Restricting promotions of food and drink high in fat, sugar or salt: Stakeholder engagement summaries

7. Wholesaler and Manufacturer Roundtable – May 2024 – Summary of discussion

16 May 2024, 15:00-16:30

Microsoft Teams

• Jenni Minto MSP, Minister for Public Health and Women’s Health
• Neil Gray MSP, Cabinet Secretary for Health and Social Care
• Scottish Government officials
• Coca Cola
• Food and Drink Federation Scotland
• Nairns Oatcakes
• Mondelez
• PepsiCo
• Scottish Wholesale Association
• Scotland Food and Drink
• UK Hospitality

Summary of discussion

1. Welcome and introductions

• The Minister for Public Health and Women’s Health welcomed attendees to the meeting and provided an overview of the agenda.
• The lead officer for the policy gave a short presentation of the policy’s background and consultation process.
• The purpose of the roundtable was to allow for focused discussion on proposals outlined in the consultation document that were of particular interest to stakeholders, specifically promotion types, qualifying businesses and implementation.
• Briefing and questions were circulated to attendees in advance to help facilitate focused discussion.

2. Promotion types

Questions:

• We have set out our proposals for restricting price and location promotions in our consultation. How effective do you think the definitions and proposals are when considering the implementation of restrictions on the following elements:
• Meal deals: Is there a preferred option from a business perspective? Please explain the benefits and any unintended consequences of each option.
• TPRs: Do you have views on the proposed definition or how it might be improved? Is there data on the use of TPRs to support our consideration of impact?
• Free standing displays: Do you have any views on the proposed definition or how this might be improved? Is there any data on the use of these types of structures to support our considerations around impact?

Discussion

• Strong opposition to the inclusion of Temporary Price Reductions (TPRs) as they are an important tool for small and local producers to bring their products to market.
• Meal deals noted as less of a concern, though current definitions were considered too broad and alignment with UK regulations on this topic is preferred.
• Concern raised that including only pre-packed goods in scope of the policy risks creating disparity between retail and out of home businesses.
• Concern that challenges may arise for businesses around updating IT systems.
• Alignment with UK regulations is preferred.

3. Qualifying businesses

Questions:

• We recently issued a point of clarification on qualifying businesses.
• Do you have any comments on the point of clarification issued?
• What are your views on qualifying business within scope including proposed exemptions for small businesses based on employee number and floor space?
• We recently issued a point of clarification on Out of Home businesses operating within the premises of a qualifying business.
• Do you have any comments on the point of clarification issued?
• What are your views on implementing proposed price and location restrictions in out of home businesses?
• Are there any implementation challenges, including unintended consequences?
• What are your views on the proposed approach to symbol groups and franchises?
• Are there any benefits or implementation challenges including unintended consequences of the proposed approach?
• Can you share any additional information about the operation of symbol groups to help inform our considerations?

Discussion

• Acknowledgement of the recently issued points of clarification around out of home businesses.
• Further clarification was requested on concessions.
• No other comments were made in relation to these questions.

4. Implementation

Questions:

• Given the proposals, what are your views on the proposed 12 month implementation period? In particular around practicalities associated with the preparation for implementation, i.e. stock, system changes, consumer communication.
• Building on experience with other policies, do you have any examples of best practice around the process for developing and presenting effective guidance?
• When should this be available to businesses?
• Would you be willing to support the development of guidance and help us test draft guidance as it develops before final versions are made available?
• Do you foresee any impacts on the ability of businesses to trade either within the UK market or internationally as a result of any of the proposed measures? Please explain.

Discussion

• Strong preference for at least a 12-18 month implementation period, which should be extended if any areas diverge from alignment with UK regulations.
• Concern expressed around logistical bottlenecks, such as a limit on available shop fitters, potential delays in obtaining planning permission, and preparation required to comply with other forthcoming regulations.
• Emphasised the importance of having comprehensive guidance available before the beginning of the implementation period.
• Noted that the extent of the challenges raised by the Internal Market Act (IMA) will not be clear until the final regulations are decided – it was argued that the greater the divergence from UK regulations, the greater the possibility of IMA challenges.

5. Ministerial remarks

• The Minister for Public Health and Women’s Health and Cabinet Secretary for Health and Social Care reiterated the benefits of balancing economic needs with the economic impact of poor health, and emphasised the importance of collaboration between businesses and Government in addressing this issue and delivering the policy’s intended outcomes.

6. Final Comments and Close

• The Minister and Cabinet Secretary thanked attendees for their valuable contributions, and reiterated the importance of replying to the consultation.
• Attendees were invited to contact officials should they wish to discuss any areas of the policy in more detail before submitting their consultation response.