The new UK competition regimeHoward Cartlidge

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CookieAmnestyends

September/October

2012

2013 April 2014 May 2015

What’s on the horizon?

2016

CommunicationsGreen

Paper?

Draft Comms Bill ?

Comms Act?

Competition and Markets Authority ? New DP regime

takes effect?

10 May2012

Defamation Bill

26 May2012

Leveson Report: Part 1 - Press Regulation

Defamation Act?

Political agreement on

DPR?

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A new competition authority

• Proposals in the Enterprise and Regulatory Reform Bill

• Merger of the Office of Fair Trading and Competition Commission in 2014 to form the “Competition and Markets Authority”

• No mandatory merger notifications or change in thresholds

• Implications for merger control and market investigations

• Implications for Competition Act investigations – OFT procedural proposals

• Sector regulators to retain competition powers – but CMA can take over cases

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The CMA – faster, stronger, more efficient?

• Statutory deadlines to apply in merger cases – 40 working days for Phase I, 24 weeks (plus possible 8 week extension) for Phase II

• Undertakings to avoid Phase II or at end of Phase II – new process

• New merger fees – up to £160,000

• Competition Act investigations – rejection of the “prosecutorial system”

• An “enhanced administrative model” – more checks and balances, but also a “performance framework” and possible statutory deadlines

• Increased investigation powers for the CMA

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More criminal investigations?

• The “cartel offence” introduced in 2002

• Why have there been so few prosecutions?

• The OFT’s diagnosis – impossible to prove “dishonesty”

• DBIS proposal – all agreements criminal unless made “openly” i.e. parties have published details of the agreement before it is implemented

• What does publication involve – the London Gazette?

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More competition litigation?

• DBIS consultation on “private actions” published 24 April 2012

• Enhanced role for Competition Appeal Tribunal

• “Fast-track” procedures for SMEs through a CAT “competition small claims court” – a judgment in 6 months and cap on costs awards of £25,000

• Cartel damages claims – presumption of 20% price increase as a result of a cartel

• “Opt-out” collective actions can be brought on behalf of group of affected businesses

• Encouraging collective settlements by the CMA

The new UK competition regime

For more informationplease contact:

Howard Cartlidge

+44 (0) 20 7067 3146howard.cartlidge@olswang.com