DIRECTORS of fleet supply companies face the threat of jail if they are caught price-fixing or operating cartels. Chancellor of the Exchequer Gordon Brown said: 'In the United States, it has long been recognised that cartels are simply a sophisticated form of theft. 'The threat of prison sentences for such clear-cut abuses is the most powerful and effective deterrent. So it is our intention, following consultation, to introduce a new criminal offence for individuals who engage in cartels.'

Brown has set a one-year timetable to get the legislation in place, with the ball officially set rolling in the Queen's Speech. Two years ago Volvo and its dealers were found guilty of price fixing by limiting discounts – actions that in future could lead to jail.