Thursday 17 Mar 2011 @ 10:21
WiredGov Newswire (news from other organisations)
WiredGov Newswire (news from other organisations)
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CBI RESPONDS TO GOVERNMENT’S COMPETITION CONSULTATION
The CBI yesterday responded to the launch of the Government’s consultation on competition: A Competition Regime for Growth: A Consultation on Options for Reform.
Earlier yesterday the CBI set out its proposals for improving the competition regime including deregulating mergers where turnover is less than £5 million, limiting market investigations to clear failures of competition and making them subject to strict timetables.
Commenting on the Government’s consultation, Matthew Fell, CBI Director for Competitive Markets, said:
“We support the move towards a single competition authority, which would speed up the system by avoiding duplication and reduce the burden on businesses, freeing up investment.
“We welcome the Government’s appetite to look at the case for deregulating small mergers, which we called for, to help stimulate growth.
“We are concerned by the indication of a significant increase in market investigations. These must be limited to clear failures of competition and subject to strict timetables, because they are burdensome and have a chilling effect on investment.”
Further details about the CBI’s proposals for competition reform can be read here:
http://www.cbi.org.uk/ndbs/press.nsf/0363c1f07c6ca12a8025671c00381cc7/dd076ce7840ee8bb80257854005c680d?OpenDocument
The CBI is calling for:
- A single competition body coupled with a clear timetable for decisions would speed up the system by eradicating duplication. This would reduce the burden and cost to businesses, and help unlock investment.
- There needs to be greater certainty in the mergers and acquisition review process, so that it is straight-forward for a company to work out if a potential merger could be subject to a review.
- The deregulation of small mergers where turnover is less than £5 million would encourage growth in this market.
- New market investigations should be limited to clear failures of competition, and be subject to a strict timetable and ‘super complaints’ should be abolished.
Notes to Editors:
The CBI is the UK's leading business organisation, speaking for some 240,000 businesses that together employ around a third of the private sector workforce. With offices across the UK as well as representation in Brussels, Washington, Beijing and Delhi the CBI communicates the British business voice around the world.
Media Contact:
Media Contact:
CBI Press Office on 020 7395 8239 or out of hours pager on 07623 977 854.
