Groceries cost you €500 extra a year

HOUSEHOLDERS are being forced to pay almost €500 a year more for groceries because legislation is preventing competition in the sector, the Competition Authority (CA) has said.

The authority believes the Groceries Order, introduced in 1987 to prevent below-cost selling, is costing consumers up to €577 million a year - the equivalent of €481 per household.

The order was designed to prevent major retailers, such as supermarket chains, putting small firms out of business by engaging in predatory pricing.