News Summary

The UK’s Groceries Code Adjudicator (GCA) has initiated an investigation into Amazon over accusations that it has been delaying payments to suppliers, a potential breach of the groceries supply code of practice. This investigation, focusing on the period from March 2022 to June 2025, follows previous warnings to Amazon to improve compliance with industry standards. The GCA’s action is based on detailed evidence suggesting Amazon’s current practices may significantly harm suppliers, exposing them to risks and costs that could impact their ability to innovate. If Amazon is found to have breached the code, it could face fines up to one percent of its annual revenue in the UK. Amazon has expressed disappointment with the investigation but has committed to cooperating fully, highlighting improvements already made in payment practices. The GCA continues to seek further evidence from suppliers, assuring confidentiality in the process.