OFT highlights competition fears
28 August 2012
Big public-sector purchasing deals will come under the spotlight in an investigation by the Office of Fair Trading (OFT) following an inquiry into whether they could stifle competition among suppliers.
Nine sectors, including weapons manufacturing, health services, shipbuilding and pharmaceuticals were identified in an initial report as areas where there are fears of spending policy distorting the marketplace.
But it says public-sector spending – worth an estimated £117 billion a year – could also promote competition by grouping buyers together to mitigate the...