‘Take price fixing seriously,’ urges BMA

The Bathroom Manufacturers Association (BMA) has urged the KBB industry to take price fixing “very seriously”.

Following the news that the Competition and Markets Authority (CMA) had fined a light fitting supplier £2.7 million, the BMA has reminded kitchen and bathroom businesses of the dangers of Resale Price Maintenance (RPM).

RPM occurs when a supplier and reseller agree that the reseller will sell the supplier’s product at or above a particular price. It is illegal, as it prevents competition and stops consumers finding the best price for a product.

The CMA has warned the BMA that it is still watching the KBB industry “very closely” and that any warning letter issued must be taken seriously.

“The costs of getting it wrong are immense,” the BMA said in a statement. “We urge that everyone takes this area of the law very seriously indeed.

“The vast majority of businesses obviously want to comply with the law. Not only because it is the right thing to do, but also because it is in their commercial interests to do so. That is why it is important to ensure everyone in your organisation understands what they need to do to stay on the right side of the law.

“On the CMA’s website, you will find a 60-second guide to RPM, case studies and short video explaining what RPM looks like. Most businesses under scrutiny have inadvertently transgressed – but that is no defence.”

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