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Court stops forced discounts in Hungary

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The European Court made a new decision. Hungary has rules for food prices. These rules break European Union laws. The government forced shops to lower prices. Big chains had to lower prices by 15 percent. The court says this is not allowed.

Shops must choose their own prices. This is a rule in the European Union. Hungary wanted to stop inflation. Inflation means things get more expensive. The court thinks these rules are wrong. Shops like Spar and Penny suffer.

The shops lose money in Hungary. They want money back for the losses. Peter Magyar is the Prime Minister. He wants to keep the rules. He also keeps a special tax for foreign shops.

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Definitions

European Court
The highest court of the European Union. It checks if all countries follow the same laws.
Inflation
When money loses its value. You get less goods for the same amount of money.
Competition
Shops try to get more customers. They offer good prices or good quality.

People

Peter Magyar
A leader in Hungary. He wants to keep the strict price rules.

Locations

Hungary
A country in central Europe. It belongs to the European Union.

Sources

Logo ORF
ORF

EuGH: Ungarns Lebensmittel-Zwangsrabatte rechtswidrig

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Südtirol News

Ungarns Zwangsrabatte im Lebensmittelhandel rechtswidrig

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Logo VOL
VOL

EuGH: Ungarns Zwangsrabatte im Lebensmittelhandel rechtswidrig

Read now

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