The Office of Fair Trading in the UK has announced that it will look again at how magazines are distributed in the UK – almost a year after pronouncing the existing regime unlawful. The BBC has a good summary of the implications here including:
Many industry groups fear that if magazine distribution is opened to free competition then big magazine retailers, such as supermarkets, will take the opportunity to sign cheaper, exclusive, distribution deals with wholesalers.
The Periodical Publishers Association (PPA) says that would leave independent news retailers to pay more for their smaller deliveries to more out-of-the-way places.
Government has an obligation to small business local communities and organisations like the OFT need to listen carefully to these constituents as they do not have the same lobbying funds as supermarkets and other big business players.