By James Davey

LONDON, June 25 (Reuters) - Amazon AMNZ.O has again been judged by UK grocery suppliers as the worst food retailer by far in terms of compliance with an industry code of practice, though the e-commerce giant did show an improvement versus 2024.

Britain's grocery regulator, the Groceries Code Adjudicator (GCA), said on Wednesday its 2025 survey found that 66.4% of respondents supplying Amazon believed it "consistently" or "mostly" complied with the Groceries Supply Code of Practice (GSCOP).

Though that was an improvement from 47% in the 2024 survey, Amazon retained its last place among 14 UK food retailers, some 24.6 percentage points behind Lidl on 91.1% in 13th place.

Amazon sells groceries in Britain through its own website and its Amazon Fresh convenience stores.

The Code aims to ensure Britain's grocery retailers, including market leader Tesco TSCO.L, Sainsbury's SBRY.L, Marks & Spencer MKS.L and Ocado OCDO.L, treat suppliers fairly. Amazon has been subject to it since 2022.

Last week, ahead of the publication of the survey results, the GCA launched an investigation into Amazon, probing whether it breached the Code on timely supplier payments over a three-year period.

A spokesperson for Amazon said it was pleased the survey results reflected improvements it is making.

“We know from listening to our grocery suppliers that these changes, including to dispute resolution, payment practices and dedicated account management support, are making a positive difference," the spokesperson said, adding "we know there is much more to do".

The GCA said the overall results of the 2025 survey showed suppliers experienced fewer Code issues and improved treatment by retailers for the second year running.

It said average perceived Code compliance rose to 93% in 2025 from 91% in 2024, while the number of suppliers reporting that they faced a Code issue fell to 30% in 2025 from 33% in 2024.

“I’m pleased that average Code compliance has continued to improve across the sector and it’s particularly encouraging that the lowest five performing retailers (in 2024 - Home Bargains, Lidl, Morrisons, Iceland and Amazon) have improved perceptions of their overall compliance with the Groceries Code," Mark White, the Adjudicator, said.

(Reporting by James Davey. Editing by Mark Potter)

((james.davey@thomsonreuters.com))