local people.

Tesco Development Team Suffers Further Exodus

According to Building magazine, Tesco has suffered a further loss of senior personnel from its Development team - in February we covered an article in the magazine that reported on the departure of Tony Vasishta, then Tesco's development director.

The magazine now reports that up to a quarter of the department’s posts are now vacant, and quotes 'a source close to the department' as saying,

“They’re going to be in trouble. They have an enormous programme to deliver next year and they’re going to have difficulty doing it without the staff.”

Perhaps this goes some way to explaining Tesco's repeated delays in St Albans and perceived lack of communication with local people for months at a time. Maybe it should cut back a bit on new developments for while as it seems to be working on dozens at the same time?

Thursday 23 August 2007

Noise Pollution is a Killer

The Guardian today reports today research by University College London that links noise pollution with over 3,000 deaths a year in the UK.

Deepak Prasher, professor of audiology at University College London, said,

"The new data provide the link showing there are earlier deaths because of noise. Until now, noise has been the Cinderella form of pollution and people haven't been aware that it has an impact on their health."

The article also reports that the EU is already treating noise pollution seriously. Of course, one of the side-effects of a new Tesco supermarket in St Albans will be deliveries in the early morning, and increased traffic at all times of day.

Wednesday 22 August 2007

Tesco Increases Share of Grocery Market Further

According to The Scotsman, Tesco's share of the UK's grocery market has now reached 31.8%. That means that the supermarket chain is even closer to controlling a third of everything spent in the UK on food, making a mockery of the idea of true competition in the market.

In most markets, competition is affected once one player has 25%. Before Tesco's share hits rises any further there surely must be effective action from the Competition Commission to reopen the market!

For those who consider this to simply be a case of good business, Tesco has been accused of the following in the past year...
Not things that the average corner shop grocer can do! Today alone newspapers around the country are reporting that...
  • 'Bakers, florists, opticians, grocers and sandwich shops in the immediate neighbourhood [of a new Tesco store in Oldham] have this week spoken out to say that since the store opened a month ago, the only change has been for the worse. Many fear that they face a bleak future – and possibly ruin.' (Oldham Advertiser)
  • 'Global retailer Tesco will be reminded “it is not above the law” after Reading’s biggest branch was caught selling booze to an underage customer for the second year running'. (Reading Evening Post)
  • '[Tesco] have got buying power that I don't have. I get a loaf of bread from my suppliers for 89p, they sell a loaf for 69p.' (Gavin Xavier, owner of Christin newsagents in Tooting, near the site of a proposed new Tesco, quoted in the Wimbledon Guardian)

Tuesday 21 August 2007

Longer Hours Infuriate Locals

When talking to Tesco, it has always acted in a very reasonable way - no, it says, we won't extend opening hours once the store is open...

But there's further proof of the opposite - Tesco will try to extend opening hours and profit where possible. The Bath Chronicle reports that less than a year after opening a store in Peasedown St John, Tesco is looking to extend opening hours so that instead of closing at 9pm in the week and 6pm on Sunday, the store can open until 11pm in the week and 10 pm on Sundays. It also wants to sell alcohol from 6am in the week and 7am on Sunday.

Vice-Chairman of planning for Peasedown St John Parish Council, Cllr Mary Kennedy, said:

"We already have six other outlets selling alcohol in the village, two of which are convenience stores, and a problem with underage drinking... how dare they [Tesco] try to change the rules purely for commercial purposes, and without any thought about social needs or damage."

Yet another example to put to Tesco in St Albans!

Sunday 19 August 2007

Supermarkets 'Threaten Suppliers'

The Sunday Telegraph reports on an investigation by the Government's Competition Commission into relationships between Tesco and Asda and their suppliers. The paper reports that.

"Threatening and abusive emails from Britain's biggest supermarkets, bullying farmers and food suppliers into cutting prices, have been uncovered by investigators... the messages were allegedly sent by Tesco and Asda, warning suppliers to reduce the price at which they sell their food to the retailers - or face being axed."

Both supermarkets have now been ordered to hand over emails from June and July this year - the period before the supermarkets started their latest price war.

Stephen Alambritis, of the Federation of Small Businesses, told the paper,

"We believe that this kind of intimidation by the big supermarkets is widespread and are glad that the Competition Commission seems to have unearthed evidence of this as smaller suppliers are so often reluctant to speak out."

Please remember this story when you next shop - and the impact your choice of shop has on small businesses and small food suppliers!

UPDATE: An article in the Daily Mail gives more insight into the effect of reduced competition on suppliers to supermarkets.

Saturday 18 August 2007

What Tesco Really Wants

An article about Tesco's new wine selection in The Guardian today shows the supermarket in its true colours. When talking to local people about new stores, Tesco makes a big play of meeting unmet consumer demand and benefiting the wider local economy. Yet, when talking about its new wine range, the company is unabashed in its desire to simply clobber the competition. Tesco is quoted as saying,

"some customers are not buying wine from us - they're going to a wine merchant or one of our competitors"

How dare they! They need to be persuaded to spend less money there and more money in Tesco. Unfortunately, this isn't going to be good for other wine suppliers.

In St Albans, there are a number of specialist off-licences and wine shops within a few minutes walk of the proposed Tesco store, including the excellent Grapeland in Victoria Street. But competition is good, you say? The problem is that if small specialist retailers are put out of business by Tesco, there will eventually be little choice but to go to Tesco for wine!

Friday 17 August 2007

Another Store, More Protests

Our 200th post on this blog! And still there's no sign of a Tesco planning application for St Albans - wonder how many posts before we win... (maybe a sweepstake is in order).

One reason why we have so much to write about is Tesco's ability to get up the noses of people all over the country by trying to build on seemingly every square inch of concrete in its ongoing mission to sell everything to everyone...

Today for example, the Derby Evening Telegraph reports on the formation of another protest group (BATS - Belper Against Tesco Superstore). The main local issues again are traffic and the threat to local business. Again, Tesco is unsure of the time scale, a spokesman for Tesco saying,

"Although it has not been finalised, we're likely to exhibit finalised plans in Belper in January".

All we can say is good luck BATS - prepare for a long campaign!

PS - you can find out more about BATS
here.

Wednesday 15 August 2007

What's At the Bottom of Your Supply Chain?

The Guardian reports today that a group of 'exploited and illegally employed' Bulgarian workers were collecting vegetables (including courgettes) for Tesco (and Morrisons). The paper reports that

"The Bulgarians said they were forced to "live like pigs on scraps", scavenging vegetables from the fields when their Latvian gangmaster withheld their pay for 34 days."

and

"Members of the group of 40 Bulgarians in Cornwall said they had been charged up to €900 (£600) by an agent in the Bulgarian capital, Sofia, for cheap bus tickets and the promise of work permits which never materialised. When they arrived in the UK they were handed over to a different agent, Andris Tiltnieks, and his company Baltic Work Team and told to pay an extra £100 or return home."

Every little helps??? When we choose price over quality of food, this sort of action is going to happen!

Interestingly, according to the famous 'Tesco Price Check' site, courgettes cost the same in all of the 'Big 4' supermarkets! (data taken 15/08/07).

Product description Tesco
price
Sainsbury's
price
Morrisons
price
ASDA
price

COURGETTES LOOSE PER KG £1.98 £1.98 £1.99 £1.98

Sunday 12 August 2007

Light Summer Reading

As you may have guessed, it's been holiday time here at Stop Tesco - hope you're enjoying the great British climate if you're still here! If you have time for a bit of light reading, you might be interested in Corporate Watch's take on some of Tesco's claims!

Here's a quick update on local actions over the last two weeks:
  • No news yet on Tesco's formal application - which should be going in (according to its timetable) very soon! In anticipation of the application, we've written a letter to the local council's planning department informing them of our research among local residents and businesses
  • We're still planning to meet Tesco again in August but due to holidays this has been put back to the last week of the month
  • Peter Milne wrote this letter to the Herts Advertiser about Tesco's latest press release (here).
  • The Lib Dems and Greens have included updates on the Tesco campaign in their local ward communications - thanks for your continued support!
  • Our online poll asking people to vote on Tesco's new plans shows that 90% of those who expressed an opinion are against the plans - more than 100 people have now voted. To add your vote, visit www.stoptesco.com and click on the scrolling text
  • Plus, we're having an interesting discussion with Michael Kissman about the plans we posted on the stoptesco.com website - but more of that later...
In the wider world,
  • Tesco has been forced by the Competition Commission to stop work on a new store in Slough, reports the Daily Telegraph
  • The Ham & High reports 1,200 people protesting against Tesco's plans to open a 10th(!!!!) store in a square mile of North London!
  • The campaign in Cuffley (where more than half local residents voted against Tesco in a referendum) had a major setback when the store was given planning permission - as reported by the Herts Advertiser. The campaign will continue to work to support local shops - find out more here. Please be assured that the planning position in St Albans is far less amenable to Tesco than in Cuffley.