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Minister Confirms Continued Support for Healthy Living Programme at SGF Conference

25 February 2010

Following the launch of the Scottish Government’s Obesity Strategy, the Public Health Minister, Shona Robison MSP, will address convenience store retailers and suppliers at the Scottish Grocers’ Federation (SGF) Conference, at the Fairmont Hotel, St Andrews (26th to 28th February).

Speaking during the Saturday Morning Business Seminar, it is expected the Minister will refer to Phase 4 of the SGF Healthy Living Programme and how convenience store retailers can work in partnership with the Scottish Government to help people adopt a healthier diet.

The SGF Conference is the centrepiece of the Scottish convenience calendar. Over 300 delegates representing over 1000 stores will gather together to discuss the main opportunities and challenges the industry faces.

The theme for the conference is “A Winning Formula”. A line up of inspirational and retail speakers will address delegates on the Saturday morning.

John Drummond, Chief Executive of SGF, said:

“We will be extremely interested to gain an insight into the Minister’s on-going plans for the SGF Healthy Living Programme, especially in light of the recently announced proposals to tackle obesity in Scotland. I believe the success of the Programme is down to the support of the Scottish Government and its voluntary nature, which has encouraged retailers to engage in the knowledge they do not have the added pressure of having to comply with legislation which brings with it additional costs and bureaucracy.

“The impressive line up of speakers is one of the very best we have ever brought together for our conference.”

SGF Responds to UK Government Post Office Banking Consultation

24 February 2010

The Scottish Grocers’ Federation (SGF) has responded to the UK Government’s consultation on Post Office Banking. The consultation seeks views on whether the Post Office should expand the range of banking services it offers.

John Drummond, Chief Executive of SGF said:

“For many SGF members the Post Office provides an important part of their business and is also important for the wellbeing of communities across Scotland.

“Services which secure the long term viability of Post Offices must be embraced. Following the banking crisis there is an appetite amongst the public for the Post Office to provide additional banking services. It is important this potential is developed into a range of competitive yet viable products.”

Small Shops Support Continued Use of Voluntary Initiatives to Tackle Obesity

22 February 2010

The Scottish Government has launched a new strategy to tackle obesity. Measures proposed in the strategy include working with retailers, producers and the food industry to control exposure to, demand for and consumption of high calorie foods and drinks to tackle obesity in Scotland.

John Drummond, Chief Executive of the Scottish Grocers Federation (SGF) said,

“Since 2004, convenience store retailers in Scotland have worked in partnership with the Scottish Government to tackle obesity in Scotland, via the SGF Healthy Living Programme. Convenience stores trade at the heart of communities throughout the country and ensuring there is a strong selection of healthy, fresh produce on offer is an important step in tackling obesity.

“The use of a voluntary approach has helped persuade retailers to engage in the Programme and led to substantial inward investment and innovation in the fresh produce and healthy foods categories by retailers.

“For any retailer the key stakeholder is the customer. For a retailer to operate a profitable business they must know, understand and deliver what the customer wants. It is the customer who decides what they want to eat which must be considered when planning solutions to address obesity.

“To address the problems associated with obesity there needs to be a complete change of culture. Small shops acknowledge they can help to channel a change in behaviour and will continue to work with the Scottish Government to achieve this. However, there needs to be improved education to encourage people to live health lifestyles, increased awareness raising about the health risks associated with obesity and more opportunity for children and adults to take part in regular exercise.”

Small Shop Representative Gives Evidence to Finance Committee on Alcohol Bill

11 February 2010

John Drummond, Chief Executive of the Scottish Grocers’ Federation (SGF), has warned MSPs of the risk to small shops if measures included in the Alcohol etc (Scotland) Bill, to restrict promotions proceed without a price mechanism to control below cost selling.

Providing oral evidence to the Scottish Parliament’s Finance Committee on the Financial Memorandum to the Alcohol etc. (Scotland) Bill, John Drummond said,

“We would have great concerns if the promotional programme that is available to retailers relates only to price. In the absence of a price mechanism that will control the floor price, we could see some very deep discounting, particularly by those that can afford to do it—the supermarkets, with deeper pockets and greater bargaining power than small shops. Small shops would suffer, because they would not be able to run the kind of promotions that remove price as the key element of such activity.”

During the meeting John referred to some of the unintended consequences of minimum pricing which could affect the small store sector in Scotland including cross border trading, an increase in the illicit trade and an increase in internet trading with alcohol being dispatched from south of the Border to evade a minimum pricing policy.

Commenting after the meeting John said, “It is important if any further alcohol legislation is introduced, that it is proportionate and MSPs understand the consequences their decisions could have on small shops across Scotland. If bulk buy promotions are introduced there must be a pricing mechanism to restrict below cost selling. Otherwise MSPs will be playing into the hands of the supermarkets to the detriment of small shops.”

Business Rates Relief Welcomed by Small Shops

10 February 2010

Commenting on the changes to business rates announced by the Finance Secretary, John Swinney, within the Local Government Finance (Scotland) Order 2010, John Drummond, Chief Executive of the Scottish Grocers Federation (SGF) said:

“We welcome these measures which help to continue to develop a fairer rates system in which small shops do not lose out to the supermarkets.

“Increasing the thresholds for the Small Business Bonus Scheme will be welcomed by many small shops, providing them with additional resources to plough back into their businesses during these challenging economic times.”

Scottish Grocers’ Federation Comment on Launch of Scottish Labour Alcohol Commission

8 February 2010

Commenting on the range of alternative proposals to be considered by an Alcohol Commission, launched by Scottish Labour today, John Drummond, Chief Executive of the Scottish Grocers’ Federation said,

On a mandatory ‘Challenge 25’ scheme:
“SGF members already run age verification policies in their stores. Responsible retailers know they have to develop a robust sales prevention policy and a comprehensive approach to staff training. They accept that if they fail in their responsibilities they face tough sanctions, but we expect this to be matched by a commitment from politicians, police and communities to support shops in their challenging frontline role.”

On alternative pricing mechanisms:
“We need to see the detail of alternative pricing mechanisms. However, SGF would strongly oppose any plans which grant powers to local authorities to raise local taxes. Inconsistent implementation of the Licensing (Scotland) Act from area to area created additional costs and burdens for small shops at the worst possible time. Exposing retailers to a similar fiasco would be totally unacceptable. If new taxes are to be introduced this must be done at a national level and must be supported by a compelling evidence base.”

Better enforcement of existing legislation:
“Existing licensing laws already put in place a strong structural framework to address alcohol misuse. Until current legislation is fully enforced SGF believes there is little to be gained from creating additional legislation.”

Restrictions on advertising to protect children:
“Retailers should be able to communicate promotions to their adult customers in a responsible manner. For small independent convenience store retailers window bills and promotional leaflets represent the only realistic method of advertising their special offers or promotions whilst large operators can afford radio, national newspapers and TV advertising which are not within the remit of the Scottish Parliament. SGF is concerned restrictions on advertising could have a disproportionate impact on small shops. Any restrictions on advertising material relating to alcohol should apply across all forms of media or not at all.”

On the need for a joint approach on measures that will help to tackle the over-consumption of alcohol John Drummond said,

”SGF would support a closer partnership between the Government, police, local authorities, alcohol retailers and the alcohol industry in order to encourage a collaborative approach to fostering a culture which recognises that responsible, moderate consumption of alcohol can be part of a healthy lifestyle.”

Grocery Suppliers Code of Practice Welcome

4 February 2010

Commenting on the new Grocery Suppliers Code of Practice which came into force today, John Drummond, Chief Executive of the Scottish Grocers Federation (SGF) said,

“The new code of practice will help to prevent supermarkets from abusing their dominant position within the grocery market by outlawing supermarket practises which damage suppliers and stifle competition. Hopefully this measure will also protect the interest of consumers.

“The Code of Practice is welcome. However, without an independent Ombudsman to enforce the Code, SGF fear it will not be affective in stamping out the worst practises of the supermarkets.

“We welcome the support of the Scottish Government Rural Affairs Secretary, Richard Lochhead MSP, for an Ombudsman and his concern on whether the role will be added to the Office of Fair Trade’s remit. SGF will respond to the UK Government’s consultation on the role of the enforcement body.”

Small Shops Welcome Increase in Small Business Bonus Scheme Thresholds

The Scottish Grocers’ Federation (SGF) has welcomed the announcement made by the Scottish Government’s Finance Secretary, John Swinney, during Stage 3 of the Scottish Government Budget on the uplift on the rate relief threshold.

John Drummond, Chief Executive of SGF said:

“We will need to wait until the new rateable values are released before we can understand the full impact of the new thresholds. However, if the rise reflects any rise in rateable values, the Finance Secretary’s announcement is absolutely the right thing to do.

“The Small Business Bonus Scheme has made a dramatic difference for many small shops during challenging times. The Minister’s announcement, depending on the new rates threshold, will lead to a fairer business rates regime. In the long term this will secure the future of small shops which is good news communities across Scotland.”

On a Post Office diversification scheme Mr Drummond said:
“In many rural and remote locations closure of the post office often leads to the loss of the local shop which has often become the community hub. Any moves to safeguard and boost the network are therefore particularly welcome.”