Tesco has been given a 38% decrease in its Office of Fair Trading fine, to £6.5m, for breaking competition law by co-ordinating retail price increases of cheese in 2002.
The final penalty brings to an end the saga which has plagued Tesco since 2011, when the OFT slapped it with penalties totalling £10.43m for co-ordinating price increases on cheese in 2002 and 2003.
However, in December, the Competition Appeals Tribunal rejected more than half of the OFT’s original findings.
The CAT has now agreed a new fine of £6.5m.
“The CAT upheld the OFT’s findings that Tesco broke competition law three times by co-ordinating increases in the prices consumers paid for cheese in 2002,” the OFT said in a statement.
It, however, added that the CAT also found that Tesco did not infringe the law in relation to a number of other findings of exchanges of future pricing information.
Tesco said it was pleased it had settled the appeal with the OFT.
“Tesco will pay a reduced penalty of £6.5m in respect of three infringements of competition law that took place in 2002,” a spokesman added.