The competition watchdog is launching an investigation into the baby formula market after finding manufacturers raised prices by 25% in two years and managed to increase profit margins during the cost of living crisis.
There are just two dominant companies – Danone and Nestlé – accounting for 85% of sales. The Competition and Markets Authority said it was concerned there was too little choice in the market, with a very limited number of own-label products, and that very few parents were switching to cheaper alternatives where available.
