WH Smith pledges to cut prices in hospital outlets

LONDON (ShareCast) - (ShareCast News) - Retailer WH Smith has agreed to slash prices in its hospital shops after coming under pressure from MPs. The group, Britain's biggest high street retailer, was accused of profiting at the expenses of sick patients after an investigation last month revealed cards and flowers can be almost twice as expensive in the group's hospital shops than in its nearest high street branches.

FTSE 250-listed WH Smith (LSE: SMWH.L - news) said it will match its standard prices for all stationery goods, adding it will add a new range of 'value' greeting cards in hospital shops, with prices starting from 89p.

The company, which has 128 shops in Britain's hospitals, has also pledged to implement a monitoring system to guarantee food and drink prices in its hospitals outlets do not exceed high street prices by more than 2%.

"The vast majority of our products are the same price in both our Hospital and High Street stores. This includes all newspapers, magazines, books and stationery," a spokesman for the group said.

"For food and drinks, where prices may be different, they are very similar and often slightly cheaper in Hospitals reflecting the different sales mix and the resulting promotional approach which is designed to best deliver value to all of our customers, despite the different cost structures." WH Smith shares were down 0.13% to 1,486.00p at 0844 BST on Wednesday.