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UK commissions reviews of franchising after Vodafone allegations
The government says the findings will inform possible new franchising laws aimed at protecting franchisees while avoiding added compliance burdens for small businesses.
The UK government has commissioned two studies into how franchising businesses are policed, as it considers changes to the legal framework after high profile allegations in the sector.
According to the Guardian Business, the Department for Business and Trade is working with the British Franchise Association on research into the domestic franchising market, and it has engaged the Centre for Economic Policy Research to examine international models.
The work follows a Guardian investigation last December that discussed allegations involving Adrian Howe, a former Vodafone employee, who relatives said took his own life after pressure connected to a planned franchise arrangement, which was due to open in 2018.
The reports are intended to support the government’s assessment of what laws may be needed to ensure franchisees are properly protected without creating unnecessary burdens on small businesses, amid an ongoing policy review that has included ministerial oversight handed to Lord Leong.