Reputation
The OFT has been criticized for being ineffective and for many of its investigations leading to no action, in contrast to the more vigorous approach of US (United States Department of Justice Antitrust Division) and European Union (DG COMP of the European Commission) regulators. Criticism has been levied, among others, in the cases of:
- Supermarkets
- Oil companies retail sales / petrol - in October 2008 the UK Prime Minister Gordon Brown threatened oil companies with an OFT investigation unless lower oil prices were passed to consumers; this was despite several OFT investigations in the past giving the industry a clean bill of health.
The National Audit Office issued a report in March 2009 on the OFT's competition enforcement work which indicated progress in 7 out of 10 objectives, but also concluded:
- ...So whilst the OFT has improved the value for money it provides, there remains scope for further improvement.
According to the same report, in 2007-08 the OFT estimated that its competition enforcement work led to direct savings to consumers worth £77m per year and that its market studies work had saved consumers £98m in 2007-08; the OFT costs for these areas of work in the same year were approximately £26million of its £78m expenditure in 2007-8.
Read more about this topic: Office Of Fair Trading
Famous quotes containing the word reputation:
“A prince must be prudent enough to know how to escape the bad reputation of those vices that would lose the state for him, and must protect himself from those that will not lose it for him, if this is possible; but if he cannot, he need not concern himself unduly if he ignores these less serious vices.”
—Niccolò Machiavelli (1469–1527)
“Men will not give up their privilege of helplessness without a struggle. The average man has a carefully cultivated ignorance about household matters—from what to do with the crumbs to the grocer’s telephone number—a sort of cheerful inefficiency which protects him better than the reputation for having a violent temper.”
—Crystal Eastman (1881–1928)
“This one fact the world hates; that the soul becomes; for that forever degrades the past, turns all riches to poverty, all reputation to a shame, confounds the saint with the rogue, shoves Jesus and Judas equally aside.”
—Ralph Waldo Emerson (1803–1882)