CMA advice to schools on school uniforms

The Competition and Markets Authority (“CMA”) has published advice to schools to ensure uniform policies do not breach competition law. Schools should already be aware of the Department for Education (DfE) statutory guidance in respect of school uniform costs, as well as the guidance “Procuring school uniform supplies”, which covers competitive tendering processes.

The rhetoric surrounding school uniforms in recent years has highlighted that there is a recognition that school uniform costs can be burdensome for parents, particularly where choices are limited and schools have many branded items.

In preparation for the new school year, the CMA has therefore set out its tips for schools to ensure that they do not risk breaching competition law.

Considerations for school uniform policies

When putting in place their uniform policy, schools need to be conscious of any exclusivity arrangements they may have in place with retailers or manufacturers. When awarding contracts, as set out in the “Procuring school uniform supplies” guidance, schools should seek to achieve the most optimal results by utilising competitive tender processes.

Entering into exclusivity arrangements restricts this competitive ability and can place the supplier in a more beneficial position than the school receiving the services or goods. Instead, schools are advised to seek to enter into agreements for a shorter term where possible and invite competitive tender when appropriate to ensure consistent value for money.

In addition, schools should be conscious that awarding a contract to a manufacturer for sale through third-party retailers may mean that there are provisions in place fixing the minimum price for uniforms. Such provisions put the school at risk of breaching restrictions on resale price maintenance.

There are also key considerations which schools can make when setting the uniform itself to ensure that competition law is complied with. For example, schools which have a high number of branded items may be limiting the number of suppliers who would enter into contract with the school, while also placing a higher burden on parents.

Schools should aim to make their school logo as freely available to suppliers as possible, to encourage different suppliers to create stock which may offer better value to parents.

Finally, schools should consider the lifespan of their uniform and, if one is not in place, whether a pre-loved uniform shop or similar initiative can help parents to reduce the cost of uniform whilst reducing waste.

Practical steps

Schools should ensure to keep their uniform contracts under review to ensure that the school is receiving value for money which can be passed on to parents. This may involve reviewing contractual commitments with existing suppliers and seeking to terminate where necessary.