As The Grocer reports this morning, Morrisons is aiming to recruit 200 more British suppliers after a report commissioned by the supermarket found that only just over half the food eaten in the UK comes from local sources.

The report, by Professor Tim Benton of the University of Leeds, highlights the growing risks associated with a global food supply chain. Benton warns that increased frequency in severe weather events caused by climate change, combined with political changes, may affect global trading relationships and compromise the food supply (The Guardian). The UK can be shielded from some of the worst excesses of global food price swings if it produces more of its own food, the report says. Only 52% of food eaten in the UK comes from British farmers, according to the research. (The BBC)

A competition investigation into Heineken’s planned takeover of pub company Punch Taverns brought cheer to publicans, small brewers and real-ale campaigners, who fear a fresh wave of lager will dilute the choice at the bar for British drinkers. (The Financial Times £). The CMA could launch an in-depth merger investigation, which could last up to 24 weeks, unless the two firms address any competition concerns (The Guardian)

The Campaign for Real Ale has warned that the Dutch brewer could use the new pubs to push sales of its own brands, including Heineken, John Smith’s and Foster’s, at the expense of small and regional breweries (The Times £). Critics of the deal, including Chris Lindesay of the Punch Tenant Network, claim it will result in consumers having pubs that ‘look the same’ and serve the same beer up and down the country (The Daily Mail). The Punch deal would make the brewer the UK’s third-largest pub group, after Greene King and Enterprise Inns (The Telegraph)

Thousands of Argos workers are to receive a total of £2.4m in back pay after HM Revenue & Customs inspectors found they had been paid less than the minimum wage and hit the Sainsbury’s-owned chain with a £1.5m fine (The Financial Times £). It is understood that staff were underpaid because their hourly rate did not include morning briefings and security searches, which could happen after colleagues had clocked out of their shifts (The Telegraph). The underpayments of about £64 per person date back to 2014 and were first uncovered last year ahead of Argos’s takeover by Sainsbury’s. (The Guardian)

Billionaire investor Warren Buffett has made a huge bet on Apple while dumping almost all of his stock in Asda owner Walmart. His firm Berkshire Hathaway offloaded £723m of Walmart stock – a shift some will view as an admission the industry is in decline. The American dubbed the Sage of Omaha has focused on the threat from online retailers such as Amazon. (The Daily Mail)

Asda has come in last place in a survey by consumer group Which? that ranks supermarkets. Waitrose took the top spot in the main in-store experience category for the third year running, earning praise for its spacious stores and helpful staff. Competitor Marks and Spencer came in second. (Sky News)

Shares of Coca-Cola Hellenic Bottling Company fizzed more than 4 per cent higher after the soft drinks maker reported strong 2016 results and hinted at the possibility of a special dividend. (The Times £)

Nestlé will ditch poorly performing businesses that cannot be fixed and spend millions more on restructuring the company, its new chief executive said, as the food giant reported lacklustre full-year results (The Telegraph). Nestlé sales growth rate was its slowest for 20 years, with new CEO Mark Schneider blaming deflation and sluggish global economies (The Financial Times £). Kitkat and Nespresso-owner Nestle is eyeing a major restructuring drive to shore up profits after missing forecasts and taking a hit in China (The Daily Mail)

Any investment bank “rainmakers” who head to Vevey in the hope that Nestlé is planning big acquisitions will come away disappointed. Mark Schneider, the new chief executive, used his first results presentation to deliver a soliloquy on the virtues of organic growth. (The Financial Times £)

Businesses that appeal their new rates bills could wait years to have their complaints resolved because of the backlog facing the government body that handles the tax. (The Guardian)

However, “Unscrupulous” companies have been accused of trying to scare business owners into thinking their taxes will rise in order to make a profit. Communities Secretary Sajid Javid said “scaremongering” rating agents are manufacturing reports about business rates going up while “cynically” promising to help firms win an appeal against any increase “in exchange for a hefty fee”. (Sky News)

Britons are spending less on booze, smoking and drugs and more on eating out and hotels according to the latest snapshot of family spending. (The Guardian)

Foreign retailers are embarking on ambitious expansion plans in India, where regulatory reform, the rise of e-commerce and shifting attitudes towards female clothing are finally widening access to a challenging market that has long resisted western brands. (The Financial Times £)

Topics