The UK's Office of Fair Trading revealed today (17 October) that it has closed its investigation into alleged price fixing activity in the Scottish dairy market between 2000 and 2003. The regulator said it would take no further action due to insufficient evidence.

The competition watchdog said that it will drop the investigation of six dairies - Ballantyne, Grahams, Quothquan, Renfrew, Scottish Milk Dairies and Robert Wiseman Dairies.

In 2006, the OFT found provisionally that these parties had engaged in illegal price fixing and market sharing activity.

"Although the evidence at the time was sufficient for the OFT to make a provisional finding of an infringement, as a result of continuing investigations ... the OFT no longer considers that it has sufficient evidence to proceed," it said in a statement.

The OFT is still conducting an ongoing investigation into alleged collusion between UK dairy processors and supermarkets.