Government to Implement Measures to Reduce Baby Formula Costs Following CMA Recommendations
The government has announced it will implement a plan recommended by the Competition and Markets Authority (CMA) aimed at reducing the cost of baby formula for parents. Labour leader Keir Starmer highlighted that these measures could save families up to £500 in the first year of a child's life.
The initiative includes a new rule requiring all infant formula products to be displayed together in shops, helping parents to more easily identify cheaper options, including nutritionally identical supermarket own-brand products. Additionally, the policy will now allow the use of gift cards, vouchers, loyalty points, and coupons to pay for infant formula, which was previously not permitted.
However, some CMA recommendations, such as introducing standardised packaging in hospitals and other healthcare settings, were rejected. The announcement ties into Labour’s broader welfare agenda, which recently included ending the two-child limit for benefits.
Health Secretary Wes Streeting stated that these measures will give parents increased confidence in the safety and quality of formula products while enabling them to benefit from supermarket loyalty schemes.