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Retailing margins are already thin.
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"The UK baby clothing and equipment market remains very competitive with few retailers in this category making any positive retail margins, especially as high street clothing chains, internet offers and supermarkets continue to grow space and share," said Mike Dennis, an analyst at City broker Cantor.
According to Messrs Dobson and Waterson, retail margins are rising, particularly in Britain.
Barriers to new entrants remain, such as a shortage of credit and historically low retail margins.
Profit from trading energy products and derivatives also fell, although retail margins strengthened, the company said.
This is likely to put a strain on retail margins and push up selling prices.
Yet what most vexes critics of the market is not hefty retail margins but fear that energy firms are making outsized profits elsewhere, for example in power generation.
Retail margins are just one of a trio of factors pushing up bills, alongside government green levies and rising global fuel costs.
Since then, companies have had to publish a breakdown of their energy costs and their retail margins every year – but they use different accounting methods.
But gross retail margins – the difference between retail prices and published wholesale prices – in the five largest cities averaged 11.2c a litre in 2015 16, the highest level since the ACCC began monitoring them in 2002.
This week the regulator warned that gross retail margins – the difference between retail prices and published wholesale prices – in the five largest cities averaged 11.2 cents a litre in 2015 16, the highest level since the ACCC began monitoring them in 2002.
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