Gov’t in price control talks with supermarkets

Deputy Premier Lorna Smith has revealed that the government is in talks with supermarkets to introduce voluntary price control measures as the territory prepares for a minimum wage increase.

The increase to $8.50, set to take effect on December 1, has raised concerns about the potential rise in the cost of living, and Smith addressed these worries during her recent statement in the House of Assembly. Smith highlighted the government’s ongoing efforts to alleviate the economic impact that the wage increase might have, particularly in light of global inflationary pressures. “We are fully aware of the need to minimise unintended consequences, particularly given current inflationary pressures,” she noted.

The Deputy Premier emphasised that external factors, such as global supply chain disruptions and international fuel prices, influence the cost of many essential goods. To address this, Smith said that discussions are underway with supermarkets to secure voluntary agreements that would stabilise the prices of essential items. “We are in advanced negotiations with our major supermarkets to secure voluntary commitments to control prices on essential goods,” she stated, adding that this partnership aims to protect the purchasing power of residents, particularly those set to benefit from the upcoming wage increase. Beyond price control, Smith also mentioned that the government is looking to strengthen consumer protection laws as part of its broader strategy to shield residents from rising costs. “Modernising our consumer protection framework is a priority,” she said. “To that end, we are reviewing the Consumer Protection Act with the aim of amending it.”