The Scottish National Party has pledged to introduce price caps on essential food items in large supermarkets if re-elected, as part of its manifesto for the upcoming Scottish election.
First Minister John Swinney said the proposed policy would set maximum prices on key staples such as bread, milk, eggs and rice, with the aim of reducing the cost of the weekly shop and putting “more money in people’s pockets”.
The measure would apply to selected ‘example’ product lines within categories rather than across entire ranges, and would be limited to larger supermarkets.
However, the proposal has raised concerns among convenience retailers, with the Scottish Grocers’ Federation (SGF) warning of potential unintended consequences for the sector.
Luke McGarty, head of policy at the SGF, said that while smaller local stores are not directly targeted, the policy could distort competition and shift shopper behaviour.
“Capped prices in supermarkets could encourage customers to travel further to out-of-town locations for staple goods typically purchased locally, reducing sustainability and creating a competitive disadvantage for small local businesses,” he said.
He added that independent retailers, already facing rising operational costs, may feel pressured to match supermarket pricing, potentially threatening their viability.
The SGF also highlighted the broader role of convenience stores in providing accessible goods, supporting local employment and contributing to community economies, warning these benefits could be undermined.
The trade body said it would engage with ministers and take part in any consultation process should the SNP return to government.