Government Examining Compass on Rebate Complaint, Telegraph Says

The U.K. government is examining its contracts with catering company Compass Group Plc after a supplier complained that “huge” rebates were kept from customers, the Sunday Telegraph reported.

Compass charged some non-food suppliers rebates of more than 20 percent, the newspaper said, citing a letter from a supplier who asked the Cabinet Office not to be identified. Ian Sarson, managing director of Compass U.K. and Ireland, said the rebates were not hidden, the Telegraph said. A Cabinet Office spokesman said the suggestions in the letter will be taken “seriously,” the newspaper said.

To contact the reporter on this story: Nicholas Larkin in London at nlarkin1@bloomberg.net.

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net.

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