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You are here: BAILII >> Databases >> United Kingdom Legislation >> Digital Markets, Competition and Consumers Act 2024 CHAPTER 13 URL: http://www.bailii.org/uk/legis/num_act/2024/ukpga_202413_en_1.html |
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This is the original version (as it was originally enacted).
An Act to provide for the regulation of competition in digital markets; to amend the Competition Act 1998 and the Enterprise Act 2002 and to make other provision about competition law; to make provision relating to the protection of consumer rights and to confer further such rights; and for connected purposes.
[24th May 2024]
B e it enactedby the King’s most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
(1) This Part—
(a) confers functions on the CMA in relation to the regulation of competition in digital markets, and
(b) makes related provision.
(2) Chapter 2makes provision about the designation of undertakings as having strategic market status in respect of a digital activity.
(3) Chapter 3provides for the CMA to be able to impose conduct requirements on a designated undertaking.
(4) Chapter 4provides for the CMA to take steps to promote competition where it considers that activities of a designated undertaking are having an adverse effect on competition.
(5) Chapter 5makes provision about a duty to report certain possible mergers involving a designated undertaking.
(6) Chapter 6makes provision about investigatory powers and compliance reports in relation to a designated undertaking.
(7) Chapter 7makes provision about enforcement and appeals in relation to functions of the CMA underthis Part.
(8) Chapter 8makes provision about administration and other matters in relation to functions of the CMA underthis Part.
(1) The CMA may designate an undertaking as having strategic market status (“ SMS”) in respect of a digital activity carried out by the undertaking where the CMA considers that—
(a) the digital activity is linked to the United Kingdom (see section4), and
(b) the undertaking meets the SMS conditions in respect of the digital activity.
(2) The SMS conditions are that the undertaking has—
(a) substantial and entrenched market power (seesection 5), and
(b) a position of strategic significance (seesection 6),
in respect of the digital activity.
(3) Subsection(1)is subject to section7(the turnover condition).
(4) The CMA may only designate an undertaking as having SMS in respect of a digital activity after carrying out an SMS investigation in accordance with this Chapter.
(1) For the purposes of this Part, the following are “digital activities”—
(a) the provision of a service by means of the internet, whether for consideration or otherwise;
(b) the provision of one or more pieces of digital content, whether for consideration or otherwise;
(c) any other activity carried out for the purposes of an activity within paragraph(a)or(b).
(2) For the purposes of this section, a service is provided by means of the internet even where it is provided by means of a combination of—
(a) the internet, and
(b) an electronic communications service (within the meaning given by section 32(2) of the Communications Act 2003).
(3) The CMA may treat two or more activities withinsubsection (1)that are carried out by a single undertaking as a single digital activity where—
(a) the activities have substantially the same or similar purposes, or
(b) the activities can be carried out in combination with each other to fulfil a specific purpose.
(4) In any notice or other document that the CMA is required to give or publish under or by virtue of this Part, the CMA may describe a digital activity by reference to the nature of the activity, brand names or both.
A digital activity is linked to the United Kingdom for the purposes ofsection 2(1)(a)if—
(a) the digital activity has a significant number of UK users,
(b) the undertaking that carries out the digital activity carries on business in the United Kingdom in relation to the digital activity, or
(c) the digital activity or the way in which the undertaking carries on the digital activity is likely to have an immediate, substantial and foreseeable effect on trade in the United Kingdom.
In order to assess whether an undertaking has substantial and entrenched market power in respect of a digital activity for the purposes ofsection 2(2)(a), the CMA must carry out a forward-looking assessment of a period of at least 5 years, taking into account developments that—
(a) would be expected or foreseeable if the CMA did not designate the undertaking as having SMS in respect of the digital activity, and
(b) may affect the undertaking’s conduct in carrying out the digital activity.
An undertaking has a position of strategic significance in respect of a digital activity for the purposes ofsection 2(2)(b)where one or more of the following conditions is met—
(a) the undertaking has achieved a position of significant size or scale in respect of the digital activity;
(b) a significant number of other undertakings use the digital activity as carried out by the undertaking in carrying on their business;
(c) the undertaking’s position in respect of the digital activity would allow it to extend its market power to a range of other activities;
(d) the undertaking’s position in respect of the digital activity allows it to determine or substantially influence the ways in which other undertakings conduct themselves, in respect of the digital activity or otherwise.
(1) The CMA may not designate an undertaking as having SMS in respect of a digital activity unless the turnover condition is met in relation to the undertaking.
(2) The turnover condition is met in relation to an undertaking if the CMA estimates that—
(a) the total value of the global turnover of an undertaking or, where the undertaking is part of a group, the global turnover of that group in the relevant period exceeds £25 billion, or
(b) the total value of the UK turnover of an undertaking or, where the undertaking is part of a group, the UK turnover of that group in the relevant period exceeds £1 billion.
(3) The Secretary of State may by regulations amend either of the sums mentioned insubsection (2).
(4) Regulations undersubsection (3)are subject to the affirmative procedure.
(5) The CMA must—
(a) keep under review the sums mentioned insubsection (2), and
(b) from time to time advise the Secretary of State as to whether the sums are still appropriate.
(6) In this section—
(a) the “ relevant period” means—
(i) the most recent period of 12 months (“period A”) in respect of which the CMA considers that it is able to make an estimate of the total value of the relevant turnover of the undertaking or group, or
(ii) if the CMA estimates that the relevant turnover of the undertaking or group in the period of 12 months ending immediately before period A was higher than the relevant turnover of the undertaking or group in period A, that earlier period of 12 months;
(b) the “relevant turnover” of the undertaking or group is the UK turnover or, as the case may be, global turnover of the undertaking or group.
(1) This sectionapplies for the purposes of the turnover condition.
(2) The total value of the global turnover of an undertaking or group in the relevant period (as defined in section7(6)) is, subject to regulations undersubsection (4), the total value of the turnover of the undertaking or group arising in connection with any of its activities.
(3) The total value of the UK turnover of an undertaking or group in the relevant period is, subject to regulations undersubsection (4), the total value of the turnover of the undertaking or group—
(a) arising in connection with any of its activities, and
(b) relating to UK users or UK customers.
(4) The Secretary of State may by regulations make provision about how the total value of the global turnover or UK turnover of an undertaking or group in a period is to be estimated for the purposes of the turnover condition.
(5) Regulations undersubsection (4)may (among other things)—
(a) make provision about amounts which are, or are not, to be regarded as comprising the turnover of an undertaking or group;
(b) confer on the CMA the power to determine matters specified in the regulations (including the matter mentioned in paragraph(a)).
(6) Regulations undersubsection (4)are subject to the negative procedure.
(1) The CMA may begin an initial SMS investigation where it has reasonable grounds to consider that it may be able to designate an undertaking as having SMS in respect of a digital activity in accordance withsection 2.
(2) An “initial SMS investigation” is an investigation into whether to designate an undertaking as having SMS in respect of a digital activity where the undertaking is not already designated in respect of that activity (subject tosection 10(4)).
(3) The CMA may begin an initial SMS investigation into whether to designate an undertaking as having SMS in respect of a digital activity even if it has previously made a decision not to designate the undertaking as having SMS in respect of that activity.
(1) The CMA may begin a further SMS investigation in relation to the designation of a designated undertaking in respect of a relevant digital activity at any time during the designation period (seesection 18) relating to that designation.
(2) The CMA must begin a further SMS investigation in relation to the designation of a designated undertaking in respect of a relevant digital activity not later than 9 months before the end of the designation period relating to that designation, if it is not already carrying one out at that time under subsection(1).
(3) A “further SMS investigation” is an investigation into whether—
(a) to revoke a designated undertaking’s designation in respect of the relevant digital activity or to designate the undertaking again in respect of that activity, and
(b) to make provision undersection 17(existing obligations).
(4) A further SMS investigation may also include an investigation into whether to designate the designated undertaking in respect of a digital activity that the CMA considers to be similar or connected to the relevant digital activity (whether instead of, or in addition to, the relevant digital activity).
(1) When the CMA begins an SMS investigation it must give the undertaking to which the investigation relates a notice (an “SMS investigation notice”).
(2) The SMS investigation notice must state—
(a) in the case of an initial SMS investigation—
(i) the reasonable grounds mentioned insection 9(1);
(ii) that the CMA may close the investigation in accordance withsection 12;
(b) the purpose and scope of the SMS investigation;
(c) the period by the end of which the CMA must give the undertaking a notice setting out its decisions as a result of the investigation (seesection 14(2));
(d) the circumstances in which that period may be extended (seesection 104).
(3) The statement of the purpose and scope of the investigation must include a description of the undertaking and digital activities to which the investigation relates.
(4) The CMA must give the undertaking one or more revised versions of the SMS investigation notice if it changes its view of the purpose and scope of the investigation.
(5) As soon as reasonably practicable after giving an SMS investigation notice or a revised version of an SMS investigation notice, the CMA must—
(a) publish the notice, and
(b) give a copy of the notice to the FCA, OFCOM, the Information Commissioner, the Bank of England and the PRA.
(1) The CMA may close an initial SMS investigation at any time before it has reached a final view on the matters mentioned in paragraphs(a)and(b)of section2(1).
(2) When the CMA decides to close an initial SMS investigation, the CMA must give the undertaking to which the investigation related a notice to that effect.
(3) The notice must include the CMA’s reasons for closing the investigation.
(4) As soon as reasonably practicable after giving a notice under subsection(2), the CMA must publish the notice.
(1) The CMA must—
(a) carry out a public consultation on any decision that it is considering making as a result of an SMS investigation (seesection 14(1)), and
(b) bring the public consultation to the attention of such persons as it considers appropriate.
(2) Consultation under subsection(1)may be carried out at the same time as consultation undersection 24(1)(consultation in relation to a conduct requirement).
(1) The CMA must—
(a) in the case of an initial SMS investigation which it does not close under section12, decide whether to designate the undertaking to which the investigation relates as having SMS in respect of a digital activity to which the investigation relates;
(b) in the case of a further SMS investigation, make a decision on the matters mentioned insection 10(3)and, where relevant,section 10(4).
(2) The CMA must give the undertaking a notice (an “SMS decision notice”) setting out its decisions under subsection(1)on or before the last day of the period (the “SMS investigation period”) of 9 months beginning with the day on which the SMS investigation notice is given.
(3) The giving of a revised version of an SMS investigation notice undersection 11(4)does not change the day on which the SMS investigation period begins.
(4) Sections15and16make provision about the content of an SMS decision notice.
(5) As soon as reasonably practicable after giving an SMS decision notice, the CMA must publish the notice.
(6) If the CMA does not give an SMS decision notice on or before the last day of the SMS investigation period, the CMA and the undertaking to which the investigation related are to be treated as if—
(a) in the case of an initial SMS investigation, the CMA had given the undertaking an SMS decision notice stating that it had decided not to designate the undertaking in respect of any digital activity to which the investigation related, and
(b) in the case of a further SMS investigation, the CMA had given an SMS decision notice stating that it had decided to revoke the designated undertaking’s designation in respect of the relevant digital activity with effect from the end of the SMS investigation period.
(1) Where the CMA decides as a result of an initial SMS investigation not to designate the undertaking to which the investigation relates as having SMS in respect of a digital activity to which the investigation relates, the SMS decision notice must include the CMA’s reasons for its decision.
(2) Subsections (3)to(6)apply where the CMA decides to designate an undertaking as having SMS in respect of a digital activity (whether or not that undertaking is already a designated undertaking).
(3) The SMS decision notice must include—
(a) a description of the designated undertaking,
(b) a description of the digital activity with respect to which the designation has effect,
(c) any provision that the CMA has decided to make in reliance onsection 17(existing obligations),
(d) the CMA’s reasons for its decisions undersection 14(1),
(e) a statement of the period (the “designation period”) for which the designation has effect (see section18),
(f) a statement of the circumstances in which the designation period may be extended (seesection 104), and
(g) a statement of the circumstances in which the designation may be revoked before the end of the designation period (see sections10and14(1)(b)).
(4) The CMA may give one or more revised versions of an SMS decision notice if it changes its view of—
(a) the undertaking, or
(b) the digital activity,
provided that the undertaking or digital activity, as the case may be, remains substantially the same.
(5) The giving of a revised SMS decision notice providing for the designation of an undertaking does not affect—
(a) the day on which the designation period in relation to that designation begins, or
(b) anything done under this Part in relation to that undertaking.
(6) As soon as reasonably practicable after giving a revised SMS decision notice, the CMA must publish the revised notice.
(1) This sectionapplies where the CMA decides, as a result of a further SMS investigation, to revoke the existing designation of a designated undertaking in respect of a digital activity without making a further designation in respect of that digital activity under section14(1)(b).
(2) The SMS decision notice must provide for the revocation of the existing designation—
(a) to have effect at the end of the day on which the notice is given, or
(b) to have effect from such earlier time as the CMA may specify in the notice.
(3) The SMS decision notice must include—
(a) any provision that the CMA has decided to make in reliance onsection 17(existing obligations);
(b) the CMA’s reasons for its decisions undersection 14(1)(b).
(1) Where the CMA decides, as a result of a further SMS investigation, to revoke a designated undertaking’s designation in respect of a relevant digital activity, the CMA may make transitional, transitory or saving provision in respect of any existing obligation.
(2) Provision may be made in reliance on subsection(1)only for the purpose of managing the impact of the revocation—
(a) on any person who benefited from the existing obligation, and
(b) in a way that appears to the CMA to be fair and reasonable.
(3) In Chapters6(investigatory powers and compliance reports) and7(enforcement and appeals), references to a “designated undertaking” are to be read as including an undertaking to which an existing obligation applies by virtue of provision made in reliance on subsection(1).
(4) Subsection(5)applies where the CMA decides, as a result of a further SMS investigation, to—
(a) designate an undertaking again in respect of a relevant digital activity, or
(b) designate an undertaking in respect of a different digital activity in reliance onsection 10(4).
(5) Where this subsection applies, the CMA may—
(a) apply any existing obligation, with or without modification, to the designated undertaking in respect of the new designation;
(b) make transitional, transitory or saving provision in respect of any existing obligation.
(6) For the purposes of this section, an “existing obligation” is any—
(a) conduct requirement (seesection 19),
(b) enforcement order (seesection 31),
(c) commitment (see sections36and56);
(d) final offer order (see section41(2)), or
(e) pro-competition order (seesection 46(3)(a)),
that is in force in relation to a designated undertaking in respect of the relevant digital activity before the revocation mentioned in subsection(1)or, as the case may be, the designation mentioned insubsection (4).
(7) Provision made in reliance on this section is to be included in an SMS decision notice.
(1) Where the CMA decides to designate an undertaking as having SMS in respect of a digital activity, the designation period is 5 years beginning with the day after the day on which the SMS decision notice is given.
(2) See—
(a) section 104for circumstances in which the designation period may be extended, and
(b) sections10and14(1)(b)for circumstances in which a designation may be revoked before the end of the designation period.
(1) The CMA may impose one or more conduct requirements on a designated undertaking by giving the undertaking a notice containing the information set out in section21.
(2) The CMA may vary a conduct requirement imposed on a designated undertaking by giving the undertaking a revised version of that notice.
(3) “Conduct requirements” are requirements as to how the designated undertaking must conduct itself in relation to a relevant digital activity, and references in this Part to imposing conduct requirements include references to varying conduct requirements in reliance onsubsection (2).
(4) As soon as reasonably practicable after giving a notice undersubsection (1)or(2), the CMA must publish the notice.
(5) The CMA may only impose a conduct requirement or a combination of conduct requirements on a designated undertaking if it considers that it would be proportionate to do so for the purposes of one or more of the following objectives—
(a) the fair dealing objective,
(b) the open choices objective, and
(c) the trust and transparency objective,
having regard to what the conduct requirement or combination of conduct requirements is intended to achieve.
(6) The fair dealing objective is that users or potential users of the relevant digital activity are—
(a) treated fairly, and
(b) able to interact, whether directly or indirectly, with the undertaking on reasonable terms.
(7) The open choices objective is that users or potential users of the relevant digital activity are able to choose freely and easily between the services or digital content provided by the undertaking and services or digital content provided by other undertakings.
(8) The trust and transparency objective is that users or potential users of the relevant digital activity have the information they require to enable them to—
(a) understand the services or digital content provided by the undertaking through the relevant digital activity, including the terms on which they are provided, and
(b) make properly informed decisions about whether and how they interact with the undertaking in respect of the relevant digital activity.
(9) A conduct requirement must be of a permitted type (see section20).
(10) Before imposing a conduct requirement or a combination of conduct requirements on a designated undertaking, the CMA must have regard in particular to the benefits for consumers that the CMA considers would likely result (directly or indirectly) from the conduct requirement or combination of conduct requirements.
(11) A conduct requirement—
(a) comes into force at a time determined by the CMA, and
(b) ceases to have effect—
(i) in accordance with a decision of the CMA to revoke the requirement (see section22), or
(ii) subject to provision made in reliance onsection 17(existing obligations), when the designation to which the requirement relates ceases to have effect.
(1) Conduct requirements are of a permitted type if they are within subsection(2)or(3).
(2) Requirements are within this subsection if they are for the purpose of obliging a designated undertaking to—
(a) trade on fair and reasonable terms;
(b) have effective processes for handling complaints by and disputes with users or potential users;
(c) provide clear, relevant, accurate and accessible information about the relevant digital activity to users or potential users;
(d) give explanations, and a reasonable period of notice, to users or potential users of the relevant digital activity, before making changes in relation to the relevant digital activity where those changes are likely to have a material impact on the users or potential users;
(e) present to users or potential users any options or default settings in relation to the relevant digital activity in a way that allows those users or potential users to make informed and effective decisions in their own best interests about those options or settings.
(3) Requirements are within this subsection if they are for the purpose of preventing a designated undertaking from—
(a) applying discriminatory terms, conditions or policies to certain users or potential users or certain descriptions of users or potential users;
(b) using its position in relation to the relevant digital activity, including its access to data relating to that activity, to treat its own products more favourably than those of other undertakings;
(c) carrying on activities other than the relevant digital activity in a way that is likely to materially increase the undertaking’s market power, or materially strengthen its position of strategic significance, in relation to the relevant digital activity;
(d) requiring or incentivising users or potential users of one of the designated undertaking’s products to use one or more of the undertaking’s other products alongside services or digital content the provision of which is, or is comprised in, the relevant digital activity;
(e) restricting interoperability between the relevant service or digital content and products offered by other undertakings;
(f) restricting whether or how users or potential users can use the relevant digital activity;
(g) using data unfairly;
(h) restricting the ability of users or potential users to use products of other undertakings.
(4) The Secretary of State may by regulations amend this section so as to modify the permitted types of requirement.
(5) Regulations undersubsection (4)are subject to the affirmative procedure.
A notice under section19(1)or(2)must include, in relation to each conduct requirement or, as the case may be, each conduct requirement as varied, a statement of—
(a) the conduct requirement and the relevant digital activity to which it relates;
(b) the CMA’s reasons for imposing the conduct requirement, including—
(i) the objective for the purposes of which the CMA considers it is proportionate to impose the conduct requirement (seesection 19(5)),
(ii) the benefits that the CMA considers would likely result from the conduct requirement (see section19(10)), and
(iii) the permitted type of requirement to which the CMA considers the conduct requirement belongs (see section20);
(c) when the conduct requirement comes into force;
(d) the last day of the designation period for the designation to which the conduct requirement relates;
(e) how the conduct requirement interacts with any other conduct requirement that has been imposed on the undertaking.
(1) The CMA may revoke a conduct requirement with effect from such time as the CMA may determine.
(2) Where the CMA decides to revoke a conduct requirement it must give the designated undertaking to which the requirement relates a notice specifying when the revocation is to have effect.
(3) As soon as reasonably practicable after giving the notice, the CMA must publish the notice.
(1) A notice undersection 19(1)or(2)(content of notice imposing a conduct requirement), or undersection 22(2)(revocation of conduct requirements), may include transitional, transitory or saving provision.
(2) The fact that a conduct requirement ceases to have effect does not affect the exercise of any digital markets functions in relation to a breach or possible breach of that requirement.
(1) Before imposing a conduct requirement on a designated undertaking, the CMA must—
(a) carry out a public consultation on the conduct requirement which it proposes to impose, and
(b) bring the public consultation to the attention of such persons as it considers appropriate.
(2) For the purposes of the consultation, the CMA must publish—
(a) the conduct requirement which the CMA proposes to impose, or a description of that requirement, and
(b) a statement of the permitted type of requirement to which the CMA considers the proposed conduct requirement belongs.
(3) Consultation under subsection(1)may be carried out at the same time as consultation under section13(consultation on proposed decision).
(4) Before revoking a conduct requirement, the CMA must—
(a) carry out a public consultation on the proposed revocation, and
(b) bring the public consultation to the attention of such persons as it considers appropriate.
The CMA must keep under review, in relation to a designated undertaking—
(a) whether to impose, vary or revoke a conduct requirement;
(b) the extent to which it is complying with each conduct requirement to which it is subject;
(c) the effectiveness of each conduct requirement to which it is subject;
(d) whether to take action in accordance withsections 26to35(enforcement of conduct requirements) orChapter 7(enforcement and appeals) in respect of any breaches or suspected breaches of a conduct requirement.
(1) The CMA may begin an investigation (a “conduct investigation”) where it has reasonable grounds to suspect that an undertaking has breached a conduct requirement.
(2) A conduct investigation is an investigation into—
(a) whether a breach has occurred, and
(b) if it has, what action, if any, the CMA should take in relation to the breach.
(3) When the CMA begins a conduct investigation it must give a notice (a “conduct investigation notice”) to the undertaking which it suspects has breached a conduct requirement.
(4) The conduct investigation notice must—
(a) state the conduct requirement which the CMA suspects has been breached;
(b) describe the conduct which the CMA suspects constituted the breach;
(c) state the period within which the undertaking may make representations in relation to the conduct investigation (see subsection(5));
(d) state the period by the end of which the CMA must give a notice to the undertaking setting out its findings as a result of the conduct investigation (seesection 30(2));
(e) state the circumstances in which that period may be extended (seesection 104);
(f) state the effect of the following provisions—
(i) section 28(closing a conduct investigation without making a finding);
(ii) section 30(notice of findings);
(iii) section 36(commitments).
(5) The period mentioned insubsection (4)(c)is such period as the CMA may determine.
(6) As soon as reasonably practicable after giving a conduct investigation notice, the CMA must publish the conduct investigation notice.
Before making a finding that an undertaking to which a conduct investigation relates has breached or is breaching a conduct requirement, the CMA must consider any representations that the undertaking makes in relation to the conduct investigation.
(1) The CMA may close a conduct investigation at any time without making a finding as to whether or not a breach of a conduct requirement has occurred.
(2) When the CMA decides to close a conduct investigation, the CMA must give the undertaking to which the investigation related a notice to that effect.
(3) The notice must—
(a) describe the undertaking in respect of which the CMA began the investigation,
(b) state the conduct requirement to which the investigation related, and
(c) include the CMA’s reasons for closing the investigation.
(4) As soon as reasonably practicable after giving a notice under subsection (2), the CMA must publish the notice.
(1) The CMA must close a conduct investigation under section28where representations made by the undertaking to which the investigation relates lead the CMA to consider that the countervailing benefits exemption applies.
(2) The countervailing benefits exemption applies where—
(a) the conduct to which the investigation relates gives rise to benefits to users or potential users of the digital activity in respect of which the conduct requirement in question applies,
(b) those benefits outweigh any actual or likely detrimental impact on competition resulting from a breach of the conduct requirement,
(c) those benefits could not be realised without the conduct,
(d) the conduct is proportionate to the realisation of those benefits, and
(e) the conduct does not eliminate or prevent effective competition.
(3) Where the CMA closes a conduct investigation as a result ofsubsection (1), the undertaking to which the decision relates is to be treated as if the CMA had found that the conduct did not constitute a breach of the conduct requirement.
(1) The CMA must give a notice to the undertaking to which a conduct investigation relates setting out its findings as a result of the conduct investigation (subject to subsection(5)).
(2) The notice must be given on or before the last day of the period (the “conduct investigation period”) of 6 months beginning with the day on which the conduct investigation notice is given to the undertaking.
(3) The notice must—
(a) state whether or not the CMA has found that a breach has occurred, and
(b) include reasons for the CMA’s findings.
(4) As soon as reasonably practicable after giving the notice, the CMA must publish the notice.
(5) Subsection(1)does not apply—
(a) where the CMA closes the conduct investigation under section28, or
(b) in relation to any behaviour in respect of which the CMA has accepted a commitment from the undertaking (see section36).
(1) Where the CMA finds, as a result of a conduct investigation, that an undertaking has breached a conduct requirement, it may make an order (an “enforcement order”) imposing on the undertaking such obligations as the CMA considers appropriate for one or more of the following purposes—
(a) in a case where the breach is ongoing, stopping the breach;
(b) preventing the breach from happening again;
(c) addressing any damage caused by the breach.
(2) The CMA may vary an enforcement order by making a revised version of that order.
(3) An enforcement order may include transitional, transitory or saving provision.
(4) An enforcement order must—
(a) specify the breach to which it relates;
(b) include the CMA’s reasons for imposing the obligations in the order.
(5) The CMA may consult such persons as the CMA considers appropriate before making an enforcement order (including a revised version of an order).
(6) Where the CMA decides to make an enforcement order (other than an interim enforcement order under section32), it must do so as soon as reasonably practicable after giving the undertaking a notice of its findings under section30(1).
(7) As soon as reasonably practicable after making an enforcement order (including a revised version of an order), the CMA must publish the order.
(8) The CMA may consent to an undertaking acting in a way that would otherwise constitute a breach of an enforcement order.
(1) The CMA may make an enforcement order on an interim basis (an “interim enforcement order”) in relation to a suspected breach of a conduct requirement where—
(a) the CMA has begun a conduct investigation in relation to the suspected breach, and
(b) the CMA considers that it is necessary to act on an interim basis—
(i) to prevent significant damage to a particular person or category of person,
(ii) to prevent conduct which could reduce the effectiveness of any other steps the CMA might take in relation to the conduct requirement which it suspects the undertaking has breached or is breaching, or
(iii) to protect the public interest.
(2) An interim enforcement order must specify the suspected breach to which it relates.
(3) Before making an interim enforcement order, the CMA must give the undertaking to which it would relate an opportunity to make representations to it about the order which it proposes to make.
(4) But the duty in subsection(3)does not apply where the CMA considers that compliance would substantially reduce the effectiveness of the order.
(5) Where the CMA makes an interim enforcement order in relation to an undertaking without complying with subsection(3), the CMA must, as soon as reasonably practicable, give the undertaking a notice including—
(a) the reasons for the CMA’s decision to make the interim enforcement order without complying with subsection(3), and
(b) the period within which the undertaking may make representations in relation to the interim enforcement order (seesubsection (7)).
(6) As soon as reasonably practicable after giving a notice under subsection(5), the CMA must publish the notice.
(7) The period mentioned in subsection(5)(b)is such period as the CMA may determine.
(8) The CMA must consider representations which it receives following a notice under subsection(5)as soon as reasonably practicable.
(1) An enforcement order (including a revised version of an order) comes into force at such time as the CMA may specify in the order.
(2) An interim enforcement order ceases to have effect—
(a) when revoked under section34,
(b) subject to provision made in reliance onsection 17(existing obligations), when the designation to which it relates ceases to have effect, or
(c) when one of the following events occurs in relation to the suspected breach to which the order relates—
(i) the CMA gives the undertaking a notice stating that the CMA has found that no breach has occurred (seesection 30);
(ii) the CMA accepts a commitment from the undertaking (seesection 36);
(iii) the CMA makes an enforcement order (seesection 31(1));
(iv) the CMA notifies the undertaking that it has decided not to make an enforcement order that is not an interim enforcement order.
(3) An enforcement order other than an interim enforcement order ceases to have effect—
(a) when revoked under section34, or
(b) subject to provision made in reliance onsection 17(existing obligations), when the designation to which it relates ceases to have effect.
(4) The fact that an enforcement order ceases to have effect does not affect the exercise of any functions in relation to a breach or possible breach of that order.
(1) The CMA may revoke an enforcement order by giving a notice to that effect to the undertaking to which the order applies.
(2) The notice must include the reasons for the CMA’s decision to revoke the enforcement order.
(3) The notice may include transitional, transitory or saving provision in relation to the revocation of the enforcement order.
(4) As soon as reasonably practicable after revoking an enforcement order, the CMA must publish the notice.
(5) The CMA may consult such persons as the CMA considers appropriate on any proposal to revoke an enforcement order.
The CMA must keep under review—
(a) the extent to which an undertaking to which it has given an enforcement order is complying with that order,
(b) the effectiveness of an enforcement order,
(c) whether to vary or revoke an enforcement order,
(d) where an enforcement order is revoked, whether to make a new enforcement order, and
(e) whether to take action in accordance withChapter 7(enforcement and appeals) in respect of an undertaking which does not comply with an enforcement order.
(1) The CMA may accept an appropriate commitment from an undertaking subject to a conduct investigation as to its behaviour in respect of a conduct requirement to which the investigation relates.
(2) A commitment is appropriate where the CMA considers that compliance with the commitment by the undertaking would mean that it would not be necessary to carry out a conduct investigation so far as relating to the behaviour to which the commitment relates.
(3) Following the acceptance of a commitment by the CMA as to the behaviour of an undertaking—
(a) the undertaking that gave the commitment must comply with it at all times when it is in force, and
(b) so far as relating to the behaviour, the CMA may not give a notice to the undertaking undersection 30(notice of findings).
(4) The acceptance of a commitment does not prevent—
(a) a conduct investigation from continuing so far as it relates to other behaviour in relation to the same or a different conduct requirement, or
(b) the CMA beginning a new conduct investigation in relation to the behaviour to which the commitment relates where—
(i) it has reasonable grounds to believe that there has been a material change of circumstances since the commitment was accepted,
(ii) it has reasonable grounds to suspect that the undertaking has not complied with one or more of the terms of the commitment, or
(iii) it has reasonable grounds to suspect that information which led it to accept the commitment was incomplete, false or misleading in a material particular.
(5) A commitment underthis sectioncomes into force when a notice of its acceptance is published by the CMA.
(6) A commitment under this section ceases to have effect—
(a) subject to provision made in reliance on section17(existing obligations)—
(i) in accordance with any terms of the commitment about when it is to cease to have effect, or
(ii) when the conduct requirement to which the commitment relates ceases to have effect, or
(b) when the undertaking is released from the requirement to comply with the commitment.
(7) The CMA may by notice accept a variation to a commitment from time to time provided the commitment as varied would still be appropriate.
(8) The CMA may release an undertaking from the requirement to comply with a commitment where it considers that it would be appropriate to do so.
(9) The fact that a commitment ceases to have effect does not affect the exercise of any functions in relation to a breach or possible breach of that commitment.
(10) Schedule 1makes provision about—
(a) accepting, or accepting a variation of, a commitment, and
(b) releasing an undertaking from the requirement to comply with a commitment,
for the purposes of this Chapter andChapter 4(pro-competition orders).
The CMA must keep under review—
(a) the appropriateness of a commitment or releasing an undertaking from a commitment,
(b) the extent to which an undertaking which has given a commitment is complying with it, and
(c) the appropriateness of taking further action in accordance withChapter 7(enforcement and appeals) in respect of an undertaking which does not comply with a commitment which it has given.
(1) Where the CMA considers that the following three conditions are met in relation to a transaction between a designated undertaking and a third party, the CMA may—
(a) require the undertaking, and
(b) invite the third party,
to submit to the CMA terms as to payment (“final offer payment terms”) which the undertaking or, as the case may be, the third party regards as fair and reasonable for the transaction.
(2) The first condition is that the transaction is a transaction in which the designated undertaking would—
(a) provide goods or services to the third party, or
(b) acquire goods or services from, or use goods or services of, the third party.
(3) The second condition is that, by failing to agree fair and reasonable terms as to payment for the transaction, the designated undertaking has breached an enforcement order, other than an interim enforcement order, made in relation to a breach of a conduct requirement of the type permitted bysection 20(2)(a)(requirement to trade on fair and reasonable terms).
(4) The third condition is that the CMA could not satisfactorily address the breach within a reasonable time frame by exercising any of its other digital markets functions.
(5) In subsection(1), “ transaction” means—
(a) a future transaction, or
(b) the future performance of an ongoing transaction,
whether in accordance with a contract or otherwise.
“ the designated undertaking” means the undertaking mentioned insubsection (1);
“ the transaction” means the transaction mentioned insubsection (1);
“ the third party” means the third party mentioned insubsection (1).
(1) Where the CMA considers that—
(a) the conditions in section38(2),(3)and(4)are met in relation to a single transaction between the designated undertaking and two or more third parties, and
(b) the third parties are capable of acting jointly in relation to final offer payment terms relating to the transaction,
the CMA may exercise the power in section38(1)to invite the third parties (the “joined third parties”) to make a single submission to the CMA of final offer payment terms that the joined third parties collectively regard as fair and reasonable for the transaction.
(2) Where the CMA proceeds in reliance onsubsection (1), sections40to44apply as if—
(a) in section40(8)references to “the third party” were to any one or more of the joined third parties;
(b) all other references to “the third party” were to the joined third parties.
(3) Where the CMA considers that—
(a) the conditions in section38(2),(3)and(4)are met in relation to two or more transactions between the designated undertaking and two or more third parties,
(b) the same terms as to payment are capable of applying to the transactions, and
(c) the third parties are capable of acting jointly in relation to final offer payment terms relating to the transactions,
the CMA may exercise the power in section38(1)to invite the third parties (the “grouped third parties”) to make a single submission to the CMA of final offer payment terms that the grouped third parties collectively regard as fair and reasonable for the transactions (the “grouped transactions”).
(4) Where the CMA proceeds in reliance onsubsection (3), sections40to44apply as if—
(a) in the following provisions, references to “the third party” were to any one or more of the grouped third parties—
(b) all other references to “the third party” were to the grouped third parties;
(c) in section43(1)and(2), the reference to “the transaction” were to any one or more of the grouped transactions;
(d) all other references to “the transaction” were to the grouped transactions.
(1) The power conferred bysection 38(1)is to be exercised by giving a notice (a “final offer initiation notice”) to the designated undertaking and the third party.
(2) The final offer initiation notice must—
(a) specify the designated undertaking, the third party and the digital activity in respect of which the power is being exercised;
(b) describe the breach of the enforcement order in relation to which the second condition insection 38is met;
(c) summarise the transaction;
(d) specify a date (the “submission date”) on or before which final offer payment terms are to be submitted to the CMA;
(e) state the period by the end of which the CMA must make any final offer order (seesection 41(3));
(f) state the circumstances in which that period may be extended (seesection 104).
(3) As soon as reasonably practicable after giving a final offer initiation notice, the CMA must publish a statement which—
(a) includes the information mentioned insubsection (2), and
(b) if the CMA is considering taking any other action relating to any underlying cause of the breach of the enforcement order, includes a summary of, and explanation for considering, that action.
(4) After giving a final offer initiation notice, the CMA may—
(a) change its view of the transaction or the third party, provided that the new transaction or third party remains substantially the same as the previous transaction or third party,
(b) revise any list of joined third parties or grouped third parties, or
(c) change the submission date.
(5) The powers conferred bysubsection (4)are to be exercised by giving a revised version of the final offer initiation notice to the designated undertaking and the third party.
(6) Where the power conferred bysubsection (4)(b)is being exercised, the reference insubsection (5)to “ the third party” includes each person that was a joined third party or a grouped third party prior to the exercise of the power or that is to be a joined third party or a grouped third party after the exercise of the power.
(7) As soon as reasonably practicable after giving a revised version of a final offer initiation notice, the CMA must publish a statement summarising the contents of the revised notice.
(8) To facilitate the submission of final offer payment terms, the CMA may (among other things)—
(a) use an information notice to require that the designated undertaking or the third party give information to the CMA (see section69);
(b) share information between the designated undertaking and the third party in accordance with section 241 of EA 2002 (statutory functions);
(c) specify the form or manner in which final offer payment terms must be submitted.
(1) This section applies where—
(a) the CMA has exercised its power undersection 38(1), and
(b) either—
(i) the CMA has received final offer payment terms from both the designated undertaking and the third party, or
(ii) the CMA has received final offer payment terms from either the designated undertaking or the third party (but not both), and the submission date has passed.
(2) The CMA must, unlesssection 43(1)applies, make an order (a “final offer order”) requiring that final offer payment terms it has received from the designated undertaking or the third party are to be given effect for the purposes of—
(a) the transaction, and
(b) any transaction between the designated undertaking and the third party which is substantially the same as the transaction.
(3) The CMA must comply with subsection(2)on or before the last day of the period (the “final offer period”) of 6 months beginning with the day on which the final offer initiation notice is given to the designated undertaking and the third party.
(4) The Secretary of State may by regulations amend this section so as to modify the length of the final offer period.
(5) Regulations undersubsection (4)are subject to the affirmative procedure.
(1) A final offer order must impose on the designated undertaking such obligations as the CMA considers appropriate for the purpose of—
(a) securing compliance with the requirement imposed by virtue ofsection 41(2), and
(b) preventing the designated undertaking from making an agreement with the third party which conflicts with that requirement.
(2) At the same time as making a final offer order, the CMA must give the designated undertaking and the third party a notice—
(a) summarising the transaction,
(b) including the reasons for the order, and
(c) enclosing a copy of the order.
(3) As soon as reasonably practicable after making a final offer order, the CMA must publish a statement summarising the contents of the final offer order and the notice given under subsection(2).
(1) The CMA may decide not to make a final offer order in relation to the transaction where it has reasonable grounds to believe that there has been a material change of circumstances since the final offer initiation notice was given.
(2) For the purposes ofthis sectionandsection 44(3)a material change of circumstances includes an agreement between the designated undertaking and the third party with respect to terms as to payment in relation to the transaction.
(3) Where the CMA decides not to make a final offer order, it must give a notice to that effect to the designated undertaking and the third party.
(4) The notice must include the reasonable grounds referred to in subsection(1).
(5) As soon as reasonably practicable after giving a notice under subsection(3), the CMA must publish a statement summarising the contents of the notice.
(1) A final offer order comes into force at such time as the CMA may specify in the order.
(2) A final offer order ceases to have effect—
(a) when revoked under this section, or
(b) subject to provision made in reliance onsection 17(existing obligations), when the designation to which it relates ceases to have effect.
(3) The CMA may revoke, or partially revoke, a final offer order where it has reasonable grounds to believe that there has been a material change of circumstances since the final offer order was made.
(4) Where the CMA decides to revoke, or partially revoke, a final offer order, it must give a notice to that effect to the designated undertaking and the third party.
(5) The notice must include the reasons for the CMA’s decision.
(6) The notice may include transitional, transitory or saving provision in relation to the revocation, or partial revocation, of the final offer order.
(7) As soon as reasonably practicable after revoking, or partially revoking, a final offer order, the CMA must publish a statement summarising the contents of the notice revoking, or partially revoking, the order.
(8) The fact that a final offer order ceases to have effect does not affect the exercise of any digital markets functions in relation to a breach or possible breach of that order.
The CMA must keep under review—
(a) the extent to which an undertaking to which it has given a final offer order is complying with that order,
(b) the effectiveness of the final offer order,
(c) whether to revoke the final offer order, and
(d) whether to take action in accordance withChapter 7(enforcement and appeals) in respect of an undertaking which does not comply with a final offer order.
(1) The CMA may make a pro-competition intervention (a “PCI”) in relation to a designated undertaking where, following a PCI investigation (see section47), the CMA considers that—
(a) a factor or combination of factors relating to a relevant digital activity is having an adverse effect on competition, and
(b) it would be proportionate to make the PCI for the purposes of remedying, mitigating or preventing the adverse effect on competition.
(2) In considering whether to make a PCI, and the form and content of any PCI, the CMA may have regard to any benefits to UK users or UK customers that the CMA considers have resulted, or may be expected to result, from a factor or combination of factors that is having an adverse effect on competition.
(3) A PCI may take the form of one or both of the following—
(a) an order imposing on the designated undertaking requirements as to how the undertaking must conduct itself, in relation to the relevant digital activity or otherwise (a “pro-competition order”: see section51);
(b) recommendations made by the CMA to any person exercising functions of a public nature about steps which the CMA considers the person ought to take in respect of the designated undertaking or the digital activity, or otherwise.
(4) A PCI may include provision for the purposes of remedying, mitigating or preventing any detrimental effect on UK users or UK customers that the CMA considers has resulted, or may be expected to result, from the adverse effect on competition to which the PCI relates.
(5) A factor or combination of factors relating to a digital activity has an adverse effect on competition where it prevents, restricts or distorts competition in connection with the relevant digital activity in the United Kingdom.
(1) The CMA may begin an investigation (a “PCI investigation”) in relation to a designated undertaking where it has reasonable grounds to consider that a factor or combination of factors relating to a relevant digital activity may be having an adverse effect on competition.
(2) A PCI investigation is an investigation to enable the CMA to determine—
(a) whether to make a PCI, and
(b) if it concludes that it should make a PCI, the form and content of that PCI.
(3) The CMA may begin a PCI investigation in relation to a designated undertaking even if it has previously made a decision not to make a PCI in respect of that undertaking.
(1) Where the CMA begins a PCI investigation it must give the designated undertaking to which the investigation relates a notice (a “PCI investigation notice”).
(2) The PCI investigation notice must state—
(a) the reasonable grounds mentioned in section47(1);
(b) the purpose and scope of the PCI investigation;
(c) the period by the end of which the CMA must give the undertaking a notice setting out its decision as a result of the investigation (seesection 50(1));
(d) the circumstances in which that period may be extended (see section104).
(3) The CMA may give the undertaking one or more revised versions of the PCI investigation notice if it changes its view of the purpose and scope of the investigation, provided that the purpose and scope of the investigation remains substantially the same.
(4) As soon as reasonably practicable after giving a PCI investigation notice or a revised version of the PCI investigation notice, the CMA must publish the notice or the revised version of the notice.
(1) Before making a final decision (a “PCI decision”) on whether to make a PCI as a result of a PCI investigation, the CMA must—
(a) carry out a public consultation on its proposed decision, and
(b) bring the public consultation to the attention of such persons as it considers appropriate.
(2) For the purposes of the consultation the CMA must publish a statement setting out—
(a) the CMA’s findings as a result of the investigation, and
(b) a description of any PCI which the CMA is considering making.
(1) The CMA must give the designated undertaking to which a PCI investigation relates a notice of the PCI decision resulting from the investigation on or before the last day of the period (the “PCI investigation period”) of 9 months beginning with the day on which the PCI investigation notice is given to the undertaking.
(2) The notice must—
(a) state the CMA’s findings as a result of the PCI investigation,
(b) describe any PCI which the CMA intends to make, and
(c) include reasons for the CMA’s findings and decision.
(3) The giving of a revised version of the PCI investigation notice undersection 48(3)does not change the day on which the PCI investigation period begins.
(4) The CMA must make any PCI within the period of 4 months beginning with the day on which the CMA gives the notice under subsection(1).
(5) The CMA may extend the period mentioned in subsection(4)by up to 2 months where it considers that there are special reasons for doing so.
(6) Where the CMA decides not to make a PCI having previously indicated in a notice under subsection(1)that it intended to make a PCI, the CMA must give the undertaking a further notice—
(a) stating the CMA’s decision, and
(b) including reasons for the decision.
(7) As soon as reasonably practicable after giving a notice under subsection(1)or(6), the CMA must publish a copy of the notice.
(1) A pro-competition order may include any provision that may be included in an enforcement order under section 161 of EA 2002 (final orders following market investigation references; and see section 164 of and Schedule 8 to EA 2002 on the provision that may be included).
(2) For the purposes ofsubsection (1), Schedule 8 to EA 2002 (provision that may be contained in certain enforcement orders) has effect as if—
(a) the reference in paragraph 8(2) to “the relevant report” were to the notice under section50(1)of this Act;
(b) paragraphs 20A to 20BA were omitted.
(3) A pro-competition order may include provision imposing requirements on an undertaking on a trial basis for the purpose of assisting the CMA in establishing requirements that would be effective in remedying, mitigating or preventing—
(a) the adverse effect on competition to which the order relates;
(b) any detrimental effect on UK users or UK customers resulting from, or expected to result from, the adverse effect on competition.
(4) The provision that may be made in reliance on subsection(3)includes provision requiring an undertaking to act differently in respect of different users or customers (and such provision may be by reference to a description of users or customers, to absolute numbers of users or customers, or to a proportion of the undertaking’s total number of users or customers).
(5) A pro-competition order must contain provision in accordance with section55(3)(duty to ensure order contains date of next review).
(6) As soon as reasonably practicable after making a pro-competition order, the CMA must publish the order.
(1) The CMA may, by making a further pro-competition order, replace a pro-competition order where it considers that it is appropriate to do so, having regard in particular to—
(a) the effectiveness of the pro-competition order, or of particular provisions in the pro-competition order, in remedying, mitigating or preventing the adverse effect on competition and, where applicable, any detrimental effect on UK users or UK customers identified in the PCI investigation, and
(b) any change of circumstances since the pro-competition order was made.
(2) The CMA may, in particular, replace a pro-competition order so as to—
(a) replace requirements imposed by virtue of that order on a trial basis, or
(b) impose requirements on an undertaking that are similar to or informed by one or more requirements previously imposed on that undertaking, or on a different undertaking, by virtue of another pro-competition order on a trial basis.
(3) In this Chapter—
(a) references to making a replacement order are to revoking a pro-competition order (see section53) made following a PCI investigation and making a new pro-competition order in reliance on the findings of that PCI investigation, and
(b) references to a “replacement order” are to a pro-competition order made in reliance on subsection(1).
(1) A pro-competition order comes into force at such time as the CMA may specify in the order.
(2) A pro-competition order ceases to have effect—
(a) when revoked under this section, or
(b) subject to provision made in reliance onsection 17(existing obligations), when the designation to which it relates ceases to have effect.
(3) The CMA may revoke a pro-competition order where it considers that it is appropriate to do so, having regard in particular to any change of circumstances since the pro-competition order was made.
(4) Where the CMA decides to revoke a pro-competition order, it must give a notice to that effect to the designated undertaking to which the order relates.
(5) The notice may include transitional, transitory or saving provision in relation to the revocation of the pro-competition order.
(6) The CMA must publish the notice as soon as reasonably practicable after giving it.
(7) Where a pro-competition order resulting from a PCI investigation is revoked without being replaced, the CMA may not make a new pro-competition order in reliance on the same PCI investigation.
(8) The fact that a pro-competition order ceases to have effect does not affect the exercise of any functions in relation to a breach or possible breach of that order.
(1) The CMA must carry out a public consultation on the terms of any pro-competition order before making it (subject tosubsection (4)).
(2) The duty to consult imposed by subsection(1)may be satisfied by consultation on a proposed PCI decision in a case where—
(a) a draft pro-competition order was published for the purposes of that consultation, and
(b) the CMA proposes to make a pro-competition order that is the same or materially the same as the draft pro-competition order.
(3) Before revoking a pro-competition order, the CMA must (subject to subsection(4))—
(a) carry out a public consultation on the proposed revocation, and
(b) bring the public consultation to the attention of such persons as it considers appropriate.
(4) The duties in subsections(1)and(3)do not apply in relation to the making of a replacement order which, in the opinion of the CMA, is not materially different from the order which it replaces.
(1) The CMA must carry out a review of a pro-competition order, including a replacement order, to determine whether to—
(a) revoke it without making a replacement order, or
(b) make a replacement order.
(2) Each time the CMA makes a pro-competition order, including a replacement order, it must identify a date by which it will carry out the review under subsection(1).
(3) The CMA must secure that the date is specified in the order.
(4) The CMA must keep under review—
(a) the effectiveness of a pro-competition order;
(b) the extent to which an undertaking subject to a pro-competition order is complying with it;
(c) whether to take action in accordance withChapter 7(enforcement and appeals) in respect of any undertaking that breaches a pro-competition order.
(1) The CMA may accept an appropriate commitment from a designated undertaking as to its conduct in respect of an adverse effect on competition or a detrimental effect on UK users or UK customers that the CMA considers has resulted, or may be expected to result, from an adverse effect on competition.
(2) A commitment is appropriate where the CMA considers that compliance with the commitment by the undertaking would contribute to or otherwise be of use in remedying, mitigating or preventing—
(a) the adverse effect on competition, or
(b) the detrimental effect on UK users or UK customers.
(3) Following the acceptance of a commitment by the CMA as to the conduct of an undertaking—
(a) the undertaking that gave the commitment must comply with it at all times when it is in force, and
(b) so far as relating to the conduct, the CMA may give a notice to the undertaking—
(i) ending a PCI investigation (if it has begun one) without making a PCI decision, or
(ii) changing the scope of a PCI investigation.
(4) As soon as reasonably practicable after giving a notice undersubsection (3)(b), the CMA must publish a statement summarising the contents of the notice.
(5) The acceptance of a commitment does not prevent—
(a) a PCI investigation from continuing so far as it relates to conduct other than that to which the commitment relates, or
(b) the CMA beginning a new PCI investigation in relation to the conduct to which the commitment relates where it has reasonable grounds—
(i) to believe that there has been a material change of circumstances since the commitment was accepted,
(ii) to suspect that the undertaking has not complied with one or more of the terms of the commitment, or
(iii) to suspect that information which led it to accept the commitment was incomplete, false or misleading in a material particular.
(6) A commitment underthis sectioncomes into force when a notice of its acceptance is published by the CMA.
(7) A commitment under this section ceases to have effect—
(a) subject to provision made in reliance on section17(existing obligations)—
(i) in accordance with any terms of the commitment about when it is to cease to have effect, or
(ii) when the designation to which the commitment relates ceases to have effect, or
(b) when the undertaking is released from the requirement to comply with the commitment.
(8) The following provisions apply in relation to commitments underthis sectionas they apply in relation to commitments under section36—
(a) subsections(7)to(10)of section36;
(b) section37.
(1) A relevant person (in this Chapter, “P”) must report an event to whichsubsection (2)or(3)applies (a “reportable event”) to the CMA before the event takes place.
(2) This subsectionapplies to an event where—
(a) the event results in P having qualifying status (seesection 58) in respect of shares or voting rights in relation to a UK-connected body corporate, and
(b) the value of all consideration (seesection 59) provided by P, whether before or as part of the event, for shares or voting rights in the UK-connected body corporate is at least £25 million.
(3) This subsectionapplies to an event which consists of the formation by P and at least one other person of a body corporate (in this Chapter, a “joint venture vehicle”) where—
(a) P expects or intends that the joint venture vehicle will be a UK-connected body corporate,
(b) P has qualifying status in respect of shares or voting rights in relation to the joint venture vehicle, and
(c) the total value of—
(i) all capital and assets contributed by P to the joint venture vehicle when it is formed, and
(ii) all other consideration provided by P, whether directly or indirectly, in relation to the formation of the joint venture vehicle,
is at least £25 million.
(4) In this Chapter, “ relevant person” means—
(a) a designated undertaking, or
(b) where a designated undertaking is part of a group, any member of that group.
(5) In this Chapter, a “UK-connected body corporate” is any body corporate (wherever established or recognised) which—
(a) carries on activities in the United Kingdom, or
(b) supplies goods or services (whether for consideration or otherwise) to a person or persons in the United Kingdom.
(6) For the purposes of subsection(5), anything done by a subsidiary of a body corporate is to be treated as being done by the body corporate.
(7) The reference insubsection (3)to an “other person” is to a person who is not—
(a) the designated undertaking or part of the designated undertaking, or
(b) where the designated undertaking is part of a group, a member of that group.
(8) The duty to report an event under subsection(1)is subject to provision made by or under regulations undersection 67.
(9) For steps that the CMA may take in relation to a possible merger, see—
(a) section 33 of EA 2002 (duty to make references in relation to anticipated mergers), and
(b) section 72 of that Act (initial enforcement orders).
(1) For the purposes of section57(2), an event results in P having qualifying status in respect of shares or voting rights in relation to a UK-connected body corporate where the event results in the percentage of the shares or, as the case may be, the voting rights that P holds in the body corporate increasing—
(a) from less than 15% to 15% or more,
(b) from 25% or less to more than 25%, or
(c) from 50% or less to more than 50%.
(2) For the purposes of section57(3), P has qualifying status in respect of shares or voting rights in relation to a joint venture vehicle where the event results in P holding at least 15% of the shares or, as the case may be, voting rights in the joint venture vehicle.
(3) In subsections(1)and(2), references to holding a percentage of shares are—
(a) in the case of a body corporate that has a share capital, to holding shares comprised in the issued share capital of the body corporate of a nominal value (in aggregate) of that percentage of the share capital,
(b) in the case of a body corporate that does not have a share capital, to holding a right to a share of that percentage of the capital or profits of the body corporate, and
(c) in the case of a limited liability partnership, to holding a right to a share of that percentage of any surplus assets of the partnership on a winding up.
(4) For the purposes of subsection(3)(c), to the extent that rights to share in any surplus assets of the limited liability partnership on a winding up are not expressly provided for, each member of the partnership is to be treated as holding the right to an equal share of such assets.
(5) In subsections(1)and(2), references to voting rights are—
(a) in the case of a body corporate that has a share capital, to the rights conferred on shareholders in respect of their shares to vote at general meetings of the body corporate on all or substantially all matters, and
(b) in the case of a body corporate that does not have a share capital, to the rights conferred on members to vote at general meetings of the body corporate on all or substantially all matters,
and, in the case of a body corporate that does not have general meetings at which matters are decided by such votes, include any rights in relation to the body corporate that have the equivalent effect.
(6) A person is to be treated for the purposes of this Chapter as acquiring an interest or right (to the extent that the person would not otherwise be regarded as doing so) where the interest or right becomes treated as held by the person by virtue ofSchedule 2.
(1) The references in section57(2)(b)to the value of all consideration provided by P for shares or voting rights in a UK-connected body corporate is a reference to the value of all consideration provided by P, whether directly or indirectly, for shares or voting rights in the body corporate in all transactions which result in P holding shares or voting rights in the body corporate (whether or not the transaction is an event within section57(2)).
(2) In this Chapter, references to “consideration” are to fees, remuneration, assets of any description, liabilities assumed and any other kind of consideration, however provided, and include conditional and deferred consideration.
(3) The Secretary of State may by regulations make further provision about how the value of—
(a) consideration,
(b) capital, or
(c) assets,
is to be calculated for the purposes of this Chapter.
(4) The Secretary of State must consult the CMA before making regulations undersubsection (3).
(5) Regulations undersubsection (3)are subject to the negative procedure.
(1) The CMA must by notice make provision setting out—
(a) the information which a report for the purposes ofsection 57(1)must contain;
(b) the form in which such a report must be made.
(2) The notice may not require a report to contain information other than information which the CMA considers necessary to allow it to determine whether to—
(a) begin an investigation for the purposes of deciding whether to make a reference under section 33 of EA 2002 in relation to a reportable event, or
(b) make an initial enforcement order under section 72 of that Act in relation to a reportable event.
(3) The CMA may from time to time replace the notice.
(4) The CMA must publish any notice or replacement notice which it makes underthis section.
(5) The CMA must consult—
(a) the Secretary of State, and
(b) such other persons as it considers appropriate,
before making or replacing a notice underthis section.
(1) Two or more persons may comply with the duty insection 57(1)by making a joint report to the CMA.
(2) For the purposes of this Chapter, where a designated undertaking is part of a group—
(a) anything which a member of a group does or fails to do is to be treated as being done or not done by each member of the group;
(b) each member of a group is to be treated as providing the combined consideration provided by all members of the group;
(c) each member of a group is to be treated as holding the combined interests or rights of all members of the group.
(3) Schedule 2 makes further provision about cases in which a person is to be treated for the purposes of this Chapter as holding an interest or right.
(4) The duty to make a report undersection 57(1)does not apply—
(a) in relation to a reportable event which does not differ in any material respect from an event which has already been reported undersection 57(1);
(b) in relation to a reportable event so far as it consists of “notified arrangements” within the meaning of section 96(6) of EA 2002;
(c) in relation to a reportable event so far as the CMA has informed P that it has begun an investigation for the purposes of deciding whether it has to make a reference under section 33 of EA 2002 (duty to make references in relation to anticipated mergers) in relation to a matter that does not differ in any material respect from the reportable event;
(d) in relation to a reportable event so far as the Secretary of State has given the CMA an intervention notice under section 42 of EA 2002 (intervention by the Secretary of State in certain public interest cases) in relation to a relevant merger situation that does not differ in any material respect from the reportable event;
(e) in relation to a reportable event so far as the Secretary of State has given the CMA a special intervention notice under section 59 of EA 2002 (intervention by the Secretary of State in special public interest cases) in relation to a special merger situation that does not differ in any material respect from the reportable event.
(5) This Chapter does not require any steps to be taken in relation to an event where, after it has been reported to the CMA—
(a) the Secretary of State gives the CMA an intervention notice under section 42 of EA 2002 in relation to a relevant merger situation that does not differ in any material respect from the event;
(b) the Secretary of State gives the CMA a special intervention notice under section 59 of EA 2002 in relation to a special merger situation that does not differ in any material respect from the event;
(c) the CMA makes an initial enforcement order under section 72 of EA 2002 imposing obligations, prohibitions or restrictions in relation to the event;
(d) the undertaking to which the event relates ceases to be a designated undertaking.
(1) Where the CMA receives a report undersection 57(1), the CMA must, within the period of 5 working days beginning with the first working day after the day on which it receives the report, give a notice to the person that made the report confirming whether the CMA accepts that the report is sufficient.
(2) Where the CMA does not accept that a report is sufficient it must, in its notice undersubsection (1), include reasons for its decision.
(3) The CMA may not decide that a report is not sufficient where the report—
(a) contains all information required by notice under section60(1)(a), and
(b) is made in the form required by notice under section60(1)(b).
(4) A person who makes a report undersection 57(1)may withdraw that report at any time before the CMA gives notice that it has accepted that the report is sufficient.
(5) Where a report is withdrawn, this Chapter applies as if the event to which it related had not been reported to the CMA.
(1) A person to whom the duty insection 57(1)applies in relation to a reportable event must not allow the event to take place—
(a) without a report in relation to the event having been given to the CMA undersection 57(1), or
(b) before the end of the waiting period in relation to the event.
(2) The waiting period in relation to a reportable event is the period of 5 working days beginning with the first working day after the day on which the CMA gives the person that made a report a notice undersection 62(1)confirming that the CMA accepts that the report relating to the event is sufficient.
(3) If a reportable event takes place in contravention ofsubsection (1), each person to whom the duty insection 57(1)applied in relation to the event is to be treated as having breachedsubsection (1).
(4) The CMA may—
(a) give its consent to a reportable event happening before the end of the waiting period;
(b) revoke that consent before the reportable event happens.
(5) Subsection (1)does not apply in relation to a reportable event where the CMA gives and does not revoke consent under subsection(4)in relation to a reportable event.
(6) Section 95 of EA 2002 (rights to enforce statutory restrictions) applies in relation to the obligation to comply with subsection(1)as it applies in relation to the obligation to comply with section 77(2) or (3) or 78(2) of that Act.
Where a reportable event results from an agreement providing for P to acquire shares or voting rights, or to form a joint venture vehicle together with at least one other person, the event is to be treated as taking place for the purposes ofsection 57(1)andsection 63(1)when P becomes unconditionally obliged to acquire the shares or voting rights, or to form the joint venture vehicle.
(1) P may authorise another person to make a report undersection 57(1)and receive the notice undersection 62(1)which relates to the report on P’s behalf by giving a notice of the authorisation to the CMA.
(2) P may revoke an authorisation made under this section by giving a notice to that effect to the CMA.
(3) A notice undersubsection (1)or(2)must be signed by an officer of P.
(4) In this section, references to an “officer” of an undertaking are to an officer of a body corporate that is, or is comprised in, the undertaking.
Section 120 of EA 2002 (review of decisions under Part 3 of EA 2002: mergers) applies in relation to a decision made by the CMA in connection with its functions under this Chapter, other than a decision about the imposition of a penalty under section85(4)or87, as it applies in relation to decisions listed in subsection (1A) of that section.
(1) The Secretary of State may by regulations make provision about the duty to report a reportable event.
(2) The Secretary of State must consult the CMA before making regulations undersubsection (1).
(3) Regulations undersubsection (1)may (among other things) make provision—
(a) varying, adding or removing circumstances in which the duty to make a report applies;
(b) varying the period insection 62(1);
(c) varying the waiting period insection 63;
(d) about exemptions from the duty to make a report;
(e) varying, adding or removing circumstances in which one person may act on behalf of another undersection 65;
(f) modifying howsection 332applies for the purposes of this Chapter orSchedule 2;
(g) conferring functions on the CMA in relation to the duty to report, including power to make provision by notice or general or specific directions about a matter mentioned inparagraph (d);
(h) amending this Chapter orSchedule 2.
(4) Regulations undersubsection (1)that contain provision made in reliance on any of paragraphs(a),(b),(c),(d),(e)or(h)of subsection(3), whether alone or with other provision, are subject to the affirmative procedure.
(5) Any other regulations undersubsection (1)are subject to the negative procedure.
The CMA must keep under review—
(a) the extent to which persons comply with provisions made by, under or by virtue of this Chapter, and
(b) the appropriateness of taking action—
(i) in accordance with section 95 of EA 2002 (rights to enforce statutory restrictions) in respect of any person to whom section63(1)applies, and
(ii) in accordance withChapter 7(enforcement and appeals) in respect of any person that does not comply with provisions made by, under or by virtue of this Chapter.
(1) For the purpose of exercising, or deciding whether to exercise, any of its digital markets functions, the CMA may require a person (“ P”) to give specified information to it where it considers that the information is relevant to a digital markets function.
(2) The power conferred bysubsection (1)is to be exercised by giving P a notice (an “information notice”).
(3) The CMA must include in an information notice—
(a) the time and place at which the specified information must be given to the CMA;
(b) the manner and form in which the information must be given to the CMA;
(c) information about the possible consequences of not complying with the notice.
(4) The power underthis sectionto require P to give information to the CMA includes the power to—
(a) take copies of or extracts from information;
(b) require P to obtain or generate information;
(c) require P to collect or retain information that they would not otherwise collect or retain;
(d) if any specified information is not given to the CMA, require P to state, to the best of their knowledge and belief, both where that information is and why it has not been given to the CMA.
(5) For the purposes ofsubsection (4)(b), the CMA may include in an information notice—
(a) a requirement for P to vary their usual conduct (whether in relation to some or all users or potential users of any service or digital content that P provides);
(b) a requirement for P to perform a specified demonstration or test.
(6) In this section, “ specified” means—
(a) specified, or described, in the information notice, or
(b) falling within a category which is specified, or described, in the information notice.
(7) The powers conferred by this section are exercisable in relation to information whether it is stored within or outside the United Kingdom.
(1) Where the CMA gives an information notice to a designated undertaking or an undertaking that is the subject of a breach investigation, the CMA may include in the notice a requirement that the undertaking must name, in response to the notice, an individual who—
(a) the undertaking considers to be a senior manager of the undertaking, and
(b) may reasonably be expected to be in a position to ensure compliance with the requirements of the notice.
(2) Where the CMA imposes a requirement to name an individual, the information notice must require the undertaking to inform the individual about the consequences for the individual of any failure by the undertaking to comply with the notice (see section87).
(3) An individual can be considered to be a senior manager of an undertaking only if the individual plays a significant role in—
(a) making decisions about how the undertaking’s relevant activities are to be managed or organised, or
(b) managing or organising the undertaking’s relevant activities.
(4) An undertaking’s “relevant activities” are activities relating to the undertaking’s compliance with requirements imposed on it by or under this Part.
(1) The CMA may exercise the powers inthis sectionwhere it considers that a designated undertaking or an undertaking that is the subject of a breach investigation—
(a) has not complied with the requirements of an information notice (seesection 69), or
(b) has not complied with the duty to assist a skilled person with the preparation of a report (seesection 79(12)).
(2) The CMA may access business premises, equipment, services, information or individuals in order to—
(a) supervise the obtaining, generation, collection or retention of information by the undertaking,
(b) observe the undertaking’s conduct in relation to users, or
(c) observe a demonstration or test performed by the undertaking,
for the purpose of securing compliance with requirements imposed on the undertaking undersection 69orsection 79(12).
(3) Where the CMA requires access under subsection(2), it must give the undertaking a notice specifying—
(a) the access that it requires,
(b) a date by which the access must be provided, and
(c) the manner in which the access must be provided (which may be remote).
(4) The undertaking must give the CMA the access specified in the notice undersubsection (3).
(5) The powers conferred by this section are not exercisable in relation to premises, equipment or individuals outside the United Kingdom.
(6) But the powers conferred by this section are exercisable in relation to information and services whether stored or provided within or outside the United Kingdom.
(7) In this Chapter, “ business premises” means premises (or any part of premises) not used as a dwelling.
(1) If the CMA considers that an individual (“ X”) has information relevant to a digital markets investigation, the CMA may give a notice to X requiring X to answer questions with respect to any matter relevant to that digital markets investigation—
(a) at a place or in a manner (which may be remote) specified in the notice, and
(b) either at a time specified in the notice or on receipt of the notice.
(2) The CMA must include in the notice—
(a) details of the digital markets investigation;
(b) information about the possible consequences of not complying with the notice.
(3) Where X is connected to (see section118(3)) the undertaking that is the subject of the digital markets investigation, the CMA must give a copy of the notice undersubsection (1)to the undertaking.
(4) The CMA must comply with the requirement undersubsection (3)—
(a) at the time the notice is given to X, or
(b) where that is not practicable, as soon as reasonably practicable after the notice is given to X.
(5) The CMA, or any person nominated by it, may take evidence in answer to questions undersubsection (1)on oath, and for that purpose may administer oaths.
(6) The powers conferred bythis sectionare not exercisable in relation to an individual outside the United Kingdom.
(1) A statement by X in response to a requirement imposed by virtue ofsection 72(a “section 72statement”) may only be used in evidence against X—
(a) on a prosecution for an offence under section93or94;
(b) on a prosecution for some other offence in a case falling withinsubsection (2).
(2) A prosecution falls withinthis subsectionif, in the proceedings—
(a) in giving evidence, X makes a statement inconsistent with thesection 72statement, and
(b) evidence relating to thesection 72statement is adduced, or a question relating to it is asked, by or on behalf of X.
(1) For the purposes of a breach investigation, the CMA may authorise an officer of the CMA (“ an investigating officer”) to enter any business premises (see section71(7)) and exercise the powers in subsection(5)if the CMA has reasonable grounds to suspect that information is on or accessible from the premises that is relevant to the breach investigation.
(2) No investigating officer is to enter any premises in the exercise of their powers underthis sectionunless they have given to the occupier of the premises a notice which—
(a) gives at least two working days’ notice of the intended entry,
(b) describes the subject matter and purpose of the breach investigation, and
(c) includes information about the possible consequences of not complying with the notice.
(3) Subsection (2)does not apply if—
(a) the CMA has a reasonable suspicion that the premises are, or have been, occupied by the undertaking which is the subject of the breach investigation, or
(b) the investigating officer has taken all such steps as are reasonably practicable to give notice but has not been able to do so.
(4) In a case falling withinsubsection (3), the power of entry conferred bysubsection (1)is to be exercised by the investigating officer on production of—
(a) evidence of their authorisation, and
(b) a document containing the information referred to in paragraphs(b)and(c)ofsubsection (2).
(5) An investigating officer may, in addition to entering any premises—
(a) take with them such equipment as appears to them to be necessary;
(b) require any person on the premises to—
(i) give information to the officer which the officer considers relevant to the breach investigation;
(ii) if any required information is not given to the officer, state, to the best of the person’s knowledge and belief, where that information may be found;
(c) take copies of, or extracts from, any information given to an investigating officer;
(d) take any steps which appear to be necessary for the purpose of preserving or preventing interference with any information which the officer considers relevant to the breach investigation.
(6) Any information which is given to an investigating officer under subsection(5)must be in a form—
(a) in which it can be taken away, and
(b) which is visible and legible or from which it can be readily be generated in a visible and legible form.
(7) The powers conferred bythis sectionare not exercisable in relation to premises outside the United Kingdom.
(8) But the powers conferred by this section are exercisable in relation to information whether it is stored within or outside the United Kingdom.
(1) On an application made to it by the CMA for the purposes of a breach investigation, the court or the Tribunal may issue a warrant if it is satisfied that—
(a) there are reasonable grounds for suspecting that there is information on or accessible from any premises which is relevant to the breach investigation (“information of the relevant kind”), and
(b) one or both of the following applies—
(i) the exercise by the CMA of another digital markets investigation power has not resulted in the CMA being given the information of the relevant kind;
(ii) there are reasonable grounds for suspecting that there is no other digital markets investigation power the exercise of which would result in the CMA being given the information of the relevant kind.
(2) A warrant underthis sectionauthorises a named officer of the CMA (“the authorised officer”), and any other of the CMA’s officers whom the CMA has authorised in writing to accompany the authorised officer, to—
(a) enter the premises specified in the warrant, using such force as is reasonably necessary;
(b) take onto the premises such equipment as appears to the authorised officer to be necessary;
(c) search the premises for information appearing to be information of the relevant kind;
(d) operate any equipment found on the premises for the purpose of producing information;
(e) require any person on the premises to provide such assistance as the authorised officer may reasonably require (including providing passwords or encryption keys and operating equipment on the premises);
(f) require any person on the premises to give information to the authorised officer;
(g) require any person on the premises to state, to the best of their knowledge and belief, where information appearing to be of the relevant kind may be found;
(h) take copies of, or extracts from, any information appearing to be information of the relevant kind;
(i) take possession of any information appearing to be information of the relevant kind that is produced under paragraph(d)or given to the authorised officer underparagraph (f);
(j) take possession of any other information appearing to be information of the relevant kind if—
(i) such action appears to be necessary for preserving the information or preventing interference with it, or
(ii) it is not reasonably practicable to take copies of the information on the premises;
(k) take any other steps which appear to be necessary for the purpose of preserving any information appearing to be information of the relevant kind or preventing interference with it.
(3) Any information which is given to an investigating officer under subsection(2)must be in a form—
(a) in which it can be taken away, and
(b) which is visible and legible or from which it can be readily be generated in a visible and legible form.
(4) A warrant underthis sectionmay authorise persons specified in the warrant to accompany the authorised officer who is executing it.
(5) A warrant underthis sectioncontinues in force until the end of the period of one month beginning with the day on which it is issued.
(6) Any information which the CMA obtains undersubsection (2)may be retained for a period of three months.
(7) For the purposes ofthis sectionand section76—
“ domestic premises” means premises (or any part of premises) that are used as a dwelling and are—
premises also used in connection with the affairs of an undertaking or, where the undertaking is part of a group, a member of that group, or
premises where information relating to the affairs of an undertaking or, where the undertaking is part of a group, a member of that group, is located;
“ occupier”, in relation to any premises, means a person whom the authorised officer reasonably believes is the occupier of those premises;
“ premises” includes business premises (see section71(7)) and domestic premises.
(1) A warrant undersection 75must describe—
(a) the subject matter and purpose of the breach investigation, and
(b) the offence created bysection 95.
(2) The powers conferred bysection 75are to be exercised on production of the warrant issued under that section.
(3) If there is no one at the premises when the authorised officer proposes to execute the warrant they must, before executing it—
(a) take reasonable steps to inform the occupier of the intended entry, and
(b) if the occupier is informed, afford them or their legal or other representative a reasonable opportunity to be present when the warrant is executed.
(4) If the authorised officer is unable to inform the occupier of the intended entry they must, when executing the warrant, leave a copy of it in a prominent place on the premises.
(5) On leaving any premises which they have entered by virtue of a warrant undersection 75, the authorised officer must, if the premises are unoccupied or the occupier is temporarily absent, leave them as effectively secured as they found them.
(6) The powers conferred bysection 75are not exercisable in relation to premises outside the United Kingdom.
(7) But the powers conferred bysection 75are exercisable in relation to information whether it is stored within or outside the United Kingdom.
(1) The Criminal Justice and Police Act 2001 is amended as follows.
(2) In section 50 (additional powers of seizure from premises), at the end insert—
“(7) Without prejudice to any power conferred by this section to take a copy of any document, nothing in this section, so far as it has effect by reference to the power to take copies of, or extracts from, information under section 75 (2) (h) of the Digital Markets, Competition and Consumers Act 2024, is to be taken to confer any power to seize any information. ”
(3) In section 57 (retention of seized items), in subsection (1), at the end insert—
“(v) section 75 (6) of the Digital Markets, Competition and Consumers Act 2024. ”
(4) In section 63 (powers of seizure: copies), in subsection (1), at the end insert—
“(d) for the purposes of this Part, except sections 50 and 51, the powers in section 75 (2) (d) and (f) of the Digital Markets, Competition and Consumers Act 2024 are to be treated as powers of seizure, and references to seizure and to seized property are to be construed accordingly. ”
(5) In section 64 (meaning of “ appropriate judicial authority”), in subsection (3), in paragraph (a), at the end insert—
“(iv) section 75 (2) of the Digital Markets, Competition and Consumers Act 2024. ”
(6) In section 65 (meaning of “ legal privilege”), after subsection (3A) insert—
“(3B) In relation to property which has been seized in exercise, or purported exercise, of—
(a) the power of seizure conferred by section 75 (2) of the Digital Markets, Competition and Consumers Act 2024, or
(b) so much of any power of seizure conferred by section 50 as is exercisable by reference to that power,
references in this Part to an item subject to legal privilege are to be read as references to a privileged communication within the meaning of section 81 (privileged communications) of that Act. ”
(7) In section 66 (general interpretation of Part 2), in subsection (5), after paragraph (i) insert—
“(j) section 75 (2) (j) of the Digital Markets, Competition and Consumers Act 2024; ”
(8) In Part 1 of Schedule 1 (powers of seizure to which section 50 of that Act applies), at the end insert—
“73W Digital Markets, Competition and Consumers Act 2024
Each of the powers of seizure conferred by section 75 (2) (i) and (j) of the Digital Markets, Competition and Consumers Act 2024 (seizure of information for the purposes of a breach investigation). ”
(1) An application for a warrant undersection 75must be made—
(a) in the case of an application to the court, in accordance with rules of court;
(b) in the case of an application to the Tribunal, in accordance with Tribunal rules.
(2) In Schedule 4 to EA 2002 (tribunal: procedure), in paragraph 10A, in sub-paragraph (1), after “the 1998 Act” insert “orsection 75of the Digital Markets, Competition and Consumers Act 2024”.
(1) The CMA may exercise the powers inthis sectionin relation to a designated undertaking, an undertaking that is the subject of a breach investigation or an undertaking that is the subject of an SMS investigation (in each case, “U”) for the purpose of exercising, or deciding whether to exercise, any of its digital markets functions.
(2) The CMA may appoint a skilled person to provide it with a report in a specified form about matters relevant to the purposes for which the powers underthis sectionare or may be exercised (“the relevant matters”).
(3) Where the CMA makes such an appointment, the CMA must give a notice to U—
(a) confirming the appointment;
(b) specifying the relevant matters.
(4) A notice undersubsection (3)may also make provision for U to be liable for payment, directly to the skilled person, of the skilled person’s remuneration and expenses relating to the preparation of the report.
(5) As an alternative to subsection(2), the CMA may give a notice to U—
(a) requiring U to appoint a skilled person to provide the CMA with a report in such form as may be specified in the notice;
(b) specifying the relevant matters to be explored in the report;
(c) specifying the date by which the report must be provided.
(6) Where the skilled person is to be appointed by U, U may not make an appointment unless the CMA has approved in writing—
(a) the identity of the skilled person, and
(b) the terms on which they will be appointed, including in relation to their remuneration and expenses.
(7) Subsections (8)to(10)apply in relation to an amount due to a skilled person from U underthis section.
(8) In England and Wales, such an amount is recoverable—
(a) if the county court so orders, as if it were payable under an order of that court;
(b) if the High Court so orders, as if it were payable under an order of that court.
(9) In Scotland, such an amount may be enforced in the same manner as an extract registered decree arbitral bearing a warrant for execution issued by the sheriff court of any sheriffdom in Scotland.
(10) In Northern Ireland, such an amount is recoverable—
(a) if a county court so orders, as if it were payable under an order of that court;
(b) if the High Court so orders, as if it were payable under an order of that court.
(11) References inthis sectionto a skilled person are to a person appearing to the CMA to have the skills necessary to prepare a report about the relevant matters.
(12) It is the duty of—
(a) U, and
(b) any person connected to (see section118(3)) U,
to give a skilled person who has been appointed under this section all such assistance (including access to such business premises (see section71(7)), equipment, services, information and individuals) as the skilled person may reasonably require to prepare the report.
(13) The duty insection 79(12)does not include a duty to give access to premises, equipment or individuals outside the United Kingdom.
(14) But the duty insection 79(12)does include a duty to give access to information and services whether stored or provided within or outside the United Kingdom.
(1) A person to whom any of subsections(2),(3),(4)and(5)applies must not, without reasonable excuse—
(a) destroy, otherwise dispose of, falsify or conceal, or
(b) cause or permit the destruction, disposal, falsification or concealment of,
any relevant information.
(2) This subsection applies to a person where the person knows or suspects that a breach investigation or a PCI investigation is being or is likely to be carried out in relation to an undertaking.
(3) This subsection applies to a person where the person is, or is connected to (see section118(3)), an undertaking that is not a designated undertaking and knows that the undertaking is the subject of an initial SMS investigation.
(4) This subsection applies to a person where the person is, or is connected to, a designated undertaking and knows that—
(a) the undertaking is required to produce a compliance report under section84, or
(b) the undertaking is the subject of a further SMS investigation.
(5) This subsection applies to a person where the person is, or is connected to, an undertaking and knows or suspects that the CMA is assisting, or is likely to assist, an overseas regulator in carrying out, in relation to the undertaking, any of its functions which correspond or are similar to the functions of the CMA under this Part (seeChapter 2ofPart 5(provision of investigative assistance to overseas regulators)).
(6) For the purposes of this section, relevant information is information which the person knows or suspects is or would be—
(a) relevant to the investigation mentioned in subsection(2),(3),(4)or(5), as the case may be,
(b) used by an undertaking to produce the compliance report, or
(c) relevant to the provision of assistance to the overseas regulator.
(1) A person may not be required under any provision of this Chapter to produce, generate or give to the CMA or an officer of the CMA a privileged communication.
(2) Nothing in this Chapter authorises the CMA or an officer of the CMA to produce or take possession of, or take copies of or extracts from, a privileged communication (but this is subject to Part 2 of the Criminal Justice and Police Act 2001, as amended bysection 77of this Act).
(3) A “privileged communication” is a communication—
(a) between a professional legal adviser and their client, or
(b) made in connection with, or in contemplation of, legal proceedings and for the purposes of those proceedings,
which in proceedings in the High Court would be protected from disclosure on grounds of legal professional privilege.
(4) In the application of this section to Scotland—
(a) the reference to the High Court is to be read as a reference to the Court of Session, and
(b) the reference to legal professional privilege is to be read as a reference to the confidentiality of communications.
(1) Where the CMA assists an overseas regulator in carrying out any of its functions which correspond or are similar to the functions of the CMA under this Part (seeChapter 2ofPart 5(provision of investigative assistance to overseas regulators)), the CMA may publish a notice of its decision to do so which may, in particular—
(a) identify the overseas regulator concerned;
(b) summarise the matter in respect of which the assistance is requested;
(c) identify the undertaking in respect of which the assistance is requested.
(2) Section112does not apply to a notice under subsection(1)to the extent that it includes information other than information mentioned in that subsection.
(1) An undertaking must ensure that, at all times when the undertaking is subject to a digital markets requirement, it has an officer with responsibility for carrying out the functions set out insubsection (2)in relation to that digital markets requirement (a “nominated officer”).
(2) The functions are—
(a) monitoring the undertaking’s compliance with the digital markets requirement and all related requirements;
(b) cooperating with the CMA for the purposes of securing that the undertaking complies with the digital markets requirement and all related requirements to the satisfaction of the CMA;
(c) securing that the undertaking complies withsection 84(compliance reports).
(3) A “digital markets requirement” is any of the following—
(a) a conduct requirement undersection 19;
(b) a requirement imposed by virtue of a pro-competition order undersection 46;
(c) a requirement to comply with a commitment given under section56.
(4) A “related requirement” is any of the following relating to a digital markets requirement—
(a) a requirement imposed by virtue of an enforcement order undersection 31orsection 32;
(b) the requirement to comply with a commitment given undersection 36;
(c) a requirement imposed by virtue of a final offer order under section41(2)orsection 42;
(d) a requirement in a direction under section 87 of EA 2002 (delegated power of directions) given by virtue of a pro-competition order (seesection 51(1)).
(5) A nominated officer must be an individual who the undertaking—
(a) considers to be a senior manager of the undertaking, within the meaning ofsection 70(3), and
(b) reasonably expects to be in a position to fulfil the functions set out insubsection (2)in relation to the digital markets requirement.
(6) An undertaking that is required to have a nominated officer undersubsection (1)must, as soon as reasonably practicable, inform the CMA of the identity of the nominated officer (including any replacement officer).
(1) An undertaking that is subject to a digital markets requirement (as defined in section83(3)) must provide the CMA with a compliance report in relation to that digital markets requirement for each reporting period (as specified in a notice under subsection(3)).
(2) A compliance report is a report setting out—
(a) the extent to which the nominated officer considers that the undertaking has complied with the digital markets requirement and each related requirement (see section83(4)) during the reporting period;
(b) how the undertaking has complied, and intends to continue to comply, with the digital markets requirement and each related requirement;
(c) such other information as the CMA may direct in relation to compliance with the digital markets requirement and each related requirement.
(3) At the same time as imposing a digital markets requirement on an undertaking, the CMA must give a notice to the undertaking specifying—
(a) the manner and form of the compliance report to be provided in relation to that digital markets requirement, and
(b) the reporting period for that digital markets requirement.
(4) The CMA may amend the requirements specified in a notice under subsection(3)by giving a further notice to the undertaking.
(5) The CMA may give a notice to an undertaking requiring it to publish a compliance report or a summary of a compliance report at such time, and in such manner and form, as the CMA may set out in the notice.
(1) Where the CMA considers that an undertaking has, without reasonable excuse, failed to comply with a requirement listed insubsection (2), it may impose a penalty on the undertaking.
(2) The requirements are—
(a) a requirement imposed by virtue of an enforcement order undersection 31orsection 32,
(b) a requirement imposed by virtue of a final offer order undersection 41(including a requirement imposed in reliance onsection 42),
(c) a requirement imposed by virtue of a pro-competition order undersection 46, and
(d) the requirement to comply with a commitment given undersection 36or56.
(3) The CMA may impose a penalty on an undertaking where the CMA considers that the undertaking has, without reasonable excuse, failed to comply with a conduct requirement undersection 19.
(4) The CMA may impose a penalty on an undertaking or, where the undertaking is part of a group, the group, where the CMA considers that the undertaking or any member of the group has, without reasonable excuse, failed to comply with a requirement inChapter 5(mergers).
(1) The amount of a penalty imposed on a person under section85may be such amount as the CMA considers appropriate, provided it does not exceed the amounts set out in subsection(4).
(2) The amount of a penalty under section85(1)must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) The amount of a penalty under section85(3)or(4)must be a fixed amount.
(4) The maximum amounts of a penalty that may be imposed are—
(a) in the case of a fixed amount, an amount equal to 10% of the total value of the turnover of the undertaking or, where the undertaking is part of a group, the turnover of the group;
(b) in the case of an amount calculated by reference to a daily rate, for each day an amount equal to 5% of the total value of the daily turnover of the undertaking or, where the undertaking is part of a group, the daily turnover of the group;
(c) in the case of a combination of a fixed amount and an amount calculated by reference to a daily rate, the amounts mentioned in paragraph(a), in relation to the fixed amount, and paragraph(b), in relation to the amount calculated by reference to a daily rate.
(5) Insubsection (4), references to the total value of the turnover or daily turnover of an undertaking or group are to the total value of the turnover or daily turnover of the undertaking or, as the case may be, group, both inside and outside the United Kingdom.
(1) The CMA may impose a penalty on a person where it considers that the person has, without reasonable excuse—
(a) failed to comply with a requirement imposed by or underChapter 6,
(b) given information which is false or misleading in a material particular in connection with any function of the CMA under this Part, or
(c) given information which is false or misleading in a material particular to another person knowing that the information was to be used for the purpose of giving information to the CMA in connection with any function of the CMA under this Part.
(2) The CMA may impose a penalty on an individual named as a senior manager undersection 70as well as on the undertaking that names the individual where—
(a) the CMA considers that the individual has failed, without reasonable excuse, to prevent a failure or an action by the undertaking of a sort mentioned in subsection(1), and
(b) the failure or action relates to an information notice in response to which the individual was named as a senior manager.
(3) The CMA may impose a penalty on an individual who is appointed by an undertaking to be a nominated officer undersection 83in relation to a digital markets requirement (within the meaning of that section), as well as on the undertaking that appoints the individual, where the CMA considers that the individual has failed, without reasonable excuse, to prevent the undertaking from failing to comply with a requirement in or undersection 84(compliance reports) in relation to that digital markets requirement.
(4) The CMA may impose a penalty on an individual where it considers that the individual has, without reasonable excuse, obstructed an officer of the CMA acting in the exercise of the officer’s powers under—
(a) section74, or
(b) a warrant issued under section75.
(1) The amount of a penalty imposed on a person under section87may be such amount as the CMA considers appropriate, provided it does not exceed the amounts set out in subsections(3)and(5).
(2) The amount of a penalty under section87must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) The maximum amounts of a penalty that may be imposed on an undertaking that is not an individual are—
(a) in the case of a fixed amount, an amount equal to 1% of the total value of the person’s turnover (both inside and outside the United Kingdom);
(b) in the case of an amount calculated by reference to a daily rate, for each day an amount equal to 5% of the total value of the person’s daily turnover (both inside and outside the United Kingdom);
(c) in the case of a combination of a fixed amount and an amount calculated by reference to a daily rate, the amounts mentioned in paragraph (a), in relation to the fixed amount, and paragraph (b), in relation to the amount calculated by reference to a daily rate.
(4) Where a person is an undertaking that is part of a group, references in subsection(3)to the person’s turnover are to the turnover of that group.
(5) The maximum amounts of a penalty that may be imposed on an individual or a person that is not an undertaking are—
(a) in the case of a fixed amount, £30,000,
(b) in the case of an amount calculated by reference to a daily rate, £15,000 per day, or
(c) in the case of a combination of a fixed amount and an amount calculated by reference to a daily rate, the amounts mentioned in paragraph(a), in relation to the fixed amount, and paragraph(b), in relation to the amount calculated by reference to a daily rate.
(6) The Secretary of State may by regulations amend the amounts mentioned in paragraphs(a)and(b)of subsection(5).
(7) The Secretary of State must consult the CMA and such other persons as the Secretary of State considers appropriate before making regulations under subsection(6).
(8) Regulations under subsection(6)are subject to the affirmative procedure.
(1) Sections 112 (penalties: main procedural requirements), 113 (payments and interest by instalments), 114 (appeals), and 115 (recovery of penalties) of EA 2002 apply in relation to a penalty imposed under section85or87as they apply in relation to a penalty imposed under section 110(1) of that Act.
(2) For the purposes of this section—
(a) sections 112 to 115 of EA 2002 are to be read as if references to “the appropriate authority” were references to “the CMA” only;
(b) section 114(5A) of that Act is to be read as if the words “In the case of a penalty imposed on a person by the CMA or OFCOM,” were omitted;
(c) section 114(12) of that Act is to be read as if, for paragraph (b), there were substituted—
“(b) “ the relevant guidance ” means the statement of policy which was most recently published under section 91 of the Digital Markets, Competition and Consumers Act 2024 at the time of the act or omission giving rise to the penalty. ”
(1) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the service on the person concerned of the provisional penalty notice under section 112(A1) of EA 2002 (as applied by section89), and
(b) unless the CMA determines an earlier day (whether before or after the penalty is imposed), the amount payable ceases to accumulate at the beginning of—
(i) the day on which the person first complies with the requirement in question, or
(ii) if earlier, where the requirement was imposed in connection with the provision by the CMA of assistance to an overseas regulator (seesection 319(provision of investigative assistance to overseas regulators)), the day on which the overseas regulator no longer requires that assistance.
(2) The Secretary of State may by regulations make provision for determining the turnover (both inside and outside the United Kingdom) of a person for the purposes of this Chapter.
(3) The regulations may (among other things)—
(a) make provision about amounts which are, or are not, to be included in a person’s turnover;
(b) make provision about the date or dates by reference to which a person’s turnover is to be determined;
(c) confer on the CMA the power to determine and make provision about matters specified in the regulations (including the matters mentioned in paragraphs(a)and(b)).
(4) Regulations under subsection(2)are subject to the negative procedure.
(1) The CMA must prepare and publish a statement of policy in relation to the exercise of powers to impose a penalty under sections85and87.
(2) The statement must include a statement about the considerations relevant to the determination of—
(a) whether to impose a penalty under section85or87;
(b) the nature and amount of any such penalty.
(3) The CMA may revise its statement of policy and, where it does so, must publish the revised statement.
(4) In preparing or revising its statement of policy the CMA must consult—
(a) the Secretary of State, and
(b) such other persons as the CMA considers appropriate.
(5) A statement of policy, or revised statement, may not be published underthis sectionwithout the approval of the Secretary of State.
(6) Subsection(7)applies where the CMA proposes to impose a penalty on a person.
(7) The CMA must have regard to the statement of policy most recently published under this section at the time of the act or omission giving rise to the penalty when deciding—
(a) whether to impose the penalty, and
(b) if so, the amount of the penalty.
(1) The CMA may not impose a penalty on a person under section87in relation to an act or omission which constitutes an offence under section93,94or95if the person has, in relation to that act or omission, been found guilty of that offence.
(2) A person may not be found guilty of an offence under section93,94or95by virtue of an act or omission if the person has paid a penalty imposed under section87in relation to that act or omission.
(1) A person (“ P”) commits an offence if, having been required to give information to the CMA or any other person under a provision ofChapter 6, P—
(a) intentionally or recklessly destroys or otherwise disposes of it, falsifies it or conceals it, or
(b) causes or permits its destruction, disposal, falsification or concealment.
(2) Seesection 97for provision restricting the application of this section in relation to acts done by a person who is outside the United Kingdom.
(1) A person (“ P”) commits an offence if—
(a) P gives information to the CMA in connection with any of the CMA’s digital markets functions,
(b) the information is false or misleading in a material particular, and
(c) P knows that it is or is reckless as to whether it is.
(2) A person (“ P”) commits an offence if P gives information to another person which is false or misleading in a material particular and P—
(a) either—
(i) knows the information to be false or misleading in a material particular, or
(ii) is reckless as to whether the information is false or misleading in a material particular, and
(b) knows that the information will be given to the CMA in connection with any of its digital markets functions.
(3) Seesection 97for provision restricting the application of this section in relation to acts done by a person who is outside the United Kingdom.
(1) A person (“ P”) commits an offence if P intentionally obstructs an officer of the CMA acting in the exercise of the officer’s powers under—
(a) section74, or
(b) a warrant issued under section75.
(2) Seesection 97for provision restricting the application of this section in relation to acts done by a person who is outside the United Kingdom.
(1) If an offence under section93,94or95committed by a body corporate is proved—
(a) to have been committed with the consent or connivance of an officer of the body corporate, or
(b) to be attributable to neglect on the part of an officer of the body corporate,
the officer as well as the body corporate is guilty of the offence and liable to be proceeded against and punished accordingly.
(2) If the affairs of a body corporate are managed by its members, subsection(1)applies in relation to the acts and defaults of a member in connection with the member’s functions of management as if the member were an officer of the body corporate.
(3) If an offence under section93,94or95committed by a partnership in Scotland is proved—
(a) to have been committed with the consent or connivance of a partner, or
(b) to be attributable to neglect on the partner’s part,
the partner as well as the partnership is guilty of the offence and liable to be proceeded against and punished accordingly.
(4) In subsection(3), “ partner” includes a person purporting to act as a partner.
(5) Seesection 97for provision restricting the application of this section in relation to acts done by a person who is outside the United Kingdom.
A person does not commit an offence under section93,94or95(including as those sections are applied by section96) by virtue of an act done when the person is outside the United Kingdom unless one or more of the following applies at the time of the act—
(a) the person is a United Kingdom national;
(b) the person is an individual who is habitually resident in the United Kingdom;
(c) the person is a body incorporated under the law of any part of the United Kingdom.
A person guilty of an offence under section93,94or95is liable—
(a) on summary conviction in England and Wales, to a fine;
(b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum;
(c) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.
(1) In the Company Directors Disqualification Act 1986, in section 9A (competition disqualification order), in subsection (4)—
(a) in the words before paragraph (a), for “either” substitute “any”;
(b) at the end insert—
“(e) a requirement imposed by or under Chapter 3 of Part 1 of the Digital Markets, Competition and Consumers Act 2024 (undertakings with strategic market status in respect of a digital activity: conduct requirements);
(f) a requirement imposed by or under Chapter 4 of Part 1 of that Act (pro-competition interventions). ”
(2) In the Company Directors Disqualification (Northern Ireland) Order 2002 ( S.I. 2002/3150 (N.I. 4)), in Article 13A (competition disqualification order), in paragraph (4)—
(a) in the words before paragraph (a), for “either” substitute “any”;
(b) at the end insert—
“(e) a requirement imposed by or under Chapter 3 of Part 1 of the Digital Markets, Competition and Consumers Act 2024 (undertakings with strategic market status in respect of a digital activity: conduct requirements);
(f) a requirement imposed by or under Chapter 4 of Part 1 of that Act (pro-competition interventions). ”
(1) If a person fails, without reasonable excuse, to comply with a requirement mentioned insubsection (2)(a “subsection (2)requirement”), the CMA may apply to the court for an order—
(a) requiring the person to comply with thesubsection (2)requirement within a time specified in the court’s order, or
(b) if thesubsection (2)requirement related to anything to be done in the management or administration of an undertaking, requiring the undertaking, or any of its officers, members or partners, to do it.
(2) The requirements are—
(a) a requirement imposed by virtue of an enforcement order (seesection 31andsection 32);
(b) a requirement to comply with a commitment given under section36or56;
(c) a requirement imposed by virtue of a final offer order (seesection 41(2)andsection 42);
(d) a requirement imposed by virtue of a pro-competition order (see section46).
(3) An order of the court undersubsection (1)may provide for all of the costs of, or incidental to, the application for the order to be borne by—
(a) the person that failed to comply with thesubsection (2)requirement, or
(b) where the person responsible for the failure is an undertaking, any officer of a body corporate that is or is comprised in that undertaking.
(4) In the application ofsubsection (3)to Scotland, the reference to “costs” is to be read as a reference to “expenses”.
(5) Inthis section, references to an “officer”, “member” or “partner” of an undertaking are to an officer, member or partner of a body corporate or, as the case may be, partnership, that is, or is comprised in, the undertaking.
(1) A relevant requirement is to be treated as a duty owed by the person that is subject to the requirement to any other person (“ P”) who may be affected by a breach of the requirement.
(2) Where a breach of a relevant requirement causes P to sustain loss or damage, P may bring civil proceedings against the person that has breached the requirement before the appropriate court or the Tribunal for damages, an injunction or interdict or any other appropriate relief or remedy.
(3) Subsections(1)and(2)are subject to the defences and other incidents applying to actions for breach of statutory duty.
(4) For the purposes of this section and section102, a relevant requirement is—
(a) a conduct requirement under section19;
(b) a requirement imposed by virtue of a pro-competition order under section46;
(c) a requirement to comply with a commitment given under section36or56.
(5) Rules of court and Tribunal rules may make provision about the transfer from the Tribunal to the appropriate court or from the appropriate court to the Tribunal of all or any part of a claim made in proceedings undersubsection (2).
(6) For the purposes of this section and section102, the “ appropriate court” means—
(a) in relation to England and Wales or Northern Ireland, the High Court, and
(b) in relation to Scotland, the Court of Session or a sheriff court of any sheriffdom.
(7) In Schedule 4 to EA 2002 (tribunal: procedure), in paragraph 1A, in sub-paragraph (1) after “the 1998 Act” insert “orsection 101of the Digital Markets, Competition and Consumers Act 2024”.
(1) The appropriate court (seesection 101) and the Tribunal are bound by a CMA breach decision once it has become final.
(2) A CMA breach decision becomes final—
(a) when the time for applying for a review of that decision has passed without an application being made, or
(b) where an application has been made, when the application has been finally determined or has otherwise ended.
(3) For the purposes ofsubsection (2)(b), an application is not finally determined until any appeal relating to it has been determined (ignoring any possibility of an appeal out of time with permission).
(4) This section applies to the extent that the appropriate court or the Tribunal would not otherwise be bound by the CMA breach decision in question.
(5) In this section, a “CMA breach decision” is a decision by the CMA in accordance with this Part that a person has breached a relevant requirement (as defined in section101).
(6) Rules of court or Tribunal rules may make provision in respect of assistance to be given by the CMA to the appropriate court or the Tribunal in proceedings brought otherwise than by the CMA in respect of a breach, or an alleged breach, of a relevant requirement.
(1) A person with a sufficient interest in any decision to which subsection(2)applies may apply to the Tribunal in accordance with Tribunal rules for a review of that decision.
(2) This subsection applies to any decision made by the CMA in connection with its digital markets functions (including a decision not to exercise a function) apart from—
(a) a decision made by the CMA in connection with its functions underChapter 5(but see section66);
(b) a decision about the imposition of a penalty under section85or87(but see section89(1)).
(3) The making of an application undersubsection (1)does not suspend the effect of the decision to which the application relates except so far as a direction to the contrary is given by the Tribunal.
(4) In determining an application underthis section, the Tribunal must apply the same principles as would be applied—
(a) in the case of proceedings in England and Wales or Northern Ireland, by the High Court in determining proceedings on judicial review;
(b) in the case of proceedings in Scotland, by the Court of Session on an application to the supervisory jurisdiction of that Court.
(5) The Tribunal may—
(a) dismiss the application or quash the whole or part of the decision to which it relates, and
(b) where it quashes the whole or part of that decision, refer the matter back to the CMA with a direction to reconsider and make a new decision in accordance with the ruling of the Tribunal.
(6) An appeal lies on any point of law arising from a decision of the Tribunal underthis sectionto the appropriate court.
(7) An appeal under subsection(6)requires the permission of the Tribunal or the appropriate court.
(8) Inthis section, “ the appropriate court” means—
(a) in relation to England and Wales or Northern Ireland, the Court of Appeal, or
(b) in relation to Scotland, the Court of Session.
(1) The CMA may publish a notice extending a relevant investigation period or a final offer period by a period of up to 3 months where it considers that there are special reasons for doing so.
(2) A notice undersubsection (1)must specify how long the extension is for.
(3) The CMA may also publish a notice extending a relevant investigation period or a final offer period where it considers that—
(a) in relation to a relevant investigation period—
(i) a person has failed to comply with any requirement of a notice under section69(power to require information) or under section72(power to interview) which was given in relation to an SMS investigation, a conduct investigation or a PCI investigation, and
(ii) the failure is preventing the CMA from properly discharging the digital markets functions to which the investigation relates, or
(b) in relation to a final offer period—
(i) a person has failed to comply with any requirement of a notice under section69, and
(ii) the failure is preventing the CMA from properly discharging any of its functions under sections38to45(final offer mechanism).
(4) An extension undersubsection (3)is for the period—
(a) beginning with the day on which it comes into force, and
(b) ending with the day on which the CMA publishes a notice of its decision to end the extension.
(5) The CMA must publish a notice undersubsection (4)(b)where the person who had failed to comply as mentioned insubsection (3)gives the information in question to the CMA or, as the case may be, answers questions and provides explanations to the satisfaction of the CMA.
(6) An extension undersubsection (1)or(3)begins with the day on which the notice undersubsection (1)or(3), as the case may be, is published.
(7) Where—
(a) the CMA extends an SMS investigation period relating to a further SMS investigation undersubsection (1)or(3),
(b) the extension means that the SMS investigation period would (apart from this subsection) continue after the end of the designation period for the existing designation which is the subject of the further SMS investigation, and
(c) in the case of an extension undersubsection (3), the person who had failed to comply is, or is connected to, the designated undertaking,
the designation period for the existing designation is extended until the end of the SMS investigation period.
(8) Inthis sectionand insection 105references to a “relevant investigation period” are to—
(a) an SMS investigation period;
(b) a conduct investigation period;
(c) a PCI investigation period.
(1) A period may be extended under both section104(1)and(3).
(2) No more than one extension is possible under section104(1).
(3) Where a relevant investigation period or a final offer period is extended or further extended under section104(1)or(3), the period as extended or, as the case may be, further extended is, subject tosubsection (4), to be calculated by taking the period being extended and adding to it the period of the extension (whether or not those periods overlap in time).
(4) Where—
(a) a relevant investigation period or a final offer period is further extended undersection 104(3), and
(b) the further extension overlaps with a previous extension under section104(3),
the period of overlap is to be disregarded in calculating the period of the further extension.
(1) The CMA may make a reference to the CMA chair for the constitution of a group under Schedule 4 to ERRA 2013 in respect of any non-reserved digital markets function.
(2) A reference underthis sectionmust specify the non-reserved digital markets function in respect of which the reference is made (“the referred function”).
(3) A CMA group constituted under ERRA 2013 for the purposes of a reference underthis sectionmust carry out the referred function.
(4) For the purposes ofthis section, a “non-reserved digital markets function” is any digital markets function other than a digital markets function that the CMA Board may not delegate—
(a) under paragraph 29(1) of Schedule 4 to ERRA 2013, as a result of paragraph 29(2) of that Schedule as it has effect from time to time, or
(b) under paragraph 29(1)(a) of that Schedule, as a result of paragraph 29(2A) of that Schedule as it has effect from time to time.
(5) Insubsection (1), “ CMA chair” means the person appointed under paragraph 1(1)(a) of Schedule 4 to ERRA 2013.
(6) In Schedule 4 to ERRA 2013 (the Competition and Markets Authority), paragraph 29 (delegation) is amended as follows.
(7) In sub-paragraph (2) (functions which cannot be delegated), at the end insert—
“(g) whether to begin an initial SMS investigation under section 9 of the Digital Markets, Competition and Consumers Act 2024 (“ the 2024 Act ”);
(h) whether to begin a further SMS investigation under section 10 of the 2024 Act;
(i) whether to begin a PCI investigation under section 47 of the 2024 Act. ”
(8) After sub-paragraph (2) insert—
“(2A) Sub-paragraph (1)(a) does not apply to the functions of deciding—
(a) whether to make a designation under section 2 of the 2024 Act;
(b) what, if any, provision to make in reliance on section 17 of the 2024 Act;
(c) whether to impose a conduct requirement under section 19 of the 2024 Act;
(d) whether to revoke a conduct requirement under section 22 of the 2024 Act;
(e) whether to make, and the form of, an enforcement order, other than an interim enforcement order, under section 31 of the 2024 Act;
(f) whether to accept a commitment under section 36 or section 56 of the 2024 Act;
(g) whether to exercise the power conferred by section 38 (1) of the 2024 Act (power to adopt final offer mechanism);
(h) whether to make, and the form of, a pro-competition intervention under section 46 of the 2024 Act;
(i) the contents of a notice under section 50 of the 2024 Act (notice of decision on pro-competition intervention);
(j) whether to replace a pro-competition order under section 52 of the 2024 Act;
(k) whether to revoke a pro-competition order under section 53 of the 2024 Act.
(l) whether to impose a penalty on a person under section 85 or section 87 of the 2024 Act;
(m) the amount of any such penalty.
(2B) A committee or sub-committee of the CMA Board may not be authorised to carry out any of the functions listed in sub-paragraph (2A) unless—
(a) the committee or sub-committee includes—
(i) at least two members of the Board who are not members of the CMA’s staff, or
(ii) the chair and at least one member of the Board who is not a member of the CMA’s staff, and
(b) at least half of the members of the committee or sub-committee are—
(i) members of the Board who are not members of the CMA’s staff, or
(ii) members of the CMA panel. ”
(9) After sub-paragraph (3) insert—
“(4) The Secretary of State may by regulations made by statutory instrument amend sub-paragraphs (2) or (2A) so as to add or remove functions of the CMA under Part 1 of the 2024 Act.
(5) The regulations may make incidental, transitional or saving provision.
(6) A statutory instrument containing regulations under sub-paragraph (4) may not be made unless a draft of the instrument has been laid before and approved by a resolution of each House of Parliament. ”
(1) The CMA must consult the FCA on a proposal to exercise a regulatory digital markets function in respect of a matter where the CMA considers the matter is a matter in relation to which the CMA and the FCA may have concurrent functions (see sections 234I (functions under Part 4 of EA 2002) and 234J (functions under CA 1998) of the Financial Services and Markets Act 2000 (as amended by this Act) (“ FSMA”)).
(2) The CMA must consult OFCOM on a proposal to exercise a regulatory digital markets function in respect of a matter where the CMA considers the matter is a matter in relation to which the CMA and OFCOM may have concurrent functions (see sections 370 (functions under Part 4 of EA 2002) and 371 (functions under CA 1998) of the Communications Act 2003 (as amended by this Act)).
(3) The CMA must consult the Information Commissioner on a proposal to exercise a regulatory digital markets function in a manner that the CMA considers is likely to have a material adverse effect on the ability of the Information Commissioner to exercise functions under—
(a) the data protection legislation,
(b) the Privacy and Electronic Communications (EC Directive) Regulations 2003 ( S.I. 2003/2426), or
(c) the Network and Information Systems Regulations 2018 ( S.I. 2018/506).
(4) The CMA must consult the Bank of England on a proposal to exercise a regulatory digital markets function in a manner that the CMA considers is likely to have a material adverse effect on the ability of the Bank of England to advance the Financial Stability Objective as defined in section 2A of the Bank of England Act 1998.
(5) The CMA must consult the PRA on a proposal to exercise a regulatory digital markets function in a manner that the CMA considers is likely to have a material adverse effect on the ability of the PRA to advance—
(a) its general objective under section 2B of FSMA, or
(b) its insurance objective under section 2C of FSMA.
(6) The duties insubsections (1)to(5)apply only to the extent that the CMA considers that compliance does not impose a burden on it that outweighs the benefits of compliance.
(1) The FCA or OFCOM may make a recommendation to the CMA where they consider that the CMA should exercise a regulatory digital markets function in relation to an undertaking and a digital activity.
(2) A recommendation undersubsection (1)must—
(a) describe the undertaking, the digital activity, and the regulatory digital markets function to which it relates, and
(b) be given to the CMA in writing.
(3) A recommendation underthis sectionmust be accompanied by a statement of reasons for the recommendation.
(4) Within the period of 90 days beginning with the day on which it receives a recommendation, the CMA must—
(a) give notice to the regulator that made the recommendation—
(i) setting out the action that the CMA has taken or intends to take in response to the recommendation, and
(ii) including the reasons for its decision, and
(b) publish a summary of the notice.
(1) In Schedule 14 to EA 2002 (provisions about disclosure of information) at the appropriate place insert—
“Part 1 of the Digital Markets, Competition and Consumers Act 2024. ”
(2) In Schedule 15 to EA 2002 (provisions about disclosure of information) at the appropriate places insert—
“Privacy and Electronic Communications (EC Directive) Regulations 2003 ( S.I. 2003/2426 ). ”;
““ Regulation (EU) No 910/2014 of the European Parliament and of the Council of 23 July 2014 on electronic identification and trust services for electronic transactions in the internal market and repealing Directive 1999/93/EC . ”;
““ Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data (United Kingdom General Data Protection Regulation). ”;
““Part 4 of the Network and Information Systems Regulations 2018 ( S.I. 2018/506 ). ”;
““Data Protection Act 2018. ”;
““ Part 1 of the Digital Markets, Competition and Consumers Act 2024. ”
(1) The CMA may require an undertaking to pay it a levy in respect of a chargeable year during the whole or part of which the undertaking is a designated undertaking.
(2) The amount of the levy is to be calculated in accordance with rules made for the purposes ofthis sectionby the CMA (“the levy rules”).
(3) The CMA may amend or replace the levy rules.
(4) The levy rules must—
(a) secure that the aggregate amount payable in respect of a chargeable year is not to exceed the costs which the CMA incurs in exercising its digital markets functions during that year;
(b) make provision about how the aggregate amount payable in respect of a chargeable year is to be divided between the undertakings which are designated undertakings for the whole or part of that year;
(c) secure that where an undertaking is a designated undertaking for only part of a chargeable year, the amount of the levy payable by that undertaking in respect of that chargeable year is proportionately reduced;
(d) set out how the CMA is to estimate the costs which it expects to incur in exercising its digital markets functions during a chargeable year;
(e) set out how the CMA is to calculate the costs which it actually incurs in exercising its digital markets functions during a chargeable year;
(f) make provision about the repayment or crediting of any amounts of levy paid in respect of a chargeable year on the basis of the CMA’s estimate of the costs it would incur in exercising its digital markets functions during that year where the CMA’s estimated costs exceed the CMA’s actual costs of exercising those functions during that year;
(g) secure that any repayment or crediting in respect of a chargeable year in accordance with provision made underparagraph (f), so far as relating to an undertaking, is in proportion to the amount paid by that undertaking in respect of that year;
(h) make provision about the charging of amounts of levy in respect of a chargeable year where the CMA’s actual costs of exercising its digital markets functions during that year exceed the costs which the CMA estimated it would incur;
(i) secure that, where an undertaking is required to pay an amount of levy in respect of a chargeable year in accordance with provision made underparagraph (h), the amount which the undertaking is required to pay is in proportion to the amount already paid by the undertaking in respect of that year;
(j) make provision about the administration and payment of the levy.
(5) The levy rules may make provision for interest to be charged, at the rate specified for the time being in section 17 of the Judgments Act 1838, on any amount of levy not paid by the date on which it is due.
(6) References insubsection (4)to an amount payable by an undertaking do not include interest charged in accordance with provision made undersubsection (5).
(7) The CMA must pay any amount that it receives in accordance with provision made undersubsection (5)into the Consolidated Fund.
(8) The CMA must consult such persons as it considers appropriate before making the levy rules, including any amended or replacement levy rules (seesection 113).
(9) The consultation must include a draft of the proposed levy rules.
(10) The CMA must, at the same time as beginning consultation undersubsection (8), arrange for the draft of the proposed levy rules to be laid before Parliament.
(11) The CMA must publish the levy rules, including amended or replacement rules.
(12) An amount payable by an undertaking in accordance withthis sectionand the levy rules is recoverable as a civil debt due to the CMA.
(13) For the purposes ofthis section—
(a) a chargeable year is a period of 12 months ending with 31 March;
(b) the CMA’s costs of exercising its digital markets functions do not include costs incurred by the CMA for the purposes of litigation.
(1) Unless otherwise stated, this Part applies in relation to persons outside the United Kingdom.
(2) A power to give a notice to a person outside the United Kingdom by virtue ofthis Partis exercisable only if the person is withinsubsection (3),(4)or(5).
(3) A person is withinthis subsectionif the person is, or is part of—
(a) a designated undertaking or an undertaking to which an obligation applies by virtue of provision made in reliance on section17(1)(existing obligations);
(b) an undertaking that is the subject of a digital markets investigation.
(4) A person is within this subsection if the person is an individual—
(a) who is named as a senior manager undersection 70or appointed as a nominated officer undersection 83, and
(b) on whom the CMA has imposed or is considering imposing a penalty undersection 87(2)or87(3), as the case may be.
(5) A person is withinthis subsectionif the person—
(a) is a United Kingdom national,
(b) is an individual who is habitually resident in the United Kingdom,
(c) is a body incorporated under the law of any part of the United Kingdom, or
(d) carries on business in the United Kingdom.
(6) Nothing inthis sectionis to be taken to limit any other power of the CMA to give a notice to a person outside the United Kingdom.
For the purposes of the law relating to defamation, absolute privilege attaches to anything done by the CMA in the exercise of any of its functions underthis Part.
(1) The CMA must comply with any duty to consult underthis Partin such manner as it considers practicable, having regard in particular to—
(a) any need to keep information confidential, and
(b) the timetable for making a final decision or taking any action following the consultation.
(2) Any consultation which the CMA carries out underthis Partmust include—
(a) reasons for the finding, decision or proposal to which the consultation relates, and
(b) such other information as the CMA considers necessary to allow a proper understanding of those reasons (subject tosubsection (1)(b)).
(3) The CMA must comply with any duty to publish a notice or any other document under this Part by publishing the notice or document online, having regard to any need to keep information confidential.
(4) In order to give effect to any need to keep information confidential, the CMA may publish the notice or other document in a redacted form.
(1) The CMA must publish guidance on how it will exercise its functions under this Part.
(2) The CMA may revise or replace guidance published under this section.
(3) The CMA must publish any revised or replacement guidance.
(4) Before publishing guidance (including any revised or replacement guidance) under this section, the CMA must—
(a) consult such persons as it considers appropriate, and
(b) obtain the approval of the Secretary of State.
(5) When the CMA seeks the approval of the Secretary of State for guidance, the Secretary of State must—
(a) approve the guidance, or
(b) give reasons to the CMA for not approving it.
(6) The Secretary of State must comply withsubsection (5)before the end of the 30th working day after the day on which the CMA seeks the Secretary of State’s approval.
In the Public Interest Disclosure (Prescribed Persons) Order 2014 ( S.I. 2014/2418), in the table in the Schedule, in the entry for the Competition and Markets Authority, in the right hand column, after “Kingdom” insert “, including matters relating to Part 1 of the Digital Markets, Competition and Consumers Act 2024 (digital markets)”.
(1) This section applies for the purposes of—
(a) digital markets proceedings, or
(b) competition proceedings.
(2) A court or the Tribunal must not make a disclosure order requiring the CMA to disclose or produce information where the court or the Tribunal is satisfied that another person would be reasonably able to provide the information.
(3) A court or the Tribunal must not make a disclosure order requiring the disclosure or production of digital markets investigation information before the CMA gives notice of the closure or outcome of each investigation to which the information relates.
(4) In this section—
“ competition proceedings” has the meaning given by paragraph 2(4) of Schedule 8A to the Competition Act 1998 (further provision about claims in respect of loss or damage before a court or the Tribunal);
“ digital markets investigation information” means information—
prepared by a person other than the CMA for the purpose of a digital markets investigation;
sent by the CMA in connection with such an investigation to a person that is the subject of the investigation;
“ digital markets proceedings” means proceedings undersection 101(rights to enforce requirements ofPart 1) or proceedings on appeal from such proceedings.
(5) Paragraphs 7 and 27 of Schedule 8A to the Competition Act 1998 (other definitions; disclosure orders) apply for the purposes of this section as they apply for the purposes of Part 6 of that Schedule.
(6) In Schedule 8A to the Competition Act 1998—
(a) in paragraph 7 (other definitions), after sub-paragraph (2) insert—
“(2A) “ Digital markets proceedings ” means proceedings under section 101 of the Digital Markets, Competition and Consumer Act 2024 (rights to enforce requirements of Part 1 ). ”;
(b) in paragraph 28, after “competition proceedings” insert “or digital markets proceedings”;
(c) in paragraph 29, after “competition proceedings” insert “or digital markets proceedings”;
(d) in paragraph 30(1), after “competition proceedings” insert “or digital markets proceedings”.
(1) This sectionmakes provision about groups for the purposes ofthis Part.
(2) An undertaking is part of a group if one or more bodies corporate which are comprised in the undertaking are members of the same group as one or more other bodies corporate.
(3) For the purposes ofthis Part, two bodies corporate are members of the same group if—
(a) one is the subsidiary of the other, or
(b) both are subsidiaries of the same body corporate.
(1) Inthis Part—
“ breach investigation” means an investigation (including a conduct investigation) into whether an undertaking is breaching or has breached a requirement imposed on the undertaking under this Part by virtue of the undertaking being, or having been, a designated undertaking;
“ conduct investigation” has the meaning given by section26(1);
“ conduct investigation notice” has the meaning given by section26(3);
“ conduct investigation period” has the meaning given bysection 30(2);
“ conduct requirements” has the meaning given bysection 19(3);
“ consumer” has the meaning given by section 129(1) of EA 2002;
“ the court”, except where otherwise stated, means—
in relation to England and Wales or Northern Ireland, the High Court, and
in relation to Scotland, the Court of Session;
“ customer” includes a customer who is not a consumer;
“ designated undertaking” means an undertaking which the CMA has designated as having SMS in respect of a digital activity;
“ designation” means the designation of an undertaking as having SMS in respect of a relevant digital activity;
“ designation period” has the meaning given bysection 15(3)(e);
“ digital content” has the meaning given bysection 330;
“ digital markets functions” means—
the functions that the CMA has underthis Part, and
the CMA’s power to do anything that is calculated to facilitate, or is conducive or incidental to, the performance of those functions (see paragraph 20 of Schedule 4 to ERRA 2013 (additional powers));
“ digital markets investigation” means—
an SMS investigation;
a breach investigation (including a conduct investigation);
a PCI investigation;
the “ digital markets investigation powers” are the powers that the CMA has under—
section 69(power to require information);
section 71(power of access);
section 72(power to interview);
section 74(power to enter business premises without a warrant);
section 75(power to enter premises under a warrant);
section 79(reports by skilled persons);
“ enforcement order” has the meaning given bysection 31(1);
“ the FCA” means the Financial Conduct Authority;
“ final offer initiation notice” has the meaning given bysection 40(1);
“ final offer order” has the meaning given bysection 41(2);
“ final offer payment terms” has the meaning given bysection 38(1);
“ final offer period” has the meaning given bysection 41(3);
“ further SMS investigation” has the meaning given bysection 10(3);
“ grouped third parties” has the meaning given bysection 39(3);
“ grouped transactions” has the meaning given bysection 39(3);
“ information” includes—
information in the form of a document, whether in draft or final form;
information in any other form;
data, code, algorithms, estimates, forecasts, returns and explanations;
“ information notice” has the meaning given bysection 69(2);
“ initial SMS investigation” has the meaning given bysection 9(2);
“ interim enforcement order” has the meaning given bysection 32(1);
“ joined third parties” has the meaning given bysection 39(1);
“ OFCOM” means the Office of Communications;
“ officer”, in relation to a body corporate, means a director, manager, secretary or other similar officer of the body;
“ PCI” stands for “pro-competition intervention”;
“ PCI decision” has the meaning given bysection 49(1);
“ PCI investigation” has the meaning given bysection 47(1);
“ PCI investigation notice” has the meaning given bysection 48(1);
“ PCI investigation period” has the meaning given bysection 50(1);
“ person”, in addition to the meaning given by the Interpretation Act 1978, includes an undertaking;
“ the PRA” means the Prudential Regulation Authority;
“ pro-competition order” has the meaning given bysection 46(3)(a);
“ product” means—
goods;
services;
digital content;
the “ regulatory digital markets functions” are—
the power to open an SMS investigation undersection 9(1)(initial SMS investigation) orsection 10(1)or(2)(further SMS investigation);
the power to designate an undertaking as having SMS underChapter 2(strategic market status);
the power to revoke a designation underChapter 2(strategic market status);
the power to impose or revoke conduct requirements underChapter 3(conduct requirements);
the power to make, replace or revoke PCIs underChapter 4(pro-competition interventions);
“ relevant digital activity” in relation to a designated undertaking means a digital activity in respect of which the undertaking has been designated as having SMS;
the “ relevant service or digital content” in relation to a digital activity means the service or digital content the provision of which constitutes (together with any other activity carried out for the purposes of that provision) the digital activity;
“ SMS” stands for “strategic market status”;
“ SMS conditions” are the conditions set out insection 2(2);
“ SMS decision notice” has the meaning given bysection 14(2);
“ SMS investigation” means an initial SMS investigation and a further SMS investigation;
“ SMS investigation notice” has the meaning given bysection 11(1);
“ SMS investigation period” has the meaning given bysection 14(2);
“ submission date” has the meaning given bysection 40(2)(d);
“ subsidiary” has the meaning given by section 1159 of the Companies Act 2006;
“ the Tribunal” means the Competition Appeal Tribunal;
“ Tribunal rules” means rules under section 15 of EA 2002;
“ the turnover condition” has the meaning given bysection 7;
“ UK user” and “UK customer” mean any user or, as the case may be, customer who it is reasonable to assume—
in the case of an individual, is normally in the United Kingdom, and
in any other case, is established in the United Kingdom;
“ undertaking” has the same meaning as it has for the purposes of Part 1 of CA 1998 (competition: agreements, abuse of dominant position etc);
“ user” includes any person, legal or natural, and, in relation to a digital activity, means any user of the relevant service or digital content.
(2) Inthis Part—
(a) references to “giving notice” or “giving a notice” are to giving notice or giving a notice in writing;
(b) references to “using” include, in relation to a service or digital content, interacting, or carrying out activities that interact, in any way, directly or indirectly, with the service or digital content;
(c) references to the supply, provision, acquisition or use of goods or services include the supply, provision, acquisition or use of digital content.
(3) In this Part, a person is “connected to” an undertaking if that person—
(a) is concerned in the management or control of the undertaking,
(b) is employed by the undertaking, or
(c) works for the undertaking in any other capacity.
(1) In Chapter 1 of Part 1 of CA 1998 (agreements), section 2 (agreements etc preventing, restricting or distorting competition) is amended as follows.
(2) For subsection (1) substitute—
“(1) Subject to section 3, agreements between undertakings, decisions by associations of undertakings or concerted practices which have as their object or effect the prevention, restriction or distortion of competition within the United Kingdom and which—
(a) in the case of agreements, decisions or practices implemented, or intended to be implemented in the United Kingdom, may affect trade in the United Kingdom, or
(b) in any other case, are likely to have an immediate, substantial and foreseeable effect on trade within the United Kingdom,
are prohibited unless they are exempt in accordance with the provisions of this Part. ”
(3) Omit subsection (3).
(4) The amendments made by this section do not have effect in relation to agreements between undertakings (within the meaning of CA 1998) made before the coming into force ofthis section.
(5) Subsection (5) of section 2 of CA 1998 applies for the purposes ofsubsection (4)as it applies for the purposes of Part 1 of that Act.
(1) Part 1 of CA 1998 (competition) is amended as follows.
(2) In Schedule 3 (planning obligations and general exclusions) omit paragraph 8 (coal and steel).
(3) In section 3 (Chapter 1: excluded agreements), in subsection (3)(b)(ii) omit “, 2, 8”.
(4) In section 19 (Chapter 2: excluded cases) omit subsection (3).
(1) Chapter 3 of Part 1 of CA 1998 (competition: investigation and enforcement) is amended as follows.
(2) After section 25A insert—
(1) Subsection (2) applies where a person knows or suspects that an investigation by the CMA under section 25 is being or is likely to be carried out.
(2) The person must not—
(a) falsify, conceal, destroy or otherwise dispose of, or
(b) cause or permit the falsification, concealment, destruction or disposal of,
a document which the person knows or suspects is or would be relevant to the investigation.
(3) In this section, the reference to concealing a document includes a reference to destroying the means of reproducing information recorded otherwise than in legible form. ”
(3) Insection 40ZE(enforcement of requirements: imposition of penalties) (inserted byparagraph 8ofSchedule 10), insubsection (1), inparagraph (a), after “imposed on the person” insert “by section 25B or”.
(1) Section 28 of CA 1998 (power to enter business premises under a warrant) is amended as follows.
(2) In subsection (1)—
(a) in paragraph (a), in the words before sub-paragraph (i), after “there are on” insert “or accessible from”;
(b) in paragraph (b), in sub-paragraph (i), after “there are on” insert “or accessible from”;
(c) in paragraph (c), after “there are on” insert “or accessible from”.
(3) In subsection (2)—
(a) in paragraph (f) omit “and which the named officer considers relates to any matter relevant to the investigation,”;
(b) after that paragraph insert—
“(g) to operate any equipment found on the premises for the purposes of producing such information in such a form;
(h) to require any person on the premises to give the named officer any assistance the named officer may reasonably require (including for the purposes of paragraphs (f) and (g) );
(i) to take copies of, or take possession of, anything produced in accordance with paragraph (f) or (g) which the named officer considers relates to any matter relevant to the investigation. ”
(4) Section 28A of CA 1998 (power to enter domestic premises under a warrant) is amended as follows.
(5) In subsection (1)—
(a) in paragraph (a), in the words before sub-paragraph (i), after “there are on” insert “or accessible from”;
(b) in paragraph (b), in sub-paragraph (i), after “there are on” insert “or accessible from”.
(6) In subsection (2)—
(a) in paragraph (f) omit “and which the named officer considers relates to any matter relevant to the investigation,”;
(b) after that paragraph insert—
“(g) to operate any equipment found on the premises for the purposes of producing such information in such a form;
(h) to require any person on the premises to give the named officer any assistance the named officer may reasonably require (including for the purposes of paragraphs (f) and (g) );
(i) to take copies of, or take possession of, anything produced in accordance with paragraph (f) or (g) which the named officer considers relates to any matter relevant to the investigation. ”
(7) In section 30 of CA 1998 (privileged communications), after subsection (1) insert—
“(1A) Nothing in section 28 or 28A authorises an officer to produce or take possession of, or make copies of or take extracts from, anything which, by virtue of subsection (1), a person could not be required to produce or disclose under this Part. ”
(1) Part 2 of the Criminal Justice and Police Act 2001 (powers of seizure) is amended as follows.
(2) In section 50 (additional powers of seizure from premises), in subsection (6), after “section 28(2)(b)” insert “or 28A(2)(b)”.
(3) In section 57(1) (retention of seized items), in paragraph (n), for “section 28(7)” substitute “sections 28(7) and 28A(8)”.
(4) In section 63(2) (powers of seizure: copies), in paragraph (h), after “section 28(2)(f)” insert “or(g)or 28A(2)(f) or(g)”.
(5) In section 64(3) (meaning of “ appropriate judicial authority”), in paragraph (a)(iii), for “section 28(2)” substitute “sections 28(2) and 28A(2)”.
(6) In section 65(2) (meaning of “ legal privilege”), in paragraph (a)—
(a) for “power” substitute “powers”;
(b) after “section 28(2)” insert “or 28A(2)”.
(7) In section 66(5) (general interpretation of Part 2), in paragraph (h), for “section 28(2)(c)” substitute “sections 28(2)(c) and 28A(2)(c)”.
(8) In Part 1 of Schedule 1 (powers of seizure: powers to which section 50 applies), in paragraph 67 (the Competition Act 1998), for “section 28(2)” substitute “sections 28(2) and 28A(2)”.
(1) In section 46 of CA 1998 (appealable decisions), in subsection (3)—
(a) after paragraph (h) insert—
“(ha) to make directions under section 35,
(hb) not to make directions under section 35, ”;
(b) in the words after paragraph (i), for “, 33 or 35” substitute “or 33”.
(2) Schedule 8 to CA 1998 (appeals) is amended as follows.
(3) In paragraph 3 (decisions of the tribunal: merits-based appeals), in sub-paragraph (A1)—
(a) in paragraph (a), for “or (h)” substitute “, (h), (ha) or (hb)”;
(b) in paragraph (b), for “or (c)” substitute “, (c), (d) or (e)”.
(4) In paragraph 3A (decisions of the tribunal: appeals on judicial review principles), in sub-paragraph (1)—
(a) in paragraph (a), for “or (h)” substitute “, (h), (ha) or (hb)”;
(b) in paragraph (b), for “or (c)” substitute “, (c), (d) or (e)”.
Schedule 3makes provision allowing the Competition Appeal Tribunal to grant declaratory relief.
(1) In section 47C of CA 1998 (collective proceedings: damages and costs), before subsection (2) insert—
“(1) The Tribunal may not award exemplary damages in collective proceedings. ”
(2) In Schedule 8A of CA 1998 (further provision about claims in respect of loss or damage before a court or the Tribunal)—
(a) in Part 4 (cartels), in paragraph 15 (liability of immunity recipients)—
(i) the existing text becomes sub-paragraph (1);
(ii) in sub-paragraph (1), in the words before paragraph (a), for “in respect of loss and damage suffered by” substitute “to”;
(iii) after that sub-paragraph insert—
“(2) But an immunity recipient is not liable (either alone or jointly) by virtue of sub-paragraph (1)(e) to pay exemplary damages. ”;
(b) omit Part 8 (exemplary damages);
(c) in Part 10 (application), in paragraph 42, in sub-paragraph (1) omit “, 8”.
(3) The amendments made by this section have effect in relation to competition claims, competition proceedings, claims for contribution arising from competition claims and proceedings relating to such claims to the extent that—
(a) the claims and proceedings relate to an infringement of competition law that takes place after the coming into force of this section, and
(b) the loss or damage (if any) to which the claims or proceedings relate is suffered after the coming into force of this section.
(4) For the purposes ofsubsection (3), where an infringement of competition law takes place over a period of two or more days it is to be taken to have taken place on the first of those days.
(5) Terms used insubsection (3)and in Schedule 8A to CA 1998 have the same meaning insubsection (3)as they do in that Schedule (see Part 1 of that Schedule).
Schedule 4makes provision amending the thresholds in Part 3 of EA 2002 (mergers) for the creation of relevant merger situations and special merger situations.
Schedule 5makes provision amending Part 3 of EA 2002 (mergers) to include provision about the making of fast-track references under section 22 or 33 of that Act.
Schedule 6makes provision amending Part 3 of EA 2002 (mergers) and Schedule 16 to the Energy Act 2023 (mergers of energy network enterprises) in relation to mergers involving energy network enterprises.
(1) Schedule 7makes provision for the purposes of preventing foreign powers from gaining control or influence over newspaper enterprises.
(2) The amendments made by that Schedule—
(a) apply in relation to enterprises ceasing to be distinct on or after the effective date, but not in relation to enterprises ceasing to be distinct before the effective date;
(b) apply in relation to arrangements in progress or in contemplation on or after the effective date which, if carried into effect, would result in the creation of a foreign state newspaper merger situation by virtue of enterprises ceasing to be distinct on or after the effective date.
(3) Insubsection (2), “ the effective date” means 13 March 2024.
(1) Chapter 1 of Part 3 of EA 2002 (mergers: duty to make references) is amended as follows.
(2) In section 39 (time-limits for investigations and reports)—
(a) before subsection (3) insert—
“(2A) Where the CMA and the persons carrying on the enterprises concerned agree—
(a) that the period within which a report under section 38 is to be prepared and published (the “original period”) should be extended, and
(b) the duration of the period by which the original period should be extended (the “extension period”),
the CMA may extend the original period by the extension period. ”;
(b) in subsection (7), after “subsection” insert “(2A),”;
(c) after that subsection insert—
“(7A) An extension under subsection (2A) continues in force until—
(a) the end of the extension period, or
(b) an earlier time if, before the end of that period—
(i) the CMA and the persons carrying on the enterprises concerned agree that the extension should be cancelled with effect from the earlier time, and
(ii) the CMA publishes its decision to cancel the extension with effect from that time. ”
(3) In section 40 (section 39: supplementary)—
(a) for subsection (3) substitute—
“(3) A period extended under any subsection of section 39 may also be extended under any other subsection of that section. ”;
(b) in subsection (5), for “section 39(3)” substitute “section 39(2A), (3)”.
(4) In Chapter 5 of Part 3 (mergers: supplementary), in section 107(2) (further publicity requirements), in paragraph (d), for “section 39(8)(b)” substitute “section 39(7A)(b) or (8)(b)”.
(1) Chapter 2 of Part 3 of EA 2002 (mergers: public interest cases) is amended as follows.
(2) In section 51 (time-limits for investigations and reports by CMA)—
(a) before subsection (3) insert—
“(2A) Where —
(a) the CMA and the persons carrying on the enterprises concerned agree—
(i) that the period within which a report under section 50 is to be prepared and published (the “original period”) should be extended, and
(ii) the duration of the period by which the original period should be extended (the “extension period”), and
(b) the Secretary of State consents to the original period being extended by the extension period,
the CMA may extend the original period by the extension period. ”;
(b) in subsection (7), after “subsection” insert “(2A),”;
(c) after that subsection insert—
“(7A) An extension under subsection (2A) continues in force until—
(a) the end of the extension period, or
(b) an earlier time if, before the end of that period—
(i) the CMA and the persons carrying on the enterprises concerned agree that the extension should be cancelled with effect from the earlier time,
(ii) the Secretary of State consents to the cancellation of the extension with effect from that time, and
(iii) the CMA publishes its decision to cancel the extension with effect from that time. ”
(3) In section 52 (section 51: supplementary)—
(a) for subsection (3) substitute—
“(3) A period extended under any subsection of section 51 may also be extended under any other subsection of that section. ”;
(b) in subsection (5), for “section 51(3)” substitute “section 51(2A), (3)”.
(4) In Chapter 5 of Part 3 (mergers: supplementary), in section 107(2)(j), for “section 51(8)(b)” substitute “section 51(7A)(b) or (8)(b)”.
In Chapter 5 of Part 3 of EA 2002 (mergers: supplementary), in section 96(5) (merger notices), for “in the London, Edinburgh and Belfast Gazettes” substitute “online”.
(1) Chapter 1 of Part 4 of EA 2002 (market studies and market investigations: references) is amended as follows.
(2) In section 131B (market studies and the making of decisions to refer: time-limits) omit subsections (1) to (3).
(3) In section 131C (time-limits under section 131B: supplementary)—
(a) in subsection (1) omit paragraph (a);
(b) in subsection (2) omit paragraph (a) and the “or” after it.
(1) Section 131B of EA 2002 (market studies and the making of decisions to refer: time limits) is amended as follows.
(2) In the heading, after “time-limits” insert “etc”.
(3) In subsection (7), for “This section is” substitute “Subsections (4) to (6) are”.
(4) After subsection (7) insert—
“(8) Where the CMA—
(a) has published a market study notice, and
(b) has decided not to make a reference under section 131 in relation to the matter specified in the notice,
the CMA may subsequently make a reference under section 131 in relation to the matter (without first publishing a market study notice in relation to the matter) only where subsection (9) applies.
(9) This subsection applies where—
(a) the reference under section 131 is made two years or more after the publication of the market study report in relation to the market study notice, or
(b) there has been a material change in circumstances since the preparation of the report. ”
(1) Chapter 1 of Part 4 of EA 2002 (market studies and market investigations: references) is amended as follows.
(2) In section 133 (contents of market investigation references)—
(a) after subsection (1) insert—
“(1A) A market investigation reference may be framed so as to require the group constituted by the chair of the CMA in respect of the reference to confine its investigation into the effects of features of markets in the United Kingdom for goods or services of a description specified in the reference to the effects of particular features of such markets.
(1B) For the purposes of subsection (1A) , “ particular features ” means features specified in the reference. ”;
(b) in subsection (2), for the words before paragraph (a) substitute “For the purposes ofsubsection (1A), a reference may (for example) specify or describe features that exist in connection with—”.
(3) In section 134 (questions to be decided on market investigation references)—
(a) in subsection (1), for “feature, or combination of features,” substitute “relevant feature”;
(b) in subsection (2), for “feature, or combination of features,” substitute “relevant feature”;
(c) after subsection (2A) insert—
“(2B) In subsections (1) and (2), “ relevant feature ” means—
(a) any feature of a relevant market which is not excluded from investigation by virtue of section 133 (1A) , or
(b) a combination of such features. ”;
(d) in subsection (7), after “features” insert “concerned”.
Schedule 8makes provision allowing the CMA to accept undertakings under Part 4 of EA 2002 (market studies and market investigations) at any stage during a market study or investigation.
(1) Schedule 9makes provision amending Part 4 of EA 2002 allowing the CMA or the Secretary of State to conduct trials to assess the likely effectiveness of final undertakings and orders that the CMA or the Secretary of State is minded to accept or impose under that Part.
(2) The Secretary of State may by regulations amend—
(a) any sectoral enactment, or
(b) section 168 of EA 2002 (regulated markets),
in connection with provision made bySchedule 9.
(3) The power to make regulations undersubsection (2)includes power to make provision for the CMA or Secretary of State to be able to modify, or request that another person modifies, any agreement, arrangement, condition, licence, statement (or anything of a similar nature) in connection with an implementation trial measure (within the meaning of Part 4 of EA 2002, as amended bySchedule 9).
(4) But so far as the power to make regulations undersubsection (2)is exercised to amend a sectoral enactment that is mentioned in section 168 of EA 2002 (regulated markets), the power may only make provision in connection with a relevant action mentioned in subsection (3) of that section.
(5) For the purposes of this section the sectoral enactments are—
(a) the Civil Aviation Act 2012;
(b) the Health and Social Care Act 2012;
(c) the Transport Act 2000;
(d) the Chiropractors Act 1994;
(e) the Railways Act 1993;
(f) the Osteopaths Act 1993;
(g) the Water Industry Act 1991;
(h) the Broadcasting Act 1990;
(i) the Electricity Act 1989;
(j) the Copyright, Designs and Patents Act 1988;
(k) the Gas Act 1986;
(l) the Patents Act 1977;
(m) the Registered Designs Act 1949;
(n) the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I. 21));
(o) the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I. 2));
(p) the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I. 1)).
(6) The Secretary of State must, before making regulations undersubsection (2)that—
(a) amend a sectoral enactment, consult the relevant sectoral authority;
(b) amend section 168 of EA 2002, consult any relevant sectoral authority whom the Secretary of State considers is likely to have an interest in the amendment.
(7) For the purposes ofsubsection (6)the relevant sectoral authorities are—
(a) in relation to the Civil Aviation Act 2012, the Civil Aviation Authority;
(b) in relation to the Health and Social Care Act 2012, NHS England;
(c) in relation to the Transport Act 2000, the Civil Aviation Authority;
(d) in relation to the Chiropractors Act 1994, the General Chiropractic Council;
(e) in relation to the Railways Act 1993, the Office of Rail and Road;
(f) in relation to the Osteopaths Act 1993, the General Osteopathic Council;
(g) in relation to the Water Industry Act 1991, the Water Services Regulation Authority;
(h) in relation to the Broadcasting Act 1990, the Office of Communications;
(i) in relation to the Electricity Act 1989 and the Gas Act 1986, the Gas and Electricity Markets Authority;
(j) in relation to the Copyright, Designs and Patents Act 1988, the Patents Act 1977 and the Registered Designs Act 1949, the Comptroller-General of Patents, Designs and Trade Marks;
(k) in relation to the Water and Sewerage Services (Northern Ireland) Order 2006, the Gas (Northern Ireland) Order 1996 and the Electricity (Northern Ireland) Order 1992, the Northern Ireland Authority for Utility Regulation.
(8) The Secretary of State may by regulations—
(a) amendsubsection (5)so as to add or remove an enactment;
(b) amendsubsection (7)so as to add, vary or remove an entry.
(9) Regulations under this section are subject to the affirmative procedure.
(1) Chapter 3 of Part 4 of EA 2002 (market studies and market investigations: enforcement) is amended as follows.
(2) In section 161 (final orders: Part 4), in subsection (5)—
(a) after “advises” insert “, in accordance with section 162(3) orsection 162A(8),”;
(b) omit “by reason of a change of circumstances”.
(3) In section 162 (duty of CMA to monitor undertakings and orders: Part 4)—
(a) in the heading, after “monitor” insert “the carrying out of”;
(b) omit subsections (5) to (7).
(4) After that section insert—
(1) The CMA must keep under review the effectiveness of enforcement undertakings accepted under this Part and enforcement orders made under this Part.
(2) The CMA must, whenever requested to do so by the Secretary of State and otherwise from time to time, prepare a report of its findings under subsection (1) .
(3) The CMA must—
(a) give a copy of any report prepared by it under subsection (2) to the Secretary of State, and
(b) publish the report.
(4) Subsection (5) applies, in relation to an adverse effect on competition identified in a report mentioned in section 138(1), where—
(a) the report was published within the previous 10 years,
(b) the CMA last took action in accordance with section 138(2) or subsection (5) of this section no less than two years ago, and
(c) the CMA concludes, as a result of a review under subsection (1) , that the action mentioned in paragraph (b) has been ineffective for the purposes mentioned in that section.
(5) The CMA must take such action as it considers appropriate for the purposes mentioned in section 138(2) in relation to—
(a) any possible variation or release by the CMA of an enforcement undertaking accepted by it;
(b) any possible new enforcement undertaking to be accepted by the CMA so as to supersede another enforcement undertaking given to it;
(c) any possible variation or revocation by the CMA of an enforcement order made by it;
(d) any possible enforcement undertaking to be accepted by the CMA instead of an enforcement order made by it, or any possible enforcement order to be made by the CMA instead of an enforcement undertaking accepted by it.
(6) Where the CMA decides to take action under subsection (5) , the CMA must take the action within the period of six months beginning with the date on which that decision is published under section 172(2) (h) .
(7) Subsection (8) applies, in relation to an adverse effect on competition or an effect adverse to the public interest identified in a report mentioned in section 146(1) or 146A(1) (as the case may be), where—
(a) the report was laid before each House of Parliament in accordance with section 172(10) within the previous 10 years,
(b) the Secretary of State last took action in accordance with section 142(2) or 147A(2) (as the case may be) no less than two years ago, and
(c) the CMA concludes, as a result of a review under subsection (1) , that action taken in accordance with that section has been ineffective for the purposes mentioned in that section.
(8) The CMA must give the Secretary of State such advice as it considers appropriate for the purposes mentioned in section 147(2) or 147A(2) (as the case may be) in relation to—
(a) any possible variation or release by the Secretary of State of an enforcement undertaking accepted by the Secretary of State;
(b) any possible new enforcement undertaking to be accepted by the Secretary of State under that section so as to supersede another enforcement undertaking given to the Secretary of State;
(c) any possible variation or revocation by the Secretary of State of an enforcement order made by the Secretary of State;
(d) any possible enforcement undertaking to be accepted by the Secretary of State instead of an enforcement order, or any possible enforcement order to be made by the Secretary of State instead of an enforcement undertaking accepted under that section. ”
(5) Chapter 4 of Part 4 of EA 2002 (market studies and market investigations: supplementary) is amended as follows.
(6) In section 169 (certain duties of relevant authorities to consult: Part 4), in subsection (6), in paragraph (a) of the definition of “relevant decision”, aftersub-paragraph (iv)(inserted byparagraph 10(3)ofSchedule 9) insert—
“(v) to take action under section 162A (5) ; and ”.
(7) In section 172 (further publicity requirements: Part 4)—
(a) in subsection (2)—
(i) omit the “and” at the end of paragraph (f);
(ii) at the end insert “; and
(h) any decision by it to take action under section 162A (5) . ”;
(b) after subsection (10) insert—
“(11) Where the Secretary of State has decided, in accordance with the CMA’s advice under section 162(3) or 162A (8) , to accept or release an undertaking under section 159, or to make or revoke an order under section 161, the Secretary of State must, after the acceptance or release of the undertaking or (as the case may be) the making or revocation of the order, lay details of the Secretary of State’s decision and the reasons for it, and the CMA’s advice, before each House of Parliament. ”
(8) In section 177 (excisions from reports: Part 4)—
(a) in the heading, after “reports” insert “etc”;
(b) in subsection (1)—
(i) the words from “the Secretary of State” to the end become paragraph (a);
(ii) after that paragraph insert “;
(b) the Secretary of State is under a duty to lay the CMA’s advice under section 162(3) or 162A(8) before each House of Parliament. ”
(c) in subsection (2)—
(i) after “report” insert “or advice”;
(ii) after “publication of the matter” insert “, or the inclusion of it in the advice laid before Parliament,”.
(1) In Chapter 4 of Part 4 of EA 2002 (market studies and market investigations: supplementary), section 168 (regulated markets) is amended as follows.
(2) In subsection (3) omit paragraph (j).
(3) In subsection (4)—
(a) in paragraph (g), for “the duty of the Director General of Electricity Supply for Northern Ireland under article 6 of that Order” substitute “the objective and duties of the Northern Ireland Authority for Utility Regulation under Article 12 of the Energy (Northern Ireland) Order 2003 ( S.I. 2003/419 (N.I. 6))”;
(b) omit paragraph (l);
(c) in paragraph (m), for “the duties of the Director General of Gas for Northern Ireland under article 5 of that Order” substitute “the objective and duties of the Northern Ireland Authority for Utility Regulation under Article 14 of the Energy (Northern Ireland) Order 2003”;
(d) in paragraph (r), for “Monitor” substitute “NHS England”.
(4) In subsection (5), in paragraph (ia), for “Monitor” substitute “NHS England”.
(1) Section 194 of EA 2002 (power to enter premises under a warrant) is amended as follows.
(2) In subsection (1), in paragraph (a), after “there are on” insert “or accessible from”.
(3) In subsection (2)—
(a) in paragraph (d) omit “and which the named officer considers relates to any matter relevant to the investigation,”;
(b) after that paragraph insert—
“(e) to operate any equipment found on the premises for the purposes of producing such information in such a form;
(f) to require any person on the premises to give the named officer any assistance the named officer may reasonably require (including for the purposes of paragraphs (d) and (e) );
(g) to take copies of, or seize, anything produced in accordance with paragraph (d) or (e) which the named officer considers relates to any matter relevant to the investigation. ”
(4) In section 196 of EA 2002 (privileged information etc), after subsection (2) insert—
“(2A) Nothing in section 194 authorises an officer to produce or take possession of, or make copies of or take extracts from, anything which, by virtue of subsections (1) or (2), a person could not be required to disclose or produce under section 193 or 194. ”
(1) Section 26A of CA 1998 (investigations: power to ask questions) is amended as follows.
(2) In subsection (1)—
(a) in the words before paragraph (a) omit “who has a connection with a relevant undertaking”;
(b) in paragraph (a), after “at a place” insert “or in a manner (which may be remote)”.
(3) In subsection (2), for “each” substitute “any”.
(4) For subsection (6) substitute—
“(6) For the purposes of this section, an individual has a current connection with an undertaking if, at the time in question, the individual is—
(a) concerned in the management or control of the undertaking, or
(b) employed by, or otherwise working for, the undertaking. ”
(5) In section 109(1) of EA 2002 (attendance of witnesses and production of documents etc: Part 3), in paragraph (a) for “place” substitute “at a place, or in a manner (which may be remote),”.
(6) In section 174(3) of EA 2002 (attendance of witnesses and production of documents etc: Part 4), in paragraph (a) for “place” substitute “at a place, or in a manner (which may be remote),”.
(1) Schedule 10makes provision for, and in connection with, the imposition of civil penalties in relation to investigations under—
(a) Part 1 of CA 1998 (competition);
(b) Parts 3 (mergers) and 4 (market studies and market investigations) of EA 2002.
(2) Schedule 11makes provision for, and in connection with, the imposition of civil penalties in relation to breaches of—
(a) commitments and directions under Part 1 of CA 1998;
(b) undertakings and orders under Parts 3 and 4 of EA 2002.
(3) Schedule 12makes provision providing that certain functions being conferred on the CMA by Schedules10and11are not exercisable concurrently by sectoral regulators.
Schedule 13makes provision about—
(a) the service of documents under Chapter 3 of Part 1 of CA 1998 (investigation and enforcement) and Parts 3 (mergers) and 4 (market studies and market investigations) of EA 2002;
(b) the extra-territorial application of notices under sections 26 and 40ZD of CA 1998 and sections 109(2) and (3) and 174(4) and (5) of EA 2002.
Schedule 14makes provision about the making of orders and regulations under—
(a) CA 1998, and
(b) Parts 3 (mergers) and 4 (market studies and market investigations) of EA 2002.
(1) Part 3 of EA 2002 (mergers) is amended as follows.
(2) In Chapter 1 (duty to make references)—
(a) in section 25 (extension of time limits)—
(i) in subsection (1), after “20” insert “working”;
(ii) in subsection (5), in paragraph (b), after “10” insert “working”;
(b) omit section 32 (supplementary provision for the purposes of section 25);
(c) in section 34ZA(3) (time limits for decisions about references) omit the definition of “working day”;
(d) in section 34ZB (extension of time limits) omit subsection (9);
(e) in section 34ZC (sections 34ZA and 34ZB: supplementary) omit subsection (9).
(3) In Chapter 2 (public interest cases)—
(a) in section 54 (decision of Secretary of State in public interest cases)—
(i) in subsection (5), after “30” insert “working”;
(ii) omit subsection (8);
(b) in section 56 (competition cases where intervention on public interest grounds ceases)—
(i) in subsection (4), in paragraph (b), after “20” insert “working”;
(ii) omit subsection (5).
(4) In Chapter 4 (enforcement), in section 73A (time limits for consideration of undertakings) omit subsection (12).
(5) In Chapter 5 (supplementary)—
(a) in section 129(1) (other interpretative provisions), at the appropriate place insert—
““ working day ” means any day other than—
a Saturday or Sunday, or
a day that is a bank holiday in any part of the United Kingdom under the Banking and Financial Dealings Act 1971. ”;
(b) in section 130 (index of defined expressions), at the appropriate place insert—
| “Working day | Section 129(1) ”. |
(6) In Part 4 of EA 2002 (market studies and market investigations), in section 151 (public interest intervention cases: interaction with general procedure)—
(a) in subsection (3), after “20” insert “working”;
(b) in subsection (5), after “20” insert “working”;
(c) omit subsection (6);
(d) at the end insert—
“(7) In this section, “ working day ” means any day other than—
(a) a Saturday or Sunday, or
(b) a day that is a bank holiday in any part of the United Kingdom under the Banking and Financial Dealings Act 1971. ”
(7) In regulation 2(1) of the Enterprise Act 2002 (Merger Prenotification) Regulations 2003 ( S.I. 2003/1369), for the definition of “working day” substitute—
““ working day ” means any day other than—
a Saturday or Sunday, or
a day that is a bank holiday in any part of the United Kingdom under the Banking and Financial Dealings Act 1971. ”
(1) This Partconfers enforcement powers, and makes provision about other remedies, in connection with infringements of consumer protection law.
(2) Chapter 2provides for the kinds of infringements in respect of which enforcement powers conferred byChapter 3or4are available.
(3) Chapter 3—
(a) confers powers on courts to make consumer protection orders, and
(b) provides for the acceptance of undertakings as an alternative to the making of such orders.
(4) Chapter 4confers powers on the CMA in connection with certain kinds of infringements, including powers of the CMA to impose monetary penalties.
(5) Chapter 5contains general provisions about monetary penalties imposed underChapter 3or4.
(6) Chapter 6amends Schedule 5 to CRA 2015 in relation to the giving of information notices.
(7) Chapter 7contains miscellaneous provisions andChapter 8contains interpretative provisions.
(1) A commercial practice is a relevant infringement for the purposes ofChapter 3or4if it—
(a) harms the collective interests of consumers,
(b) meets the UK connection condition (seesection 149), and
(c) meets the specified prohibition condition (seesection 150).
(2) In this Part—
“ commercial practice” means an act or omission by a trader relating to the promotion or supply of—
the trader’s goods, services or digital content to a consumer,
another trader’s goods, services or digital content to a consumer, or
a consumer’s goods, services or digital content to the trader or another person;
“ consumer” means an individual acting for purposes that are wholly or mainly outside the individual’s business;
“ trader” means—
a person (“ P”) acting for purposes relating to P’s business, or
a person acting in the name of, or on behalf of, P for purposes relating to P’s business.
(3) It is immaterial for the purposes of the definition of “commercial practice” in subsection(2)whether the act or omission takes place—
(a) at the time of the promotion or supply in question, or
(b) before or after that time.
(4) It is immaterial for the purposes of the definition of “trader” in subsection(2)—
(a) in relation to paragraph (a) of that definition, whether P is acting personally or through another person acting in P’s name or on P’s behalf;
(b) in relation to paragraph (b) of that definition, whether or not the purposes relating to P’s business are the only or main purposes for which the person is acting.
(5) For the purposes ofthis Part—
(a) references to consumers include persons who may become consumers in the future;
(b) the collective interests of consumers are capable of being harmed by a single act or omission (as well as by repeated acts or omissions).
(1) A commercial practice meets the UK connection condition for the purposes ofsection 148if at least one of the following conditions is met—
(a) the trader has a place of business in the United Kingdom;
(b) the trader carries on business in the United Kingdom;
(c) the commercial practice occurs in the carrying on of activities by the trader that are, by any means, directed to consumers in the United Kingdom.
(2) It is immaterial for the purposes of subsection(1)(c)whether the activities are carried on in the United Kingdom or elsewhere.
(1) A commercial practice meets the specified prohibition condition for the purposes ofsection 148as it applies for the purposes ofChapter 3if the commercial practice is—
(a) in breach of an enactment listed in Part 1 ofSchedule 15(to the extent specified), or
(b) in breach of an obligation or rule of law listed inPart 2of that Schedule.
(2) A commercial practice meets the specified prohibition condition for the purposes ofsection 148as it applies for the purposes of Chapter 4 if it is in breach of an enactment listed inSchedule 16(to the extent specified).
(3) In the Table listing enactments in Part 1 ofSchedule 15—
(a) the first column lists the enactments;
(b) the corresponding entry in the second column specifies the authorised enforcers in relation to the enactment for the purposes ofsection 153;
(c) the third column provides information about transitional provision etc in relation to certain enactments.
(4) In the Table listing obligations and rules of law inPart 2ofSchedule 15—
(a) the first column describes the obligations or rules of law;
(b) the corresponding entry in the second column specifies the authorised enforcers in relation to the obligation or rule of law for the purposes ofsection 153.
(1) Each of the following is a public designated enforcer for the purposes ofthis Chapter—
(a) the CMA;
(b) every local weights and measures authority in Great Britain;
(c) the Department for the Economy in Northern Ireland;
(d) the Civil Aviation Authority;
(e) the Financial Conduct Authority;
(f) the Gas and Electricity Markets Authority;
(g) the Department of Health in Northern Ireland;
(h) the Department for Infrastructure in Northern Ireland;
(i) the Northern Ireland Authority for Utility Regulation;
(j) an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services);
(k) the Information Commissioner;
(l) the Maritime and Coastguard Agency;
(m) the Office of Communications;
(n) the Office of Rail and Road;
(o) the Office for the Traffic Commissioner;
(p) the Secretary of State;
(q) the Water Services Regulation Authority.
(2) The Consumers’ Association is a private designated enforcer for the purposes ofthis Chapter.
(3) The Secretary of State may by regulations amendsubsection (1)or(2)so as to—
(a) add or remove a person as a public designated enforcer;
(b) add or remove a person as a private designated enforcer;
(c) vary the entry of a person as a public or private designated enforcer.
(4) The power undersubsection (3)(a)to add a person as a public designated enforcer is exercisable only if the Secretary of State considers that the person is a public body that has, as one of their purposes, the protection of the collective interests of consumers.
(5) The power undersubsection (3)(b)to add a person as a private designated enforcer is exercisable only if the Secretary of State considers that the person—
(a) is not a public body,
(b) satisfies the designation criteria insection 152, and
(c) has, as one of their purposes, the protection of the collective interests of consumers.
(6) The power under subsection(3)(a)and(c)to remove a person as a public designated enforcer, or to vary the entry of such a person, does not apply so far as relating to the persons listed in paragraphs(a)to(c)of subsection(1).
(7) Regulations under this section are subject to the affirmative procedure.
(1) These are the designation criteria in respect of a person (“ P”) for the purposes ofsection 151(5)(b)—
(a) P is constituted, managed and controlled in such a way as to be expected to act independently, impartially and with integrity;
(b) P has established procedures to ensure that any potential conflicts of interest are properly dealt with;
(c) P has demonstrated experience, competence and expertise in promoting or protecting the collective interests of consumers;
(d) P has demonstrated the ability to protect the interests of consumers by promoting high standards of integrity and fair dealing in the conduct of business in relation to consumers;
(e) P has the capability to investigate infringements and carry out enforcement procedures underthis Chapter;
(f) P is ready and willing to follow best practice in enforcement;
(g) P is ready and willing to co-operate with other enforcers and relevant persons.
(2) P does not fail to meet the criteria insubsection (1)(a)by reason only of a connection with another person carrying on a business of a kind that could be affected (directly or indirectly) by action taken underthis Chapterif—
(a) the other person does not control P, and
(b) the profits of the other person’s business are used for the purposes of furthering the objectives of P.
(3) For the purposes ofsubsection (1)(g)—
(a) “relevant persons” are any persons responsible for the regulation of matters in respect of which acts or omissions may constitute a relevant infringement;
(b) co-operation includes, in particular—
(i) sharing of information (so far as legally permitted), and
(ii) participating in arrangements to co-ordinate action underthis Part.
(1) An enforcer may (subject tosubsection (2)) apply to the appropriate court for an enforcement order or an interim enforcement order if the enforcer considers that—
(a) a person has engaged in, is engaging in or is likely to engage in a commercial practice which constitutes a relevant infringement, or
(b) a person is an accessory to such a practice.
(2) An enforcer may make an application in respect of a relevant infringement only if—
(a) in the case of a commercial practice in breach of an enactment listed in the first column of the Table inPart 1ofSchedule 15, the enforcer is an authorised enforcer in respect of that enactment in accordance with the second column of that Table;
(b) in the case of a commercial practice in breach of an obligation or rule of law listed in the first column of the Table inPart 2ofSchedule 15, the enforcer is an authorised enforcer in respect of that obligation or rule of law in accordance with the second column of that Table.
(3) An application for an enforcement order or an interim enforcement order—
(a) must be made in respect of the person the enforcer considers falls withinsubsection (1)(a)or(b)(“ the respondent”), and
(b) must (where known) name the respondent.
(4) An application by a public designated enforcer for an enforcement order may, subject to subsection (5), include an application for the respondent to pay a monetary penalty.
(5) In the case of a respondent within subsection (1)(a), an application under subsection (4) may be made only in respect of a commercial practice that the enforcer considers a person has engaged, or is engaging, in (but not in respect of a practice that the enforcer considers a person is likely to engage in).
(1) This sectionapplies where it appears to the CMA that another enforcer intends to make an application for an enforcement order or an interim enforcement order.
(2) The CMA may direct that an application for such an order in respect of a particular relevant infringement—
(a) may be made only by the CMA,
(b) may be made only by such other enforcer as may be specified in the direction, or
(c) is not to be made by any enforcer.
(3) A direction undersubsection (2)—
(a) does not prevent the acceptance of an undertaking undersection 163by the CMA or another enforcer;
(b) does not prevent the CMA from taking such other steps as it considers appropriate for the purpose of securing that the infringement is not committed, continued or repeated.
(4) A direction undersubsection (2)(c)may be made—
(a) only in respect of an infringement that is a relevant infringement for the purposes ofChapter 4(in addition to being a relevant infringement for the purposes of this Chapter), and
(b) only if the CMA is conducting, or proposes to conduct, an investigation undersection 180in relation to that infringement.
(5) A direction underthis sectionmay be varied or withdrawn.
(6) The CMA must take such steps as it considers appropriate to bring a direction (or its variation or withdrawal) to the attention of enforcers likely to be affected by it.
(1) Before making an application for an enforcement order or an interim enforcement order, an enforcer must (subject to subsection (5)) engage in appropriate consultation with the person in respect of whom the order would be made (“ the respondent”).
(2) Consultation is “ appropriate consultation” for the purposes ofsubsection (1)if it is carried out for the purposes of—
(a) achieving the cessation of a relevant infringement (in a case where the infringement is occurring) and ensuring it does not recur;
(b) ensuring there is no repetition of a relevant infringement in a case where the infringement has occurred;
(c) ensuring that a relevant infringement does not take place in a case where the infringement has yet to occur;
(d) ensuring, in the case of consultation carried out by a public designated enforcer, that the respondent is aware that an application for an enforcement order may include an application for the respondent to pay a monetary penalty.
(3) Engagement undersubsection (1)must be initiated by the giving of a consultation request to the respondent.
(4) A consultation request must be given by notice in writing.
(5) The requirement to consult underthis sectiondoes not apply if—
(a) the CMA considers that an application for the order in question should be made without delay, or
(b) it is not reasonably practicable for the enforcer to ascertain the identity and whereabouts of the respondent.
(6) The requirement to consult underthis sectionceases to apply—
(a) in the case of an application for an enforcement order, at the end of the applicable period;
(b) in the case of an application for an interim enforcement order, at the end of the period of 7 days beginning with the day after the respondent receives a consultation request.
(7) Insubsection (6)(a)the “ applicable period” means—
(a) in a case where the respondent is a member of, or is represented by, an approved representative body, the period of 28 days beginning with the day after the respondent receives a consultation request;
(b) in any other case, the period of 14 days beginning with the day after the respondent receives a consultation request.
(8) Insubsection (7)(a)“ approved representative body” means a representative body that operates a consumer code which has been approved by—
(a) a public designated enforcer,
(b) a body which represents a public designated enforcer,
(c) a group of public designated enforcers, or
(d) a community interest company whose objects include the approval of consumer codes.
(9) Insubsection (8)—
“ consumer code” means an agreement or set of rules regulating, with a view to safeguarding or promoting the interests of consumers, the behaviour of traders who—
are engaged in commercial practices, and
choose to be bound by the agreement or set of rules;
“ representative body” means an organisation established to represent the interests of two or more businesses in a particular sector or area.
(1) This sectionapplies if, on an application undersection 153for an enforcement order, the court finds that the person in respect of whom the application is made (“ the respondent”)—
(a) has engaged, is engaging or is likely to engage in a commercial practice which constitutes a relevant infringement (“the infringing practice”), or
(b) is an accessory to the infringing practice.
(2) The court may—
(a) make an enforcement order against the respondent, or
(b) accept an undertaking from the respondent given undersubsection (5).
(3) In considering whether to make an enforcement order the court must have regard to whether the respondent—
(a) has given an undertaking undersection 163or185in respect of the infringing practice, and
(b) if so, whether the respondent has failed to comply with the undertaking.
(4) An enforcement order is an order that—
(a) indicates the nature of the infringing practice, and
(b) directs the respondent to comply withsubsection (6).
(5) The respondent gives an undertaking underthis subsectionby undertaking—
(a) to comply withsubsection (6), or
(b) to take steps which the court believes will secure that the respondent complies withsubsection (6).
(6) The respondent complies withthis subsectionby—
(a) in the case of a respondent withinsubsection (1)(a), not continuing or repeating the infringing practice (where it is alleged that the person has engaged or is engaging in that practice);
(b) in the case of a respondent withinsubsection (1)(b), not consenting to or conniving in the infringing practice;
(c) in either case, not engaging in the infringing practice in the course of the respondent’s business or another business;
(d) in either case, not consenting to or conniving in the carrying out of the infringing practice by a body corporate with which the respondent has a special relationship (see section220).
(7) See also—
(a) section 157about the inclusion of enhanced consumer measures in an enforcement order or undertaking;
(b) section 158about the inclusion of a requirement to pay a monetary penalty in an enforcement order.
(8) An enforcement order may require the respondent to publish—
(a) the order;
(b) a corrective statement.
(9) An undertaking undersubsection (5)may include a further undertaking by the respondent to publish—
(a) the terms of the undertaking;
(b) a corrective statement.
(10) Publication undersubsection (8)or(9)—
(a) must be made in such form and manner, and to such extent, as the court considers appropriate for the purpose of eliminating any continuing effects of the conduct in respect of which the order was made or undertaking given;
(b) is not an enhanced consumer measure for the purposes ofthis Chapter.
(11) Where the court has accepted from the respondent an undertaking under subsection(5)—
(a) the court may accept from the respondent any variation of the undertaking that the court considers appropriate for meeting the purposes for which the undertaking was given;
(b) the court may release the respondent from the undertaking (whether on its own initiative or at the respondent’s request) if the court considers that the undertaking is no longer necessary to further those purposes.
(1) An enforcement order or undertaking may include a requirement to take such enhanced consumer measures as the court considers just and reasonable.
(2) For this purpose, the court must in particular consider whether any proposed enhanced consumer measures are proportionate having regard to—
(a) the likely benefit of the measures to consumers,
(b) the costs likely to be incurred by the respondent, and
(c) the likely cost to consumers of obtaining the benefit of the measures.
(3) The costs referred to insubsection (2)(b)are—
(a) the cost of the measures, and
(b) the reasonable administrative costs associated with taking the measures.
(4) Where the respondent is required under an enforcement order or an undertaking to take enhanced consumer measures, the order or undertaking may include requirements for the respondent to provide information or documents to the court in order that the court may determine whether the respondent is taking those measures.
(5) Subsection (6)applies if—
(a) an enforcement order or undertaking includes enhanced consumer measures offering compensation, and
(b) a settlement agreement is entered into in connection with the payment of compensation.
(6) A waiver of a person’s rights in the settlement agreement is not valid if it is a waiver of the right to bring civil proceedings in respect of conduct other than conduct which has given rise to the enforcement order or undertaking.
(7) This sectionis subject tosection 177(private designated enforcers).
(8) Inthis section“ undertaking” means an undertaking given under section156(5).
(9) References inthis Partto “enhanced consumer measures” are to be read in accordance withsection 221.
(1) This sectionapplies where the court makes an enforcement order against the respondent on an application made by a public designated enforcer.
(2) The order may, subject tosubsection (3), include a requirement for the respondent to pay a monetary penalty.
(3) In the case of a respondent withinsection 156(1)(a), a requirement to pay a monetary penalty may be imposed only if the court finds that the respondent has engaged, or is engaging, in a commercial practice constituting a relevant infringement (and not in respect of a practice that the court finds that the person is likely to engage in).
(4) Where the order includes a requirement undersubsection (2), the order, or a notice accompanying service of the order, must set out the monetary penalty information (seesection 203).
(5) The amount of a monetary penalty must be a fixed amount not exceeding £300,000 or, if higher, 10% of the total value of the turnover (if any) of the respondent.
(6) A monetary penalty may not be imposed on the respondent by virtue ofthis sectionin respect of any conduct that constitutes an offence if the respondent has been found guilty of that offence.
(7) The respondent does not commit an offence in relation to any conduct in respect of which a monetary penalty is imposed on the respondent by virtue of this section.
(8) In addition to any right of appeal on a point of law, a person liable to pay a monetary penalty by virtue ofthis sectionmay appeal in respect of—
(a) the decision to impose the penalty, or
(b) the nature or amount of the penalty.
(9) In the application ofsubsection (4)to Scotland, “ service of the order” includes service of an extract order in execution of or diligence on the order.
(1) This sectionapplies if—
(a) it is alleged in an application undersection 153for an interim enforcement order that a person (“ the respondent”)—
(i) has engaged, is engaging or is likely to engage in a commercial practice which constitutes a relevant infringement (“the infringing practice”), or
(ii) is an accessory to the infringing practice,
(b) it appears to the court that if the application had been an application for an enforcement order it would be likely to be granted, and
(c) the court considers it is expedient that the infringing practice is prohibited or prevented immediately.
(2) The court may—
(a) make an interim enforcement order against the respondent, or
(b) accept an undertaking from the respondent to comply withsubsection (5)or to take steps which the court believes will secure such compliance.
(3) If no notice of the application has been given to the respondent, the court may proceed undersubsection (2)(a)only if it considers it appropriate to make an interim enforcement order without notice.
(4) An interim enforcement order is an order that—
(a) indicates the nature of the infringing practice, and
(b) directs the respondent to comply withsubsection (5).
(5) The respondent complies withthis subsectionby—
(a) in the case of a respondent withinsubsection (1)(a)(i), not continuing or repeating the infringing practice (where it is alleged that the person has engaged or is engaging in that practice);
(b) in the case of a respondent withinsubsection (1)(a)(ii), not consenting to or conniving in the infringing practice;
(c) in either case, not engaging in the infringing practice in the course of the respondent’s business or another business;
(d) in either case, not consenting to or conniving in the carrying out of the infringing practice by a body corporate with which the respondent has a special relationship (see section220).
(6) An application for an interim enforcement order in respect of alleged conduct of the respondent may not be made at any time after—
(a) an application for an enforcement order against the respondent in respect of that conduct is determined, or
(b) a final infringement notice in respect of that conduct has been given to the respondent (seesection 182).
(7) An application for an interim enforcement order must—
(a) include all information known to the applicant that is material to the question of whether or not the application is granted;
(b) if made without notice, state why no notice has been given.
(8) The court may vary or discharge an interim enforcement order on the application of the applicant or the respondent.
(9) An interim enforcement order made in respect of conduct of the respondent is discharged—
(a) on the determination of an application for an enforcement order made against the respondent in respect of that conduct, or
(b) on the giving of a final infringement notice to the respondent in respect of that conduct.
(1) A public designated enforcer may apply to the appropriate court for an online interface order, or an interim online interface order, if the enforcer considers that a person has engaged, is engaging or is likely to engage in a commercial practice that constitutes a relevant infringement.
(2) An application for an online interface order, or an interim online interface order, may be made in respect of—
(a) the person that the enforcer considers has engaged, is engaging or is likely to engage in a commercial practice that constitutes a relevant infringement, or
(b) any other person (subject tosubsection (3)).
(3) An application undersubsection (2)(b)in respect of a person who is outside the United Kingdom may be made only if the person—
(a) is a United Kingdom national,
(b) is an individual who is habitually resident in the United Kingdom,
(c) is a firm established in the United Kingdom, or
(d) carries on business in the United Kingdom or by any means directs activities in the course of carrying on a business to consumers in the United Kingdom.
(4) For the purposes ofsubsection (3)(c), a firm is “established in the United Kingdom” if—
(a) it is incorporated or formed under the law of a part of the United Kingdom, or
(b) it is administered under arrangements governed by the law of a part of the United Kingdom.
(5) Section154(CMA directions to other enforcers) applies where it appears to the CMA that another public designated enforcer intends to make an application for an online interface order, or an interim online interface order, as it applies in relation to intended applications for enforcement orders and interim enforcement orders, but for this purpose the reference to such other enforcer in subsection(2)(b)is to be taken as a reference only to such other public designated enforcer.
(6) Nothing inthis sectionor insection 161or162limits other powers underthis Chapterto make enforcement orders or interim enforcement orders or to accept undertakings.
(1) The court may make an online interface order on an application undersection 160if the court finds that—
(a) a person has engaged, is engaging or is likely to engage in a commercial practice that constitutes a relevant infringement,
(b) there are no other available means under this Chapter of bringing about the cessation or prohibition of the infringement which, by themselves, would be wholly effective, and
(c) it is necessary to make the order to avoid the risk of serious harm to the collective interests of consumers.
(2) An online interface order is an order that directs the person against whom it is made to do, or to co-operate with another person so that person can do, one or more of the following—
(a) remove content from, or modify content on, an online interface;
(b) disable or restrict access to an online interface;
(c) display a warning to consumers accessing an online interface;
(d) delete a fully qualified domain name and take any steps necessary to facilitate the registration of that domain name by the public designated enforcer that applied for the order.
(3) Where an online interface order is made, the public designated enforcer that applied for the order may publish—
(a) the order, and
(b) where known, the identity of the person who has engaged, is engaging or is likely to engage in a commercial practice which constitutes the relevant infringement.
(4) Publication undersubsection (3)is to be made in such form and manner as the enforcer considers appropriate for the purpose of eliminating any continuing effects of the relevant infringement.
(5) Insubsection (2)“ online interface” means any software, including a website, part of a website, an application or other digital content which—
(a) is operated by a person (“ P”) acting for purposes relating to P’s business or by a person acting in the name of, or on behalf of, P, and
(b) is operated for or in connection with the purposes of giving access to, or promoting, goods, services or digital content that P or another person supplies.
(1) The court may make an interim online interface order against a person (“ the respondent”) on an application undersection 160if—
(a) it is alleged that there has been or is likely to be a relevant infringement,
(b) it appears to the court that if the application had been an application for an online interface order it would be likely to be granted, and
(c) the court considers it expedient to bring about the cessation or prohibition of the infringement immediately.
(2) If no notice of the application has been given to the respondent—
(a) the application must state why no notice has been given, and
(b) the court may make the order only if it considers it appropriate for the order to be made without notice.
(3) An interim online interface order is an order that directs the respondent to do, or to co-operate with another person so that person can do, one or more of the following—
(a) remove content from, or modify content on, an online interface;
(b) disable or restrict access to an online interface;
(c) display a warning to consumers accessing an online interface;
(d) delete a fully qualified domain name and take any steps necessary to facilitate the registration of that domain name by the public designated enforcer that applied for the order.
Inthis subsection“ online interface” has the meaning given bysection 161(5).
(4) An application for an interim online interface order against the respondent may not be made at any time after—
(a) an application for an online interface order against the respondent in respect of the same relevant infringement is determined, or
(b) an online interface notice in respect of the same relevant infringement has been given to the respondent (seesection 184).
(5) An application for an interim online interface order must include all information known to the public designated enforcer making the application that is material to the question of whether or not the application is granted.
(6) The court may vary or discharge an interim online interface order on the application of the enforcer that applied for the order or the respondent.
(7) An interim online interface order against the respondent is discharged on the determination of—
(a) an application for an online interface order made against the respondent in respect of the same relevant infringement, or
(b) an online interface notice in respect of the same relevant infringement has been given to the respondent.
(1) This sectionapplies where an enforcer could make an application undersection 153for an enforcement order, or an interim enforcement order, against a person (“ the respondent”) whom the enforcer believes—
(a) has engaged, is engaging or is likely to engage in a commercial practice which constitutes a relevant infringement (“the infringing practice”), or
(b) is an accessory to the infringing practice.
(2) The enforcer may accept an undertaking from the respondent to do one or more of the following—
(a) in the case of a respondent withinsubsection (1)(a), not to continue or repeat the infringing practice (where it is alleged that the respondent has engaged or is engaging in that practice);
(b) in the case of a respondent withinsubsection (1)(b), not to consent to or connive in the infringing practice;
(c) in either case, not to engage in the infringing practice in the course of the respondent’s business or another business;
(d) in either case, not to consent to or connive in the carrying out of the infringing practice by a body corporate with which the respondent has a special relationship (see section220).
(3) See alsosection 164about the inclusion of enhanced consumer measures in an undertaking underthis section.
(4) Where the enforcer accepts an undertaking undersubsection (2)the enforcer may publish the undertaking or accept a further undertaking from the respondent to do so.
(5) Publication undersubsection (4)—
(a) must be made in such form and manner, and to such an extent, as the enforcer considers appropriate for the purpose of eliminating any continuing effects of the infringing practice;
(b) is not an enhanced consumer measure for the purposes ofthis Chapter.
(6) Where an enforcer has accepted from the respondent an undertaking under this section—
(a) the enforcer may accept from the respondent any such variation of the undertaking that the enforcer considers appropriate for meeting the purposes for which the undertaking was given;
(b) the enforcer may release the respondent from the undertaking (whether on its own initiative or at the respondent’s request) if the enforcer considers that the undertaking is no longer necessary to meet those purposes.
(7) Each enforcer must keep a record of—
(a) undertakings it has accepted under this section, and
(b) reviews it has carried out into the effectiveness of such undertakings.
(8) In determining for the purposes of subsection(1)whether an enforcer could make an application undersection 153, section169is to be ignored.
(1) An undertaking undersection 163(2)may include a requirement to take such enhanced consumer measures as the enforcer accepting the undertaking considers just and reasonable.
(2) For this purpose, the enforcer must in particular consider whether any proposed enhanced consumer measures are proportionate having regard to—
(a) the likely benefit of the measures to consumers,
(b) the costs likely to be incurred by the respondent, and
(c) the likely cost to consumers of obtaining the benefit of the measures.
(3) The costs referred to insubsection (2)(b)are—
(a) the cost of the measures, and
(b) the reasonable administrative costs associated with taking the measures.
(4) Where the respondent is required by an undertaking to take enhanced consumer measures, the undertaking may include requirements for the respondent to provide information or documents to the enforcer accepting the undertaking in order that the enforcer may determine if the respondent is taking those measures.
(5) Subsection (6)applies if—
(a) an undertaking undersection 163(2)includes enhanced consumer measures offering compensation, and
(b) a settlement agreement is entered into in connection with the payment of compensation.
(6) A waiver of a person’s rights in the settlement agreement is not valid if it is a waiver of the right to bring civil proceedings in respect of conduct other than conduct which has given rise to the undertaking.
(7) This sectionis subject tosection 177(private designated enforcers).
(1) This sectionapplies where an enforcer proposes to—
(a) accept a material variation of an undertaking undersection 163, or
(b) release the respondent from any such undertaking,
and the proposed variation or release has not been requested by the respondent.
(2) Before taking the proposed action mentioned insubsection (1)the enforcer must—
(a) give notice to the respondent undersubsection (3), and
(b) consider any representations made in accordance with the notice.
(3) A notice underthis subsectionmust state—
(a) the fact that the enforcer is proposing to act as mentioned insubsection (1),
(b) the reasons for doing so, and
(c) the means by which, and the time by which, representations may be made in relation to the proposed action.
(4) If after considering any representations made in accordance with a notice undersubsection (3)an enforcer decides to take an action mentioned insubsection (1), the enforcer must give notice to the respondent of that decision.
(5) The reference insubsection (1)(a)to a material variation is a reference to any variation that the enforcer considers to be material in any respect.
(1) This sectionapplies if the court—
(a) makes a consumer protection order against a person (“ the respondent”) on an application made by an enforcer (“ the original application”), or
(b) accepts an undertaking from the respondent undersection 156or159on the making of the original application.
(2) References in this Part to a “consumer protection order” are references to—
(a) an enforcement order,
(b) an interim enforcement order,
(c) an online interface order, or
(d) an interim online interface order.
(3) An application may (subject tosubsection (7)) be made to the same court to which the original application was made in respect of a failure to comply with the order or undertaking in question—
(a) by the enforcer that made the original application, or
(b) by any other enforcer other than a private designated enforcer.
(4) An application to the court in respect of a failure to comply with an undertaking may include an application for a consumer protection order of any kind that the enforcer concerned is authorised under this Chapter to apply for.
(5) If on an application underthis sectionthe court finds that an undertaking is not being complied with, the court may do either or both of the following—
(a) make a consumer protection order (instead of making any other order it has power to make);
(b) make an order requiring the respondent to pay a monetary penalty.
(6) Where an application is made undersubsection (4)for a consumer protection order—
(a) sections154and160(5)(directions by CMA) and section155(consultation) do not apply;
(b) the application may be made only in respect of a commercial practice that the enforcer considers a person has engaged or is engaging in (and not in respect of a practice that a person is likely to engage in);
(c) a power of the court to accept an undertaking instead of making a consumer protection order does not apply,
and the preceding provisions ofthis Chapterapply subject tothis subsection.
(7) An application may not be made undersubsection (3)in the case of a failure to comply with an order or undertaking which consists only of a failure to provide information or documents required by the order or undertaking undersection 157(4).
(8) In addition to any right of appeal on a point of law, a person liable to pay a penalty by virtue of an order under subsection(5)(b)may appeal in respect of—
(a) the decision to impose the penalty, or
(b) the nature or amount of the penalty.
(9) In connection with orders undersubsection (5)(b), see further—
(a) section 168, which provides for the amount of penalties, and
(b) section 203, which provides for information to accompany such orders.
(1) This sectionapplies where a public designated enforcer accepts an undertaking from a person (“ the respondent”) undersection 163.
(2) The enforcer may apply to the court in respect of a failure to comply with the undertaking.
(3) An application undersubsection (2)may include an application for a consumer protection order of any kind that the enforcer concerned is authorised under this Chapter to apply for.
(4) If the court finds that the undertaking is not being complied with, the court may do either or both of the following—
(a) make a consumer protection order (instead of making any other order it has power to make);
(b) make an order requiring the respondent to pay a monetary penalty.
(5) A requirement undersubsection (4)(b)to pay a monetary penalty may be imposed only if the court is satisfied that the respondent’s failure in question is without reasonable excuse.
(6) Where an application is made undersubsection (2)for a consumer protection order—
(a) sections154and160(5)(directions by CMA) and section155(consultation) do not apply;
(b) the application may be made only in respect of a commercial practice that the enforcer considers a person has engaged or is engaging in (and not in respect of a practice that a person is likely to engage in);
(c) a power of the court to accept an undertaking instead of making a consumer protection order does not apply,
and the preceding provisions ofthis Chapterapply subject tothis subsection.
(7) An application may not be made undersubsection (2)in the case of a failure to comply with an undertaking which consists only of a failure to provide information or documents undersection 164(4).
(8) In addition to any right of appeal on a point of law, a person liable to pay a penalty by virtue of an order under subsection (4)(b) may appeal in respect of—
(a) the decision to impose the penalty, or
(b) the nature or amount of the penalty.
(9) In connection with orders undersubsection (4)(b), see further—
(a) section 168, which provides for the amount of penalties, and
(b) section 203, which provides for information to accompany such orders.
(1) This sectionapplies in relation to a monetary penalty imposed on a person (“ the respondent”) by an order made undersection 166or167.
(2) The amount of the penalty must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) The penalty must not exceed—
(a) in the case of a fixed amount, £150,000 or, if higher, 5% of the total value of the turnover (if any) of the respondent;
(b) in the case of an amount calculated by reference to a daily rate, for each day £15,000 or, if higher, 5% of the total value of the daily turnover (if any) of the respondent;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, such fixed amount and such amount per day.
(4) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before notice of the application undersection 166(3)or167(2)was given to the respondent, and
(b) unless the court determines an earlier date, the amount payable ceases to accumulate on the day on which the requirements of the undertaking that the respondent has failed to comply with are complied with.
(1) This sectionapplies to an enforcer that is not the CMA.
(2) Before making an application for a consumer protection order the enforcer—
(a) must by notice inform the CMA of its intention to do so, and
(b) may only proceed to make the application after expiry of the minimum period or, if sooner, after the CMA has by notice informed the enforcer that it consents to the making of the application.
(3) The “minimum period” is—
(a) in the case of an enforcement order or an online interface order, 14 days beginning with the day on which the notice undersubsection (2)(a)is given;
(b) in the case of an interim enforcement order or an interim online interface order, 7 days beginning with the day on which the notice undersubsection (2)(a)is given.
(4) Where an enforcer proceeds to make an application for a consumer protection order, the enforcer must by notice inform the CMA of the result of the application.
(5) Subsection (6)applies where the enforcer makes an application undersection 166in respect of a failure to comply with—
(a) a consumer protection order, or
(b) an undertaking given undersection 156or159.
(6) The enforcer must by notice inform the CMA of the making of the application and of any order made by the court on the application.
(1) This sectionapplies to an enforcer that is not the CMA which accepts an undertaking undersection 163.
(2) The enforcer must by notice inform the CMA of—
(a) the terms of the undertaking, and
(b) the identity of the person who gave it.
(1) This sectionapplies where a local weights and measures authority in England and Wales intends to start proceedings for an offence under an enactment listed in Part 1 ofSchedule 15.
(2) Before starting the proceedings the authority—
(a) must by notice inform the CMA of its intention to do so, and
(b) may only start the proceedings on or after the relevant day.
(3) The “relevant day” is—
(a) the day on which the CMA notifies the authority that the CMA has received the authority’s notice given undersubsection (2)(a), or
(b) if sooner, the day beginning 14 days after the day on which that notice was given.
(4) Where the authority starts the proceedings, the authority must by notice inform the CMA of outcome of the proceedings.
(5) A failure of an authority to comply with a requirement under this section does not invalidate any proceedings started by the authority.
(1) This sectionapplies where—
(a) a person is convicted of an offence by or before a court in the United Kingdom, or
(b) a judgment is given against a person by a court in civil proceedings in the United Kingdom.
(2) The court may make arrangements to bring the conviction or judgment to the attention of the CMA if it appears to the court—
(a) having regard to the functions of the CMA under this Chapter or Chapter 4, that it is expedient for the conviction or judgment to be brought to the attention of the CMA, and
(b) without such arrangements the conviction or judgment may not be brought to the attention of the CMA.
(3) For the purposes ofsubsection (2)it is immaterial whether the proceedings have been finally disposed of by the court.
(4) Judgment includes an order or decree (and references to the giving of a judgment are to be construed accordingly).
(1) This section applies for the purposes of determining the appropriate court in relation to an application for, or the making of, a consumer protection order against a person (“ the respondent”) in connection with a relevant infringement.
(2) If the respondent has a place of business in, or carries on business in, a part of the United Kingdom, the appropriate court is—
(a) the High Court or the county court in England and Wales, if the respondent carries on business in England and Wales or has a place of business in England and Wales;
(b) the High Court or a county court in Northern Ireland, if the respondent carries on business in Northern Ireland or has a place of business in Northern Ireland;
(c) the Court of Session or the sheriff, if the respondent carries on business in Scotland or has a place of business in Scotland.
(3) If the respondent does not have a place of business in, and does not carry on business in, any part of the United Kingdom, the appropriate court is—
(a) the High Court or the county court in England and Wales, if a relevant consumer is domiciled in England or Wales;
(b) the High Court or a county court in Northern Ireland, if a relevant consumer is domiciled in Northern Ireland;
(c) the Court of Session or the sheriff, if a relevant consumer is domiciled in Scotland.
(4) References in subsection (3) to a “relevant consumer” are to any consumer—
(a) to or for whom goods, services or digital content are supplied in connection with which the relevant infringement has, or is alleged to have, taken place,
(b) to whom activities are directed the carrying out of which constitutes, or is alleged to constitute, the relevant infringement, or
(c) from whom goods are received in connection with which the relevant infringement has, or is alleged to have, taken place.
(5) Section 41 of the Civil Jurisdiction and Judgments Act 1982 applies for the purposes of determining the part of the United Kingdom in which a relevant consumer is domiciled.
A consumer protection order made in a part of the United Kingdom by a court specified in relation to that part in the second or third column of the Table has effect in another part of the United Kingdom as if made by a court specified in relation to that other part in the same column of the Table—
| England and Wales | The High Court | The county court |
| Scotland | The Court of Session | The sheriff |
| Northern Ireland | The High Court | A county court. |
(1) Proceedings underthis Chapterare civil proceedings for the purposes of—
(a) section 11 of the Civil Evidence Act 1968 (convictions admissible as evidence in civil proceedings);
(b) section 10 of the Law Reform (Miscellaneous Provisions) (Scotland) Act 1968 (corresponding provision in Scotland);
(c) section 7 of the Civil Evidence Act (Northern Ireland) 1971 (c.36 (N.I.))(corresponding provision in Northern Ireland).
(2) In proceedings underthis Chapterany finding by a court in civil proceedings that a person has engaged in infringing conduct—
(a) is admissible as evidence that the conduct has occurred;
(b) unless the contrary is proved, is sufficient evidence that the conduct has occurred.
(3) Butsubsection (2)does not apply to any finding—
(a) which has been reversed on appeal;
(b) which has been varied on appeal so as to negate it.
(4) For the purposes of subsection (2), a person engages in “infringing conduct” if—
(a) the person has engaged in a commercial practice that constitutes a relevant infringement, or
(b) the person is an accessory to such a practice.
(1) This sectionapplies if—
(a) a court makes a consumer protection order against a body corporate (“ the respondent”), and
(b) the interconnection condition applies in relation to the respondent.
(2) The interconnection condition applies in relation to the respondent if—
(a) at the time the order is made the respondent is a member of a group of interconnected bodies corporate,
(b) at any time when the order is in force the respondent becomes a member of a group of interconnected bodies corporate, or
(c) at any time when the order is in force a group of interconnected bodies corporate of which the respondent is a member is increased by the addition of one or more further members.
(3) The order may include provision for the requirements (or any particular requirements) imposed by the order to be binding upon all other members of the group (in addition to the respondent) as if each of them were the respondent.
(4) Provision may be included in an order undersubsection (3)only if the court considers it just, reasonable and proportionate to include that provision.
(5) A group of interconnected bodies corporate is a group consisting of two or more bodies corporate all of whom are interconnected with each other.
(6) Any two bodies corporate are interconnected—
(a) if one of them is a subsidiary of the other, or
(b) if both of them are subsidiaries of the same body corporate.
(7) Where an order includes provision undersubsection (3), a copy of the order must be given to any other member of the respondent’s group in relation to which the requirements imposed by the order are to be binding.
(1) This sectionapplies where—
(a) an enforcement order is made on the application of a private designated enforcer,
(b) an undertaking is given undersection 156on an application for an enforcement order made by a private designated enforcer, or
(c) an undertaking is given undersection 163to a private designated enforcer.
(2) The enforcement order or undertaking may include a requirement for the taking of any enhanced consumer measures only if both of the following conditions are met.
(3) The first condition is that the private designated enforcer is specified for the purposes ofthis sectionin regulations made by the Secretary of State.
(4) The second condition is that the enhanced consumer measures do not directly benefit the private designated enforcer or an associated undertaking.
(5) Enhanced consumer measures directly benefiting an enforcer or an associated undertaking include (for example) measures which—
(a) require a person to pay money to the enforcer or an associated undertaking;
(b) require a person to participate in a scheme, administered by the enforcer or associated undertaking, that is designed to recommend persons supplying goods, services or digital content to consumers;
(c) would give the enforcer or associated undertaking a commercial advantage over any of its competitors.
(6) An enforcer may be specified in regulations undersubsection (3)only if—
(a) the functions of the enforcer underthis Chapterhave been specified under section 24 of the Legislative and Regulatory Reform Act 2006 (functions to which principles under section 21 and code of practice under section 22 apply), so far as capable of being so specified, and
(b) the Secretary of State is satisfied that to do so is likely to—
(i) improve the availability to consumers of redress for relevant infringements,
(ii) improve the availability to consumers of information which enables them to choose more effectively between persons supplying goods, services or digital content, or
(iii) improve compliance with consumer law.
(7) Subsection (8)applies if—
(a) an enforcer exercises a function in relation to a person by virtue ofthis section,
(b) the function is a relevant function for the purposes of Part 2 of the Regulatory Enforcement and Sanctions Act 2008 (co-ordination of regulatory enforcement), and
(c) a primary authority (within the meaning of that Part) has given advice or guidance under section 24A(1) or (2) of that Act—
(i) to that person in relation to the function, or
(ii) to other local authorities (within the meaning of that Part) with that function as to how they should exercise it in relation to that person.
(8) The enforcer must have regard to the advice or guidance in exercising the function in relation to that person.
(9) Regulations under this section are subject to the negative procedure.
(10) Inthis section“ associated undertaking”, in relation to a private designated enforcer, means—
(a) a parent undertaking or subsidiary undertaking of the enforcer, or
(b) a subsidiary undertaking of a parent undertaking of the enforcer,
and for this purpose “parent undertaking” and “subsidiary undertaking” have the meanings given by section 1162 of the Companies Act 2006.
(1) This sectionapplies where an application for a consumer protection order is made to a court in respect of a relevant infringement involving a contravention ofChapter 1ofPart 4(protection from unfair trading).
(2) The court may, for the purpose of considering the application, require a respondent to provide evidence as to the accuracy of any factual claim made as part of a commercial practice of the respondent.
(3) The court may find that a factual claim of a respondent is inaccurate if—
(a) the respondent fails to provide evidence of the accuracy of the claim in response to a requirement imposed undersubsection (2), or
(b) the court considers that any such evidence that is provided is inadequate.
(4) Inthis section“ respondent”, in relation to an application for a consumer protection order, means—
(a) where the application is for an enforcement order or an interim enforcement order, the person against whom the order is sought;
(b) where the application is for an online interface order or an interim online interface order, the person against whom the order is sought or another person who is a party to the proceedings.
(1) Subject tosubsection (2), this Chapter binds the Crown.
(2) The Crown is not liable for any monetary penalty imposed by virtue of this Chapter.
(1) This sectionapplies where the CMA has reasonable grounds for suspecting that—
(a) a person has engaged, is engaging or is likely to engage in a commercial practice that constitutes a relevant infringement, or
(b) a person is an accessory to such a practice.
(2) The CMA may conduct an investigation into the matter.
(3) Where the CMA conducts an investigation, it may publish a notice which (among other things) may—
(a) state its decision to conduct the investigation,
(b) summarise the matter under investigation (including the industry sectors affected),
(c) identify, so far as possible, the persons under investigation (including whether they are suspected of falling withinsubsection (1)(a)or(b)), and
(d) indicate the timetable for the conduct of the investigation.
(4) If after giving a notice undersubsection (3)the CMA decides to close an investigation, the CMA must publish a notice confirming that the investigation is to be closed.
(1) This sectionapplies where—
(a) the CMA has started an investigation undersection 180that is continuing, and
(b) the condition insubsection (2)is met in respect of any person (“ the respondent”) who is subject to the investigation.
(2) The condition inthis subsectionis met in respect of the respondent if the CMA has reasonable grounds to believe that—
(a) the respondent has engaged, is engaging or is likely to engage in a commercial practice constituting a relevant infringement (“the infringing practice”), or
(b) the respondent is an accessory to such a practice.
(3) The CMA may give to the respondent a notice underthis section(a “provisional infringement notice”).
(4) A provisional infringement notice must—
(a) set out the grounds on which it is given, including the respondent’s acts or omissions giving rise to the CMA’s belief that the condition insubsection (2)is met;
(b) set out proposed directions for the purposes of securing that the respondent complies withsubsection (5);
(c) invite the respondent to make representations to the CMA about the giving of the notice;
(d) specify the means by which, and the time by which, such representations must be made.
(5) The respondent complies withthis subsectionby—
(a) in the case of a respondent withinsubsection (2)(a), not continuing or repeating the infringing practice (where it is believed that the respondent has engaged or is engaging in that practice);
(b) in the case of a respondent withinsubsection (2)(b), not consenting to or conniving in the infringing practice;
(c) in either case, not engaging in the infringing practice in the course of the respondent’s business or another business;
(d) in either case, not consenting to or conniving in the carrying out of the infringing practice by a body corporate with which the respondent has a special relationship (see section220).
(6) If the proposed directions mentioned insubsection (4)(b)include the taking by the respondent of enhanced consumer measures, the notice must state that fact and include details of the proposed measures to be taken (butsection 183applies in respect of any such proposed measures specified in a provisional infringement notice as that section applies to such measures specified in a final infringement notice).
(7) The means specified undersubsection (4)(d)for making representations must include arrangements for them to be made orally if the respondent chooses to make representations in that way.
(8) If the CMA is considering the imposition of a monetary penalty on the respondent (seesection 182(4)(b)), the provisional infringement notice must also state—
(a) that the CMA is considering imposing a monetary penalty;
(b) the proposed amount of the penalty;
(c) any further factors (in addition to those provided undersubsection (4)(a)) which the CMA considers may justify the imposition of the proposed penalty and its amount.
(1) This sectionapplies where—
(a) the CMA has given to the respondent a provisional infringement notice undersection 181,
(b) the time for the respondent to make representations to the CMA in accordance with that notice has expired, and
(c) after considering such representations (if any), the CMA is satisfied that—
(i) the respondent has engaged, is engaging or is likely to engage in a commercial practice constituting a relevant infringement, or
(ii) the respondent is an accessory to such a practice.
(2) The CMA may give to the respondent a notice underthis section(a “final infringement notice”).
(3) In deciding whether to give a final infringement notice the CMA must, in particular, have regard to whether the respondent has previously given an undertaking underthis ChapterorChapter 3in respect of the acts or omissions in relation to which the final infringement notice would be given.
(4) A final infringement notice may impose on the respondent a requirement to do either or both of the following—
(a) a requirement to comply with such directions as the CMA considers appropriate for or in connection with the purpose of securing that the respondent complies withsection 181(5)(which may include directions to take enhanced consumer measures in accordance withsection 183);
(b) subject tosubsection (5), a requirement to pay a monetary penalty.
(5) In the case of a respondent withinsubsection (1)(c)(i), a requirement to pay a monetary penalty may be imposed only if the CMA is satisfied that the respondent has engaged, or is engaging, in a commercial practice constituting a relevant infringement (and not in respect of a practice that the CMA is satisfied that the person is likely to engage in).
(6) The amount of a monetary penalty imposed undersubsection (4)(b)must be a fixed amount not exceeding £300,000 or, if higher, 10% of the total value of the turnover (if any) of the respondent.
(7) A final infringement notice must—
(a) set out the grounds on which it is given, including the respondent’s acts or omissions on account of which the notice is given;
(b) state any further factors (in addition to those provided underparagraph (a)) which the CMA considers justify the giving of the notice;
(c) if a penalty is imposed by the notice undersubsection (4)(b), contain the monetary penalty information (seesection 203);
(d) state that the respondent has a right to appeal against the notice and the main details of that right (so far as not stated in accordance withparagraph (c)).
(8) A final infringement notice may require the respondent to publish—
(a) the notice;
(b) a corrective statement.
(9) Publication undersubsection (8)must be made in such form and manner, and to such extent, as the CMA considers appropriate for the purpose of eliminating any continuing effects of the relevant infringement.
(1) Directions contained in a final infringement notice may include directions requiring the respondent to take such enhanced consumer measures as the CMA considers just and reasonable.
(2) For this purpose, in deciding whether to require the taking of enhanced consumer measures the CMA must in particular consider whether any proposed enhanced consumer measures are proportionate having regard to—
(a) the likely benefit of the measures to consumers,
(b) the costs likely to be incurred by the respondent, and
(c) the likely cost to consumers of obtaining the benefit of the measures.
(3) The costs referred to insubsection (2)(b)are—
(a) the cost of the measures, and
(b) the reasonable administrative costs associated with taking the measures.
(4) Where the respondent is required by a final infringement notice to take enhanced consumer measures, the notice may include requirements for the respondent to provide information or documents to the CMA in order that the CMA may determine if the respondent is taking those measures.
(5) Subsection (6)applies if—
(a) a final infringement notice requires the taking of enhanced consumer measures offering compensation, and
(b) a settlement agreement is entered into in connection with the payment of compensation.
(6) A waiver of a person’s rights in the settlement agreement is not valid if it is a waiver of the right to bring civil proceedings in respect of conduct other than conduct which has given rise to the final infringement notice.
(1) This sectionapplies where the CMA is satisfied that a person has engaged, is engaging or is likely to engage in a commercial practice that constitutes a relevant infringement.
(2) The CMA may give a notice underthis section(an “online interface notice”) to—
(a) the person that the CMA is satisfied has engaged, is engaging or is likely to engage in the commercial practice constituting the relevant infringement, or
(b) any other person (subject tosubsection (3)).
(3) A notice undersubsection (2)(b)may be given to a person who is outside the United Kingdom only if the person—
(a) is a United Kingdom national,
(b) is an individual who is habitually resident in the United Kingdom,
(c) is a firm established in the United Kingdom, or
(d) carries on business in the United Kingdom or by any means directs activities in the course of carrying on a business to consumers in the United Kingdom.
(4) An online interface notice may contain whatever directions the CMA considers appropriate for the purpose of requiring the person to whom it is given to do, or to co-operate with another person so that person can do, one or more of the following—
(a) remove content from, or modify content on, an online interface;
(b) disable or restrict access to an online interface;
(c) display a warning to consumers accessing an online interface;
(d) delete a fully qualified domain name and take any steps necessary to facilitate the registration of that domain name by the CMA.
(5) An online interface notice may be given to a person only if the CMA is satisfied that—
(a) there are no other available means undersection 162or under another provision ofthis Chapterof bringing about the cessation or prohibition of the infringement which, by themselves, would be wholly effective, and
(b) it is necessary for the directions contained in the notice to be given to avoid the risk of serious harm to the collective interests of consumers.
(6) An online interface notice must—
(a) set out the grounds on which it is given;
(b) state that the respondent has the right to appeal against the notice and the main details of that right.
(7) Where an online interface notice is given, the CMA may publish—
(a) the notice, and
(b) where known, the identity of the person who has engaged, is engaging or is likely to engage in a commercial practice which constitutes the relevant infringement.
(8) Publication undersubsection (7)must be made in such form and manner as the CMA considers appropriate for the purpose of eliminating any continuing effects of the relevant infringement.
(9) For the purposes of subsection(3)(c), a firm is “established in the United Kingdom” if—
(a) it is incorporated or formed under the law of a part of the United Kingdom, or
(b) it is administered under arrangements governed by the law of a part of the United Kingdom.
(10) Insubsection (4)“ online interface” means any software, including a website, part of a website, an application or other digital content which—
(a) is operated by a person (“ P”) acting for purposes relating to P’s business or by a person acting in the name of, or on behalf of, P, and
(b) is operated for or in connection with the purposes of giving access to, or promoting, the goods, services or digital content that P or another person supplies.
(1) This sectionapplies where the CMA—
(a) has started an investigation undersection 180which is continuing, and
(b) has not given a final infringement notice or an online interface notice in relation to the matter under investigation.
(2) The CMA may accept an undertaking underthis sectionin connection with that matter from any person whom the CMA believes—
(a) has engaged, is engaging or is likely to engage in a commercial practice that constitutes a relevant infringement (“the infringing practice”), or
(b) is an accessory to such a practice.
(3) Subsections(1)to(6)ofsection 164(inclusion of enhanced consumer measures in undertakings) apply to an undertaking under this section as they apply to an undertaking undersection 163(2).
(4) An undertaking underthis sectionis an undertaking to do one or more of the following—
(a) in the case of an undertaking from a person withinsubsection (2)(a), not to continue or repeat the infringing practice (where the CMA believes the person has engaged or is engaging in the practice);
(b) in the case of an undertaking from a person withinsubsection (2)(b), not to consent to or connive in the infringing practice;
(c) in either case, not to engage in the infringing practice in the course of the person’s business or another business;
(d) in either case, not to consent to, or connive in, the carrying out of the infringing practice by a body corporate with which the person has a special relationship (see section220).
(5) Where the CMA has accepted from a person an undertaking underthis section—
(a) the CMA may accept from the person any such variation of the undertaking that the CMA considers appropriate for meeting the purposes for which the undertaking was given;
(b) the CMA may release the person from the undertaking (whether on its own initiative or at the person’s request) if the CMA considers that the undertaking is no longer necessary to further those purposes.
(6) The powers of the CMA underthis sectiondo not limit other powers of the CMA to accept, vary or release undertakings underChapter 3.
(1) This sectionapplies where the CMA accepts an undertaking from a person undersection 185in connection with a matter that it was investigating undersection 180.
(2) The CMA may not give a final infringement notice or an online interface notice to the person in relation to the matter.
(3) Subsection(2)does not prevent the CMA from giving a final infringement notice or an online interface notice to the person—
(a) if and to the extent that the notice relates to anything not addressed by the acceptance of the undertaking mentioned insubsection (1);
(b) if the CMA considers that there has been a material change of circumstances since the undertaking was accepted;
(c) if the CMA has reasonable grounds for suspecting that a person from whom the undertaking was accepted has failed to adhere to one or more of the terms of the undertaking;
(d) if the CMA has reasonable grounds for suspecting that information which led it to accept the undertaking was incomplete, false or misleading in a material way.
(4) If the CMA gives a final infringement notice or an online interface notice by virtue ofsubsection (3)(b),(c)or(d), the undertaking is to be treated as released as from the date on which the notice is given.
(1) This sectionapplies where the CMA proposes to—
(a) accept a material variation of an undertaking undersection 185, or
(b) release a person from any such undertaking,
and the proposed variation or release has not been requested by the person who gave the undertaking.
(2) Before taking the proposed action mentioned insubsection (1)the CMA must—
(a) give notice to the person undersubsection (3), and
(b) consider any representations made in accordance with the notice.
(3) A notice underthis subsectionmust state—
(a) the fact that the CMA is proposing to act as mentioned insubsection (1),
(b) the reasons for doing so, and
(c) the means by which, and the time by which, representations may be made in relation to the proposed action.
(4) If after considering any representations made in accordance with a notice undersubsection (3)the CMA decides to take an action mentioned insubsection (1), the CMA must give notice to the person of that decision.
(5) The reference insubsection (1)(a)to a material variation is a reference to any variation that the CMA considers to be material in any respect.
(1) This sectionapplies where—
(a) the CMA has accepted an undertaking from a person (“ the respondent”) undersection 185, and
(b) the CMA has reasonable grounds to believe that the respondent has failed to comply with one or more of the terms of the undertaking.
(2) The CMA may give to the respondent a notice underthis section(a “provisional breach of undertakings enforcement notice”).
(3) A provisional breach of undertakings enforcement notice must—
(a) set out the grounds on which it is given, including the respondent’s alleged acts or omissions giving rise to the belief mentioned insubsection (1)(b);
(b) set out proposed directions for the purpose of securing that the respondent complies withsubsection (5);
(c) invite the respondent to make representations to the CMA about the giving of the notice;
(d) specify the means by which, and the time by which, such representations must be made.
(4) The means specified undersubsection (3)(d)for making representations must include arrangements for them to be made orally if the respondent chooses to make representations in that way.
(5) The respondent complies withthis subsectionby—
(a) in the case of a respondent withinsection 185(2)(a), not continuing or repeating the infringing practice (where it is believed that the respondent has engaged or is engaging in that practice);
(b) in the case of a respondent withinsection 185(2)(b), not consenting to or conniving in the infringing practice;
(c) in either case, not engaging in the infringing practice in the course of the respondent’s business or another business;
(d) in either case, not consenting to or conniving in the carrying out of the infringing practice by a body corporate with which the respondent has a special relationship (see section220).
(6) If the CMA is considering the imposition of a monetary penalty on the respondent (seesection 189(3)(b)), the provisional breach of undertakings enforcement notice must also state—
(a) that the CMA is considering imposing a monetary penalty;
(b) the proposed amount of the penalty (including whether the penalty would be a fixed amount, an amount calculated by reference to a daily rate or both a fixed amount and an amount calculated by reference to a daily rate);
(c) any further factors (in addition to those provided undersubsection (3)(a)) which the CMA considers justify the imposition of the proposed penalty and its amount or amounts.
(1) This sectionapplies where—
(a) the CMA has given to the respondent a provisional breach of undertakings enforcement notice undersection 188,
(b) the time for the respondent to make representations to the CMA in accordance with that notice has expired, and
(c) after considering such representations (if any), the CMA is satisfied that the respondent has failed to comply with one or more of the terms of the undertaking.
(2) The CMA may give to the respondent a notice underthis section(a “final breach of undertakings enforcement notice”).
(3) A final breach of undertakings enforcement notice may, subject tosubsection (4), impose on the respondent a requirement to do either or both of the following—
(a) to comply with such directions as the CMA considers appropriate for the purpose of securing that the respondent complies withsection 188(5);
(b) to pay a monetary penalty in respect of the failure mentioned insubsection (1)(c).
(4) A requirement under subsection (3)(b) to pay a monetary penalty may be imposed only if the CMA is satisfied that the failure in question is without reasonable excuse.
(5) A final breach of undertakings enforcement notice must—
(a) set out the grounds on which it is given, including the respondent’s acts or omissions giving rise to the failure mentioned insubsection (1)(c);
(b) state any further factors (in addition to those provided underparagraph (a)) which the CMA considers justify the giving of the notice;
(c) if directions are given undersubsection (3)(a), specify the actions to be taken by the respondent in accordance with the directions;
(d) if a penalty is imposed undersubsection (3)(b), specify the monetary penalty information (seesection 203);
(e) state that the respondent has a right to appeal against the notice and the main details of that right (so far as not stated in accordance withparagraph (d)).
(6) The CMA may publish a final breach of undertakings enforcement notice in such manner, and to such extent, as the CMA considers appropriate.
(1) This sectionapplies in relation to a requirement imposed on the respondent to pay a monetary penalty under a final breach of undertakings enforcement notice.
(2) The amount of the penalty must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) The penalty must not exceed—
(a) in the case of a fixed amount, £150,000 or, if higher, 5% of the total value of the turnover (if any) of the respondent;
(b) in the case of an amount calculated by reference to a daily rate, for each day £15,000 or, if higher, 5% of the total value of the daily turnover (if any) of the respondent;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, such fixed amount and such amount per day.
(4) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the date on which the provisional breach of undertakings enforcement notice was given to the respondent, and
(b) unless the CMA determines an earlier date, the amount payable ceases to accumulate on the day on which the requirements of the final breach of undertakings enforcement notice are complied with.
(1) This sectionapplies where—
(a) an enforcement direction has been given to a person (“ the respondent”), and
(b) the CMA has reasonable grounds to believe that the respondent has without reasonable excuse failed to comply with the direction (fully or to any respect).
(2) The CMA may give to the respondent a notice underthis section(a “provisional breach of directions enforcement notice”).
(3) A provisional breach of directions enforcement notice must—
(a) set out the grounds on which it is given, including the respondent’s acts or omissions giving rise to the belief mentioned insubsection (1)(b);
(b) set out proposed directions for the purpose of securing that the respondent complies with the direction;
(c) invite the respondent to make representations to the CMA about the giving of the notice;
(d) specify the means by which, and the time by which, such representations must be made.
(4) The means specified under subsection (3)(d) for making representations must include arrangements for them to be made orally if the respondent chooses to make representations in that way.
(5) A provisional breach of directions enforcement notice must also state—
(a) that the CMA is considering imposing a monetary penalty;
(b) the proposed amount of the penalty (including whether the penalty would be a fixed amount, an amount calculated by reference to a daily rate or both a fixed amount and an amount calculated by reference to a daily rate);
(c) any further factors (in addition to those provided undersubsection (3)(a)) which the CMA considers justify the imposition of the proposed penalty and its amount or amounts.
(6) Inthis Chapter“ enforcement direction” means a direction given in—
(a) a final infringement notice,
(b) an online interface notice, or
(c) a final breach of undertakings enforcement notice.
(1) This sectionapplies where—
(a) the CMA has given to the respondent a provisional breach of directions enforcement notice undersection 191in respect of a suspected failure to comply with an enforcement direction,
(b) the time for the respondent to make representations to the CMA in accordance with that notice has expired, and
(c) after considering such representations (if any), the CMA is satisfied that the respondent has, without reasonable excuse, failed to comply with the direction.
(2) The CMA may give to the respondent a notice under this section (a “final breach of directions enforcement notice”).
(3) A final breach of directions enforcement notice is a notice that imposes on the respondent a requirement to pay a monetary penalty.
(4) A final breach of directions enforcement notice must—
(a) set out the grounds on which it is given, including the respondent’s acts or omissions giving rise to the failure mentioned insubsection (1)(c);
(b) state any further factors (in addition to those provided underparagraph (a)) which the CMA considers justify the giving of the notice;
(c) specify the monetary penalty information (seesection 203).
(5) A final breach of directions enforcement notice may—
(a) vary or revoke the enforcement direction mentioned insubsection (1);
(b) specify such other directions as the CMA considers appropriate for the purpose of securing that the respondent complies with the requirements in respect of which the enforcement direction was given.
(6) Where a final breach of directions enforcement notice includes provision under subsection(5)that varies an enforcement direction or specifies other directions, the notice must (in addition to the requirements under subsection(4)) also state that the respondent has a right to appeal against the notice and the main details of that right.
(7) The CMA may publish a final breach of directions enforcement notice in such manner, and to such extent, as the CMA considers appropriate.
(1) This sectionapplies in relation to a requirement imposed on the respondent to pay a monetary penalty under a final breach of directions enforcement notice.
(2) The amount of the penalty must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) The penalty imposed on a person must not exceed—
(a) in the case of a fixed amount, £150,000 or, if higher, 5% of the total value of the turnover (if any) of the respondent;
(b) in the case of an amount calculated by reference to a daily rate, for each day £15,000 or, if higher, 5% of the total value of the daily turnover (if any) of the respondent;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, such fixed amount and such amount per day.
(4) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the date on which the provisional breach of directions enforcement notice was given to the respondent, and
(b) unless the CMA determines an earlier date, the amount payable ceases to accumulate on the day on which the relevant directions are fully complied with.
(5) Insubsection (4)(b)the “relevant directions” are—
(a) the enforcement direction mentioned insection 192(1)(a)(if not revoked undersection 192(5)(a));
(b) any further directions specified undersection 192(5)(b).
(1) This sectionapplies where the CMA considers that a person (“ the respondent”) has failed to comply with—
(a) an enforcement direction, or
(b) a direction given in a final breach of directions enforcement notice undersection 192(5)(b).
(2) The CMA may make an application to the appropriate court underthis section.
(3) If on an application undersubsection (2)the court finds that the respondent has failed to comply with the direction concerned, the court may make an order imposing such requirements on the respondent as the court considers appropriate for the purpose of remedying the failure.
(4) An order underthis sectionmay provide for all of the costs or expenses of, and incidental to, the application for the order to be met by the respondent or any officer of a person that is responsible for the respondent’s failure to comply with the direction.
(5) Nothing inthis sectionlimits the powers of the court to make orders underChapter 3or otherwise (and an application underthis sectionmay be combined with an application under that Chapter for a consumer protection order).
(6) The following provisions ofChapter 3apply to an order underthis sectionas if the order were a consumer protection order—
(a) section 173(appropriate court);
(b) section 174(effect of orders in other parts of the United Kingdom);
(c) section 178(substantiation of claims).
(1) This sectionapplies where—
(a) the CMA gives a provisional notice underthis Chapterto a person (“ the respondent”) in respect of a relevant infringement involving a contravention ofChapter 1ofPart 4(protection from unfair trading), and
(b) the respondent makes representations to the CMA in response to that notice.
(2) The CMA may, for the purpose of considering the representations, require the respondent to provide evidence as to the accuracy of any factual claim made as part of a commercial practice of the respondent.
(3) The CMA may determine that a factual claim of the respondent is inaccurate if—
(a) the respondent fails to provide evidence of the accuracy of the claim in response to a requirement imposed undersubsection (2), or
(b) the CMA considers that any such evidence that is provided is inadequate.
(4) In this section “ provisional notice” means—
(a) a provisional infringement notice,
(b) a provisional breach of undertakings enforcement notice, or
(c) a provisional breach of directions enforcement notice.
(1) This sectionapplies where the CMA proposes to—
(a) make a material variation of an enforcement direction given to a person (“ the respondent”), or
(b) revoke any such direction.
(2) Before taking the proposed action mentioned insubsection (1)the CMA must—
(a) give notice to the respondent undersubsection (3), and
(b) consider any representations made in accordance with the notice.
(3) A notice underthis subsectionmust state—
(a) the fact that CMA is proposing to act as mentioned insubsection (1),
(b) the reasons for doing so, and
(c) the means by which, and the time by which, representations may be made in relation to the proposed variation or revocation.
(4) If after considering any representations made in accordance with a notice undersubsection (3)the CMA decides to take the action mentioned insubsection (1), the CMA must give notice to the respondent of that decision.
(5) The reference insubsection (1)(a)to a material variation is a reference to any variation that the CMA considers to be material in any respect.
(6) Inthis section“ enforcement direction” includes a direction given in a notice under section192(5)(b).
(1) This sectionapplies if—
(a) the CMA has reasonable grounds to believe that a person (“ the respondent”) has, without reasonable excuse, provided information to the CMA that is materially false or misleading, and
(b) the information was provided in connection with the carrying out by the CMA of a direct enforcement function.
(2) The CMA may give to the respondent a notice underthis section(a “provisional false information enforcement notice”).
(3) A provisional false information enforcement notice must—
(a) set out the grounds on which it is given;
(b) state that the CMA is considering imposing a monetary penalty;
(c) state the proposed amount of the penalty;
(d) state any further factors (in addition to those provided under paragraph (a)) which the CMA considers justify the imposition of the proposed penalty and its amount;
(e) invite the respondent to make representations to the CMA about the giving of the notice;
(f) specify the means by which, and the time by which, such representations must be made.
(4) The means specified under subsection (3)(f) for making representations must include arrangements for them to be made orally if the respondent chooses to make representations in that way.
(5) Inthis Part“ direct enforcement function” means—
(a) a function of the CMA underthis Chapter, or
(b) a function of the CMA under paragraph 16B or 16C of Schedule 5 to CRA 2015.
(1) This sectionapplies where—
(a) the CMA has given to the respondent a provisional false information enforcement notice undersection 197in connection with the provision of information,
(b) the time for the respondent to make representations to the CMA in accordance with the notice has expired, and
(c) after considering such representations (if any), the CMA is satisfied that—
(i) the information mentioned inparagraph (a)is materially false or misleading, and
(ii) the respondent provided the false or misleading information without reasonable excuse.
(2) The CMA may give to the respondent a notice underthis section(“a final false information enforcement notice”).
(3) A final false information enforcement notice is a notice that imposes on the respondent a requirement to pay a monetary penalty.
(4) The amount of the penalty must be a fixed amount not exceeding £30,000 or, if higher, 1% of the total value of the turnover (if any) of the respondent.
(5) A final false information enforcement notice must—
(a) set out the grounds on which it is given;
(b) state any further factors (in addition to those provided underparagraph (a)) which the CMA considers justify the giving of the notice;
(c) specify the monetary penalty information (seesection 203).
(6) The CMA may publish a final false information enforcement notice in such manner, and to such extent, as the CMA considers appropriate.
(1) The CMA must prepare and publish a statement of policy in relation to the exercise of powers to impose a monetary penalty under this Chapter.
(2) The statement must include a statement about the considerations relevant to the determination of—
(a) whether to impose a penalty under this Chapter, and
(b) the nature and amount of any such penalty.
(3) The CMA may revise its statement of policy and, where it does so, must publish the revised statement.
(4) In preparing or revising its statement of policy the CMA must consult—
(a) the Secretary of State, and
(b) such other persons as the CMA considers appropriate.
(5) A statement of policy, or revised statement, may not be published underthis sectionwithout the approval of the Secretary of State.
(6) Subsection (7)applies where the CMA proposes to impose under this Chapter a monetary penalty on a person.
(7) The CMA must have regard to the statement of policy most recently published underthis sectionat the time of the act or omission giving rise to the penalty in deciding—
(a) whether to impose the penalty, and
(b) if so, the nature and amount of the penalty.
(1) This section applies where—
(a) the CMA gives to a body corporate (“ the respondent”) a final notice, and
(b) the interconnection condition applies in relation to the respondent.
(2) The interconnection condition applies in relation to the respondent if—
(a) at the time the final notice is given, the respondent is a member of a group of interconnected bodies corporate,
(b) at any time when requirements imposed by the final notice remain in force, the respondent becomes a member of a group of interconnected bodies corporate, or
(c) at any time when requirements imposed by the final notice remain in force, a group of interconnected bodies corporate of which the respondent is a member is increased by the addition of one or more further members.
(3) The notice may include provision for the requirements (or any particular requirements) imposed by the final notice on the respondent also to be binding upon all other members of the group (in addition to the respondent), as if each of them were the respondent.
(4) Provision may be included in a notice undersubsection (3)only if the CMA considers it just, reasonable and proportionate to include that provision.
(5) A group of interconnected bodies corporate is a group consisting of two or more bodies corporate all of whom are interconnected with each other.
(6) Any two bodies corporate are interconnected—
(a) if one of them is a subsidiary of the other, or
(b) if both of them are subsidiaries of the same body corporate.
(7) Where a final notice includes provision undersubsection (3), the notice must also be given to any other member of the respondent’s group in relation to which the requirements imposed by the notice are to be binding.
(8) In this section “ final notice” means—
(a) a final infringement notice,
(b) an online interface notice, or
(c) a final breach of directions enforcement notice.
(1) The CMA must keep a record of—
(a) undertakings it has accepted and enforcement directions it has given, and
(b) reviews it has carried out in relation to the effectiveness of such undertakings and directions.
(2) If requested to do so by the Secretary of State, the CMA must prepare a report on—
(a) the effectiveness of undertakings and enforcement directions, and
(b) the number and outcome of appeals brought undersection 202.
(3) The CMA must—
(a) provide to the Secretary of State a report prepared underthis section, and
(b) publish the report in such manner as the CMA considers appropriate.
(4) Inthis section—
(a) “ undertakings” means undertakings given undersection 185;
(b) “ enforcement directions” includes directions given in a notice undersection 192(5)(b).
(1) A person to whom a relevant notice is given may appeal to the appropriate appeal court against—
(a) a decision to impose a monetary penalty by virtue of the notice,
(b) the nature or amount of any such penalty, or
(c) the giving of directions by virtue of the notice.
(2) The grounds for an appeal undersubsection (1)(a)or (b) are that—
(a) the decision to impose a monetary penalty was based on an error of fact,
(b) the decision was wrong in law,
(c) the amount of the penalty is unreasonable, or
(d) the decision was unreasonable or wrong for any other reason.
(3) The grounds for an appeal undersubsection (1)(c)are that—
(a) the decision to give the directions was based on an error of fact,
(b) the decision was wrong in law,
(c) the nature of the directions is unreasonable, or
(d) the decision was unreasonable or wrong for any other reason.
(4) On an appeal underthis sectionthe appropriate appeal court may quash, confirm or vary the relevant notice.
(5) Except in the case of an appeal relating to a final false information enforcement notice, in addition to the powers conferred by subsection(4)the appropriate appeal court may also remit any matter that is the subject of the appeal to the CMA.
(6) An appeal underthis sectionmust be brought before the end of the applicable period beginning with the day on which the relevant notice was given to the person seeking to bring the appeal.
(7) The appropriate appeal court may extend the applicable period for bringing an appeal.
(8) Where an appeal is brought in respect of—
(a) a requirement to pay a monetary penalty, or
(b) a requirement to pay compensation under directions imposing enhanced consumer measures,
the penalty or compensation is not required to be paid until after the appeal is determined, withdrawn or otherwise dealt with.
(9) Inthis section—
“ applicable period” means—
in relation to a final false information enforcement notice, the period of 28 days;
in relation to any other relevant notice, the period of 60 days;
“ appropriate appeal court” means—
in relation to England and Wales or Northern Ireland, the High Court;
in relation to Scotland, the Outer House of the Court of Session;
“ relevant notice” means—
a final infringement notice,
an online interface notice,
a final breach of undertakings enforcement notice,
a final breach of directions enforcement notice, or
a final false information enforcement notice.
(1) An order or notice under Chapter3or4under which a person (“ the respondent”) is required to pay a monetary penalty must state the following information (referred to in those Chapters as the “monetary penalty information”)—
(a) the amount of the penalty (including whether it is a fixed amount, an amount calculated by reference to a daily rate or both a fixed amount and an amount calculated by reference to a daily rate);
(b) the grounds on which the penalty is imposed together with any other factors that the court (in the case of an order) or the CMA (in the case of a notice) considers justify the giving of the penalty or its amount;
(c) in the case of an amount calculated by reference to a daily rate, the day on which the amount first starts to accumulate and the day or days on which it might cease to accumulate;
(d) how the penalty is to be paid;
(e) the date or dates, no earlier than the end of the applicable period beginning with the date on which the order was served on or the notice was given to the respondent, by which the penalty or (as the case may be) different portions of it are required to be paid;
(f) that the penalty or (as the case may be) different portions of it may be paid earlier than the date or dates by which it or they are required to be paid;
(g) that the respondent has the right to apply undersubsection (3)(in the case of an order) orsubsection (4)(in the case of a notice);
(h) the rights available to the respondent to appeal in respect of the imposition of the penalty;
(i) the main details of the rights mentioned in paragraphs(g)and(h).
(2) In subsection (1)(e) “ the applicable period” means—
(a) in the case of an order or a final false information enforcement notice, the period of 28 days;
(b) in any other case, the period of 60 days.
(3) The respondent may, within 14 days of the date on which an order imposing a monetary penalty is served on the respondent, apply to the court for the court to specify a different date or dates by which the penalty, or different portions of it, are to be paid.
(4) The respondent may, within 14 days of the date on which a notice imposing a monetary penalty is given to the respondent, apply to the CMA to specify a different date or dates by which the penalty, or different portions of it, are required to be paid.
(5) References in subsections(1)and(2)to an order include references to a notice accompanying such an order given undersection 158(4).
(6) In the application of this section to Scotland, the references in subsections(1)(e)and(3)to an order being served include service of an extract order in execution of or diligence on the order.
(1) Inthis Partreferences to “turnover” of a person include—
(a) turnover both in and outside the United Kingdom;
(b) where the person controls another person, the turnover of that other person;
(c) where the person is controlled by another person, the turnover of that person.
(2) The Secretary of State may by regulations—
(a) make provision for determining when a person is to be treated as controlled by another person for the purposes of subsection (1)(b) and (c);
(b) make provision for determining the turnover of a person for the purposes of this Part.
(3) Regulations under this section may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising a person’s turnover or daily turnover;
(b) the date or dates by reference to which a person’s turnover or daily turnover is to be determined.
(4) Regulations under this section may include provision enabling the court or the CMA to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) ofsubsection (3)).
(5) Regulations underthis sectionare subject to the negative procedure.
(1) The Secretary of State may by regulations amend any of the following provisions for the purpose of substituting a different monetary amount for an amount of fixed or daily penalty for the time being specified—
(a) section 158(5);
(b) section 168(3)(a)and(b);
(c) section 182(6);
(d) section 190(3)(a)and(b);
(e) section 193(3)(a)and(b);
(f) section 198(4).
(2) Before making regulations underthis sectionthe Secretary of State must consult such persons as the Secretary of State considers appropriate.
(3) Regulations underthis sectionare subject to the affirmative procedure.
(1) This sectionapplies where a monetary penalty imposed underChapter 4, or any part of such a penalty, has not been paid by the date on which it is required to be paid and—
(a) an appeal to a court against the imposition of the penalty has not been brought before the end of the period within which it is required to be brought, or
(b) any such appeal that was brought has been determined, withdrawn or otherwise disposed of.
(2) The CMA may recover from the person on whom the penalty was imposed any of the penalty and any interest which has not been paid.
(3) Any such penalty and interest may be recovered summarily (or, in Scotland, recovered) as a civil debt by the CMA.
(4) Subsection (5)applies where—
(a) a penalty is payable by a person by virtue of a final infringement notice,
(b) the notice also includes directions imposing a requirement on the person to take enhanced consumer measures, and
(c) the enhanced consumer measures that the person is required to take are or include redress measures (seesection 221(2)).
(5) In deciding whether to recover the penalty from the person undersubsection (2), the CMA must have regard to—
(a) whether any compensation required to be paid to consumers under the redress measures has been, or is likely to be, paid, and
(b) where any such payments have not yet been paid (in full or in part), the effect that recovery of the penalty from the person may have on the person’s ability to make those compensatory payments.
(1) If the whole or any portion of a monetary penalty imposed is not paid by the date by which it is required to be paid, the unpaid balance from time to time carries interest at the statutory rate.
(2) Where an application has been made undersection 203(3)or(4), the penalty is not required to be paid until the application has been determined, withdrawn or otherwise disposed of.
(3) Where an application has been made to appeal to a court in respect of a monetary penalty, the penalty is not required to be paid until the application has been determined, withdrawn or otherwise disposed of.
(4) If a portion of a monetary penalty imposed by an order of the court has not been paid by the date required for it, the court may, where it considers it appropriate to do so, by order require so much of the penalty as has not already been paid (and is capable of being paid immediately) to be paid immediately.
(5) If a portion of a monetary penalty imposed by virtue of a notice given by the CMA has not been paid by the date required for it, the CMA may, where it considers it appropriate to do so, by notice require so much of the penalty as has not already been paid (and is capable of being paid immediately) to be paid immediately.
(6) Where on an appeal undersection 202the court substitutes a penalty of a different nature or of a lesser amount, the court may require the payment of interest at the statutory rate on the substituted penalty from whatever date it considers appropriate (which may include a date before the determination of the appeal).
(7) In the case of a monetary penalty imposed on a firm that is not a body corporate, the penalty is to be paid out of the assets or funds of the firm.
(8) Sums received from a person towards payment of a monetary penalty must be paid—
(a) in the case of a penalty imposed by an order of the Court of Session or the Sheriff, into the Scottish Consolidated Fund;
(b) in the case of a penalty imposed by an order of a court in Northern Ireland, into the Consolidated Fund of Northern Ireland;
(c) in any other case, into the Consolidated Fund of the United Kingdom.
(9) Inthis section—
“ monetary penalty” means a monetary penalty imposed under Chapter3or4;
“ the statutory rate” means the rate for the time being specified in section 17 of the Judgments Act 1838.
(1) Schedule 17contains amendments to Schedule 5 to CRA 2015 (investigatory powers), including amendments about—
(a) the giving of monetary penalties in connection with a failure to comply with an information notice;
(b) the giving of information notices to persons outside the United Kingdom;
(c) the means by which information notices are to be given;
(d) entry to premises where documents are accessible from the premises.
(2) Insubsection (1)“ information notice” means a notice given under paragraph 14 of Schedule 5 to CRA 2015.
(1) The Secretary of State may by regulations amend—
(a) the first column of the Table in Part 1 ofSchedule 15so as to add, remove or vary an entry for an enactment;
(b) the second column of that Table so as to add, remove or vary an entry providing for the authorised enforcers in respect of an enactment;
(c) the third column of that Table in consequence of amendments made under the power conferred by paragraph (a);
(d) the second column of the Table inPart 2ofSchedule 15so as to add, remove or vary an entry providing for the authorised enforcers in respect of an obligation or rule of law;
(e) Schedule 16so as to add, remove or vary an entry for an enactment.
(2) The power undersubsection (1)(a)or(e)is exercisable so as to add or vary an entry in respect of an enactment only if, and to the extent that, one or more of the following is provided for under or by virtue of the enactment so added or varied—
(a) a duty, prohibition or restriction enforceable by criminal proceedings;
(b) a duty owed to a person that is enforceable by civil proceedings;
(c) a remedy or sanction enforceable by civil proceedings;
(d) an agreement or security relating to a supply of goods, services or digital content to be void or unenforceable to any extent;
(e) a right or remedy exercisable by a person supplying goods, services or digital content to be restricted or excluded;
(f) the avoidance (to any extent) of liability relating to the supply of goods, services or digital content to be restricted or prevented.
(3) It is immaterial for the purposes ofsubsection (2)whether or not—
(a) a duty, prohibition or restriction exists in relation to consumers as such;
(b) a remedy or sanction is provided for the benefit of consumers as such;
(c) proceedings have been brought in relation to the act or omission concerned;
(d) a person has been convicted of an offence in relation to the act or omission concerned.
(4) Regulations underthis sectionare subject to the affirmative procedure.
(1) The CMA may make rules about procedural and other matters in connection with the carrying out of its direct enforcement functions.
(2) Rules may provide for any of the CMA’s direct enforcement functions to be carried out on its behalf—
(a) by one or more members of the CMA Board (see Part 2 of Schedule 4 to the Enterprise and Regulatory Reform Act 2013);
(b) by one or more members of the CMA Panel (see Part 3 of Schedule 4 to that Act);
(c) by one or more members of staff of the CMA;
(d) jointly by one or more of the persons mentioned inparagraphs (a)to(c).
(3) Rules may (among other things) include provision as to the following matters so far as relating to the carrying out of direct enforcement functions—
(a) the form and manner in which a notice given by the CMA under a direct enforcement function is to be given (subject tosection 332);
(b) the person (or persons) to whom the notice is to be given;
(c) if the CMA is required to publish the notice, the manner in which it is to do so;
(d) arrangements to ensure the protection of confidential information;
(e) the disclosure of information to persons under investigation;
(f) the form and manner in which representations may or must be made to the CMA;
(g) the procedure to be followed in relation to the holding of oral hearings as part of an investigation;
(h) the procedure to be followed in cases where a person under investigation accepts that there has been a relevant infringement of a kind to which the investigation relates;
(i) arrangements for the making of, and dealing with, complaints.
(4) Inthis sectionandsection 211“ rules” means rules made underthis section.
(1) In preparing rules the CMA must consult such persons as the CMA considers appropriate.
(2) The CMA may not bring a rule into operation until the rule has been approved by regulations made by the Secretary of State.
(3) The Secretary of State may approve a rule—
(a) in the form in which it is submitted, or
(b) subject to whatever modifications the Secretary of State considers appropriate.
(4) Where the Secretary of State proposes to approve a rule subject to modifications, the Secretary of State must—
(a) inform the CMA of the proposed modifications, and
(b) take into account any comments made by the CMA about the proposed modifications.
(5) The Secretary of State may by regulations—
(a) vary or revoke rules, or
(b) direct the CMA to vary or revoke rules in accordance with the direction.
(6) Subsections (2)to(4)apply to any variation of rules made by the CMA, except where acting under a direction given undersubsection (5)(b).
(7) Regulations under this section are subject to the negative procedure.
(1) The CMA must prepare and publish guidance about its general approach to the carrying out of its direct enforcement functions.
(2) Guidance undersubsection (1)must provide information about the factors that the CMA will take into account in determining—
(a) whether it will exercise a power underChapter 4to accept, vary or release an undertaking;
(b) in cases where the exercise of any such power is exercisable only if the CMA considers a person has acted (or failed to act) without a reasonable excuse, whether a reasonable excuse exists;
(c) in a case where a monetary penalty has not been paid (or paid in full), whether to start proceedings for recovery of the penalty.
(3) Guidance undersubsection (1)may include information about any other matters in connection with the carrying out of direct enforcement functions, including the factors that the CMA will take into account in determining whether to give a notice to a person in the carrying out of those functions.
(4) The CMA—
(a) must keep the guidance under review, and
(b) may from time to time revise or replace the guidance.
(5) Before issuing the first guidance underthis sectionthe CMA must consult—
(a) the Secretary of State, and
(b) such other persons as the CMA considers appropriate.
(6) The CMA must—
(a) before publishing the first guidance under this section, obtain the approval of the Secretary of State in respect of the proposed guidance;
(b) before revising or replacing any guidance published under this section, inform the Secretary of State of the proposed revision or replacement.
For the purposes of the law relating to defamation, absolute privilege attaches to anything done by the CMA in exercise of its functions under this Part.
Schedule 18contains minor and consequential amendments relating to this Part.
Schedule 19contains transitional and saving provision relating to this Part.
(1) CRA 2015 is amended as set out in subsections (2) to (4).
(2) In section 93 (enforcement of secondary ticketing provisions in Chapter 5 of Part 3)—
(a) after subsection (2) insert—
“(2A) The Competition and Markets Authority may also enforce the provisions of this Chapter. ”;
(b) in subsection (3) for “and (2)” substitute “, (2) and (2A)”.
(3) In paragraph 11 of Schedule 5 (investigatory powers etc: enforcer’s legislation), in the table, at the appropriate place insert—
| “The Competition and Markets Authority | The Breaching of Limits on Ticket Sales Regulations 2018 ( S.I. 2018/735 ) ”. |
(4) In paragraph 6 of Schedule 10 (procedure for and appeals against financial penalties imposed under section 93: recovery)—
(a) in sub-paragraph (2) for “local weights and measures” substitute “enforcement”;
(b) in sub-paragraph (4) for “the Department of Enterprise, Trade and Investment” substitute “the enforcement authority which imposed the financial penalty”;
(c) in sub-paragraph (5)(a) after “Investment” insert “or by the Competition and Markets Authority”;
(d) after sub-paragraph (7) insert—
“(7A) The Competition and Markets Authority may use the proceeds of a financial penalty for the purposes of any of its functions (whether or not the function is expressed to be a function of the Authority). ”
(5) In the Breaching of Limits on Ticket Sales Regulations 2018 ( S.I. 2018/735), in regulation 5 (offences: prosecution and penalties), after paragraph (2) insert—
“(3) The Competition and Markets Authority may enforce these Regulations. ”
(1) This sectionprovides for how references to the supply of goods or digital content are to be read for the purposes ofthis Part.
(2) References to a person who supplies goods or digital content are to be read as including references to a person who seeks to supply goods or digital content (and references to a person who receives goods or digital content are to be read in a corresponding way).
(3) The supply of goods includes, in relation to buildings and other structures, construction of them by one person for another.
(4) References to a person supplying goods under—
(a) a hire-purchase agreement,
(b) a credit-sale agreement, or
(c) a conditional sale agreement,
are to be read as including references to a person who conducts any antecedent negotiations relating to the agreement.
(5) The following terms have the meanings given by section 189(1) of the Consumer Credit Act 1974—
“ antecedent negotiations”;
“ conditional sale agreement”;
“ credit sale agreement”;
“ hire-purchase agreement”.
(1) This sectionprovides for how references to the supply of services are to be read for the purposes ofthis Part.
(2) References to a person who supplies services are to be read as including references to a person who seeks to supply services (and references to a person who receives services are to be read in a corresponding way).
(3) The supply of services does not include the provision of services under a contract of service or of apprenticeship.
(4) It is immaterial whether the contract mentioned insubsection (3)—
(a) is express or implied, or
(b) if express, is oral or in writing.
(5) The supply of services includes—
(a) performing for gain or reward any activity other than the supply of goods or digital content;
(b) rendering services to order;
(c) the provision of services by making them available to potential users;
(d) making arrangements for sharing the use of electronic communications apparatus by means of a relevant agreement, within the meaning of paragraph 18 of Schedule 3A to the Communications Act 2003 (the electronic communications code);
(e) agreeing to the full or partial settlement of a consumer’s liabilities or purported liabilities in return for the consumer meeting a demand for payment.
(1) This sectionapplies for the purposes ofthis Part.
(2) A person (“ A”) is an accessory to a commercial practice of another person (“ B”) if—
(a) B is a body corporate,
(b) A has a special relationship with B,
(c) the commercial practice is one that B has engaged in or is engaging in, and
(d) the commercial practice takes place with the consent or connivance of A.
(1) This sectionapplies for the purposes ofthis Part.
(2) A person has a special relationship with a body corporate if the person is—
(a) a controller of the body corporate, or
(b) a director, manager, secretary or other similar officer of the body corporate or a person purporting to act in such a capacity.
(3) A person is a controller of a body corporate if—
(a) the directors of the body corporate, or of another body corporate which is its controller, are accustomed to act in accordance with the person’s directions or instructions, or
(b) either alone or with one or more associates, the person is entitled to exercise or control the exercise of one third or more of the voting power at any general meeting of the body corporate or of another body corporate which is its controller.
(4) A person (“ P”) is an associate of an individual if—
(a) P is the spouse or civil partner of the individual;
(b) P is a relative of the individual;
(c) P is a relative of the individual’s spouse or civil partner;
(d) P is the spouse or civil partner of a relative of the individual;
(e) P is a spouse or civil partner of a relative of the individual’s spouse or civil partner;
(f) P lives in the same household as the individual otherwise than merely because P, or the individual, is the other’s employer, tenant, lodger or boarder;
(g) P is the relative of a person who is an associate of the individual by virtue ofparagraph (f);
(h) P has at some time in the past fallen within any ofparagraphs (a)to(g);
(i) P is in partnership with the individual;
(j) the individual is an associate of an individual with whom P is in partnership.
(5) A person (“ P”) is an associate of a body corporate if—
(a) P is a controller of the body corporate, or
(b) P is an associate of a person who is a controller of the body corporate.
(6) A body corporate is an associate of another body corporate if—
(a) the same person is a controller of both;
(b) a person (“ P”) is a controller of one and persons who are P’s associates are controllers of the other;
(c) a person (“ P”) is a controller of one and P and persons who are P’s associates are controllers of the other;
(d) a group of two or more persons is a controller of each company and the groups consist of the same persons;
(e) a group of two or more persons is a controller of each company and the groups may be regarded as consisting of the same persons by treating (in one or more cases) a member of either group as replaced by a person of whom that person is an associate.
(7) Inthis section“ relative” means a brother, sister, uncle, aunt, nephew, niece, lineal ancestor or lineal descendant.
(1) References inthis Partto “enhanced consumer measures” are references to—
(a) redress measures (seesubsection (2)),
(b) compliance measures (seesubsection (3)), or
(c) choice measures (seesubsection (4)).
(2) Redress measures are—
(a) measures offering compensation or other redress to affected consumers;
(b) in cases where the commercial practice constituting a relevant infringement relates to a contract, measures enabling affected consumers the option to terminate (but not vary) the contract;
(c) in cases where the affected consumers cannot be identified, or cannot be identified without disproportionate cost to the person giving the undertaking in question or against whom the order in question is made, measures intended to be in the collective interests of consumers.
(3) Compliance measures are measures intended to prevent, or reduce the risk of the occurrence or repetition of, the infringing conduct (which may include measures imposed for the purpose of improving compliance with consumer law more generally).
(4) Choice measures are measures intended to enable consumers to choose more effectively between persons supplying goods, services or digital content.
(5) Inthis section—
(a) references to affected consumers are references to consumers who have suffered loss as a result of the infringing conduct or who have otherwise been affected in any other way by the conduct;
(b) references to the “ infringing conduct” are to the conduct that has given rise to the enforcement order or undertaking concerned.
Inthis Part—
“ business” includes—
a trade, craft or profession,
any other undertaking carried on for gain or reward, and
the activities of any government department or local or public authority;
“ enforcement order” means an order made undersection 156;
“ enforcer” means a public designated enforcer or a private designated enforcer;
“ goods” includes—
immoveable property, and
rights and obligations;
“ interim enforcement order” means an order made undersection 159;
“ interim online interface order” means an order made undersection 162;
“ online interface order” means an order made undersection 161;
“ subsidiary” has the meaning given by section 1159 of the Companies Act 2006;
“ supply” includes supply by means of sale, lease, hire or hire purchase.
Inthis Part, the expressions listed in the left-hand column have the meaning given by, or are to be interpreted in accordance with, the provisions listed in the right-hand column.
| Expression | Provision |
|---|---|
| Accessory | Section 219 |
| Appropriate court | Section173 |
| Business | Section 222 |
| Commercial practice | Section148(2) |
| Consumer | Section148(2) |
| Consumer protection order | Section166(2) |
| Digital content | Section330 |
| Direct enforcement function | Section 197(5) |
| Enactment | Section330 |
| Enforcement direction | Section 191(6) |
| Enforcement order | Section 222 |
| Enforcer | Section 222 |
| Enhanced consumer measures | Section 221 |
| Final breach of directions enforcement notice | Section 192(2) |
| Final breach of undertakings enforcement notice | Section 189(2) |
| Final false information enforcement notice | Section 198(2) |
| Final infringement notice | Section 182(2) |
| Goods | Section 222 |
| Interim enforcement order | Section 222 |
| Interim online interface order | Section 222 |
| Online interface notice | Section 184(2) |
| Online interface order | Section 222 |
| Private designated enforcer | Section 151(2) |
| Provisional breach of directions enforcement notice | Section 191(2) |
| Provisional breach of undertakings enforcement notice | Section 188(2) |
| Provisional false information enforcement notice | Section 197(2) |
| Provisional infringement notice | Section 181(3) |
| Public designated enforcer | Section151(1) |
| Relevant infringement | Section148 |
| Special relationship | Section 220 |
| Subsidiary | Section 222 |
| Supply of goods | Section 217 |
| Supply of services | Section 218 |
| Trader | Section148(2) |
| Turnover | Section 204 |
| United Kingdom national | Section 330 |
(1) This Chapter confers protections on consumers from unfair commercial practices.
(2) Section225sets out what are unfair commercial practices and prohibits the use and promotion of them.
(3) Sections226to230provide more detail about commercial practices which are unfair because they are misleading, aggressive or omit material information, or because they contravene the requirements of professional diligence.
(4) Section231requires, or confers power on, specified public bodies to enforce the prohibitions in section225.
(5) Sections232to235confer rights on consumers in relation to unfair commercial practices and make related provision.
(6) Section236sets out what happens when a trader supplies a product to a consumer that the consumer has not requested.
(7) Sections237to241create criminal offences in relation to unfair commercial practices and make related provision.
(8) Sections242to252contain miscellaneous and interpretative provisions in relation to this Chapter.
(1) Unfair commercial practices are prohibited.
(2) The promotion of unfair commercial practices in, or in connection with, a code of conduct by—
(a) a person responsible for the content of a code of conduct, or
(b) a person responsible for monitoring compliance with a code of conduct,
is prohibited.
(3) In this Chapter—
“ commercial practice” means an act or omission by a trader relating to the promotion or supply of—
the trader’s product to a consumer,
another trader’s product to a consumer, or
a consumer’s product to the trader or another person;
“ consumer” means an individual acting for purposes that are wholly or mainly outside the individual’s business;
“ trader” means—
a person (“ P”) acting for purposes relating to P’s business, or
a person acting in the name of, or on behalf of, P for purposes relating to P’s business.
(4) A commercial practice is unfair if—
(a) it is likely to cause the average consumer to take a transactional decision that the consumer would not have taken otherwise as a result of the practice involving one or more of the following—
(i) a misleading action (see section226);
(ii) a misleading omission (see section227);
(iii) an aggressive practice (see section228);
(iv) a contravention of the requirements of professional diligence (see section229),
(b) it omits material information from an invitation to purchase (see section230), or
(c) it is listed inSchedule 20(commercial practices which are in all circumstances considered unfair).
(5) It is immaterial for the purposes of the definition of “commercial practice” in subsection(3)whether the act or omission takes place—
(a) at the time of the promotion or supply in question, or
(b) before or after that time.
(6) It is immaterial for the purposes of the definition of “trader” in subsection(3)—
(a) in relation to paragraph (a) of that definition, whether P is acting personally or through another person acting in P’s name or on P’s behalf;
(b) in relation to paragraph (b) of that definition, whether or not the purposes relating to P’s business are the only or main purposes for which the person is acting.
(1) For the purposes of this Chapter, a commercial practice involves a misleading action if the practice involves—
(a) the provision of false or misleading information relating to a product, a trader or any other matter relevant to a transactional decision,
(b) an overall presentation which is likely to deceive the average consumer about a matter relating to a product, a trader or any other matter relevant to a transactional decision,
(c) any marketing of a product which creates confusion, or is likely to create confusion, with any product, trade mark, trade name or other distinguishing mark of another trader, or
(d) a failure to comply with a requirement in a code of conduct to which subsection(5)applies in circumstances where the trader asserts that the trader acts in compliance with that code.
(2) In subsection(1)(a), the reference to misleading information includes a reference to information which, although true, is presented in a misleading way.
(3) For the purposes of subsection(1)(b), an overall presentation may be deceiving even if the information it contains is true.
(4) In subsection(1)(c), the reference to another trader is a reference to a trader other than the trader supplying the product that is being marketed.
(5) This subsection applies to a requirement in a code of conduct if—
(a) there is no discretion afforded to the trader in relation to the requirement, and
(b) compliance with the requirement is capable of being verified.
(1) For the purposes of this Chapter, a commercial practice involves a misleading omission if, considering the matters mentioned in subsection(3), the practice—
(a) omits material information,
(b) omits information which the trader is required under any other enactment to give to a consumer as part of the practice, or
(c) fails to identify its commercial intent (unless it is already apparent from the context).
(2) In subsection(1)(a), “ material information” means information that the average consumer needs to take an informed transactional decision.
(3) The matters referred to in subsection(1)are—
(a) any limitations resulting from the means of communication used in the commercial practice (including limitations of space or time), and
(b) any steps taken by the trader to overcome those limitations by providing information by other means.
(4) In this section, references to omitting information include providing information—
(a) in a way that is unclear or untimely, or
(b) in such a way that the consumer is unlikely to see it.
(1) For the purposes of this Chapter, a commercial practice involves an aggressive practice if it uses harassment, coercion or undue influence.
(2) In determining whether a commercial practice uses harassment, coercion or undue influence, account must be taken of—
(a) the nature of the practice;
(b) the timing and location of the practice;
(c) whether the practice involves the use of any threatening or abusive language or behaviour;
(d) whether the practice exploits any vulnerability of a consumer (including any vulnerability of a kind mentioned insection 247(4));
(e) whether the practice involves a threat to take action which cannot legally be taken;
(f) whether the practice requires a consumer to take onerous or disproportionate action in order to exercise rights that the consumer has in relation to a product.
(3) In this section—
(a) “ coercion” includes the use or threat of physical force;
(b) “ undue influence” means exploiting a position of power in relation to a consumer so as to apply pressure in a way which significantly limits the consumer’s ability to make an informed decision.
For the purposes of this Chapter, a commercial practice involves a contravention of the requirements of professional diligence if the practice falls short of the standard of skill and care which a trader may reasonably be expected to exercise towards consumers which is commensurate with either—
(a) honest market practice in the trader’s field of activity, or
(b) the general principle of good faith in the trader’s field of activity.
(1) For the purposes of this Chapter, a commercial practice which is an invitation to purchase omits material information if, considering the matters mentioned in subsection(8), it omits any of the information which is—
(a) set out in subsection(2), and
(b) not already apparent from the context.
(2) The information referred to in subsection(1)is—
(a) the main characteristics of the product (to the extent appropriate considering the means used to communicate the invitation to purchase and the nature of the product);
(b) the total price of the product (so far as paragraph(c)does not apply);
(c) if, owing to the nature of the product, the whole or any part of the total price cannot reasonably be calculated in advance, how the price (or that part of it) will be calculated;
(d) the identity of the trader and the identity of any other person on whose behalf the trader is acting;
(e) the business address and, if different, the service address of the trader and any business email address of the trader;
(f) in relation to any other person on whose behalf the trader is acting—
(i) the person’s business address and business email address (if the person has such addresses), and
(ii) if different to the person’s business address, the person’s service address;
(g) any freight, delivery or postal charges, including any taxes, not included in the total price of the product but which the consumer may choose to incur (or where those additional charges or taxes cannot reasonably be calculated in advance, the fact that they may be payable);
(h) for products involving a right of withdrawal or cancellation, the existence of such a right;
(i) to the extent that the trader’s practice in relation to any of the arrangements mentioned in subsection(3)departs from the trader’s published practice in relation to those arrangements, the practice which the trader is currently operating;
(j) any information which the trader is required under any other enactment to give to a consumer as part of an invitation to purchase.
(3) The arrangements referred to in subsection(2)(i)are—
(a) the arrangements for payment;
(b) the arrangements for delivery of the product;
(c) the arrangements for performance;
(d) the arrangements for handling complaints.
(4) For the purposes of subsection(2)(b)the total price of a product includes any fees, taxes, charges or other payments that the consumer will necessarily incur if the consumer purchases the product.
(5) For the purposes of subsection(2)(c)(and subject to the matters mentioned in subsection(8)) the information given must—
(a) be such that it enables the consumer to calculate the total price, and
(b) be set out with as much prominence as any information that is set out in compliance withsubsection (2)(b).
(6) For the purposes ofsubsection (2)(d)“ identity”, in relation to a trader, means—
(a) the name of the trader, and
(b) if different, the name under which the trader trades.
(7) For the purposes ofsubsection (2)(e)—
“ business address”, in relation to a person, means—
where the person is a body corporate, the address of its registered or principal office,
where the person is a firm that is not a body corporate, the address of the principal office of the firm, or
in a case where neither paragraph (a) or (b) applies, the address of the person’s principal place of business;
“ business email address”, in relation to a person, means any email address used by the person for conducting business;
“ service address”, in relation to a person, means the address at which the person will accept service of documents.
(8) The matters referred to in subsection(1)are—
(a) any limitations resulting from the means of communication used in the commercial practice (including limitations of space or time), and
(b) any steps taken by the trader to overcome those limitations by providing information by other means.
(9) In this section, references to omitting information include providing information—
(a) in a way that is unclear or untimely, or
(b) in such a way that the consumer is unlikely to see it.
(10) In this Chapter, “ invitation to purchase” means a commercial practice involving the provision of information to a consumer—
(a) which indicates the characteristics of a product and its price, and
(b) which enables, or purports to enable, the consumer to decide whether to purchase the product or take another transactional decision in relation to the product.
(1) It is the duty of every local weights and measures authority in Great Britain to enforce in its area the prohibitions in section225.
(2) It is the duty of the Department for the Economy in Northern Ireland to enforce the prohibitions in section225in Northern Ireland.
(3) The CMA may also enforce the provisions of this Chapter.
(4) In exercising functions under this section, every local weights and measures authority in Great Britain, the Department for the Economy in Northern Ireland and the CMA must have regard to the desirability of encouraging control of unfair commercial practices by such established means as it considers appropriate having regard to all the circumstances of the particular case.
(5) Nothing in this section authorises a local weights and measures authority in Great Britain to bring proceedings in Scotland for an offence.
(1) A consumer has rights of redress under this Chapter if each of the following four conditions is met.
(2) The first condition is that—
(a) the consumer enters into a contract with a trader under which the trader supplies a product to the consumer (a “business-to-consumer contract”),
(b) the consumer enters into a contract with a trader under which—
(i) the consumer supplies a product to the trader, and
(ii) the trader does not supply a product to the consumer (a “consumer-to-business contract”), or
(c) the consumer makes a payment to the trader for the supply of a product (a “consumer payment”).
(3) The second condition is that—
(a) the trader engages in a prohibited practice in relation to the product, or
(b) in a case where a consumer enters into a business-to-consumer contract for goods or digital content—
(i) a producer engages in a prohibited practice in relation to the goods or digital content, and
(ii) when the contract is entered into, the trader is aware of the commercial practice that constitutes the prohibited practice or could reasonably be expected to be aware of it.
(4) The third condition is that the prohibited practice is a significant factor in the consumer’s decision—
(a) to enter into the contract mentioned in subsection(2)(a)or (b), or
(b) to make the payment mentioned in subsection(2)(c).
(5) The fourth condition is that the product concerned is not a product excluded from the application of rights of redress by regulations under section233.
(6) In subsection(3), “ producer” means—
(a) a manufacturer of the goods or digital content,
(b) an importer of the goods or digital content into the United Kingdom, or
(c) a person purporting to be such a manufacturer or importer by placing the person’s name, trade mark or other distinctive sign on the goods or by using it in connection with the digital content,
and includes a producer acting personally or through another person acting in the producer’s name or on the producer’s behalf.
(7) In this Chapter, “ prohibited practice” means an unfair commercial practice involving—
(a) a misleading action, or
(b) an aggressive practice.
(8) For the purposes ofsubsection (7), section225(4)(a)applies as if the reference to a transactional decision were a reference to any decision taken by a consumer to—
(a) enter into a business-to-consumer contract,
(b) enter into a consumer-to-business contract, or
(c) make a consumer payment.
(1) The Secretary of State may by regulations provide for any of the following descriptions of rights to be exercisable by a consumer who has rights of redress under this Chapter—
(a) a right to unwind in respect of a relevant contract or consumer payment;
(b) a right to a discount in respect of a supply of a product under a relevant contract;
(c) a right to damages in respect of financial loss, distress or physical inconvenience or discomfort.
(2) Regulations under this section may include provision—
(a) about how a right is to be exercised by the consumer;
(b) for an amount of discount mentioned in subsection(1)(b)to be determined in accordance with the regulations;
(c) about the circumstances in which damages mentioned insubsection (1)(c)are or are not payable;
(d) imposing conditions or restrictions on the exercise of a right;
(e) about the consequences of the exercise of a right;
(f) excluding products of a description specified in the regulations from the application of the rights of redress available under this Chapter.
(3) Provision undersubsection (2)(e)about the consequences of the exercise of a right may (among other things)—
(a) provide for the termination of a relevant contract;
(b) require the trader to make a refund of an amount determined in accordance with the regulations;
(c) require goods supplied under a relevant contract to be returned or for payment to be made in respect of such goods.
(4) In this section, “ relevant contract” means—
(a) a business-to-consumer contract;
(b) a consumer-to-business contract.
(5) Regulations under this section are subject to the affirmative procedure.
(1) A consumer with a right to unwind, a right to a discount or a right to damages by virtue of regulations under section233may bring a claim in civil proceedings to enforce that right.
(2) In Scotland, proceedings to enforce a right to unwind may be brought before the Sheriff or the Court of Session.
(3) If in proceedings under this section the consumer establishes that the consumer has one of the rights mentioned in subsection(1), the court must make an order that gives effect to—
(a) that right, and
(b) any associated obligations of the consumer imposed by regulations under section233.
(4) The Limitation Act 1980 applies to a claim under this section in England and Wales as if it were an action founded on simple contract.
(5) The Limitation (Northern Ireland) Order 1989 ( S.I. 1989/1339 (N.I. 11))applies to a claim under this section in Northern Ireland as if it were an action founded on simple contract.
(1) Nothing in this Chapter affects the ability of a consumer to make a claim under a rule of law or equity, or under an enactment, in respect of conduct constituting a prohibited practice.
(2) But a consumer may not—
(a) make a claim to be compensated under a rule of law or equity, or under an enactment, in respect of such conduct if the consumer has been compensated in respect of the conduct by virtue of regulations under section233, or
(b) make a claim to be compensated under this Chapter in respect of such conduct if the consumer has been compensated under a rule of law or equity, or under an enactment, in respect of the conduct.
(1) This section applies where a trader engages in the unfair commercial practice described at paragraph31ofSchedule 20.
(2) The consumer is exempted from any obligation to pay for (or provide any other consideration for) the products supplied by the trader.
(3) In the case of a supply of goods that has not been requested, the consumer may, as between the consumer and the trader, use, deal with or dispose of the goods as if they were an unconditional gift to the consumer.
(4) The absence of a response from a consumer following the supply of the product does not constitute consent from the consumer to comply with the trader’s demand for the consumer to—
(a) pay for the product;
(b) return the product;
(c) safely store the product.
(1) A trader commits an offence if, in breach of section225(1), the trader engages in an unfair commercial practice which involves a misleading action within section226(1)(a),(b)or(c)(see section225(4)(a)(i)).
(2) A trader commits an offence if, in breach of section225(1), the trader engages in an unfair commercial practice which involves a misleading omission (see section225(4)(a)(ii)).
(3) A trader commits an offence if, in breach of section225(1), the trader engages in an unfair commercial practice which involves an aggressive practice (see section225(4)(a)(iii)).
(4) A trader commits an offence if, in breach of section225(1)—
(a) the trader engages in an unfair commercial practice which involves a contravention of the requirements of professional diligence (see section225(4)(a)(iv)), and
(b) the trader knows, or is reckless as to whether, the commercial practice involves a contravention of the requirements of professional diligence.
(5) For the purposes of subsection(4)a trader who fails to have regard to whether a commercial practice involves a contravention of the requirements of professional diligence is to be treated as being reckless as to whether it does (regardless of whether the trader has reason to believe that it might).
(6) A trader commits an offence if, in breach of section225(1), the trader engages in an unfair commercial practice by omitting material information from an invitation to purchase (see section225(4)(b)).
(7) A trader commits an offence if, in breach of section225(1), the trader engages in a commercial practice which is unfair by virtue of it being of a description listed inSchedule 20(see section225(4)(c)) other than an excluded description.
(8) The following are excluded descriptions for the purposes of subsection(7)—
(a) the description of practice mentioned in paragraph12ofSchedule 20;
(b) the descriptions of practices mentioned inparagraph 13of that Schedule;
(c) the description of practice mentioned in paragraph30of that Schedule.
(1) It is a defence for a person (“ the defendant”) charged with an offence under subsection(1),(2),(3),(6)or(7)of section237to prove—
(a) that the commission of the offence was due to—
(i) the act or omission of another person,
(ii) reliance on information given by another person,
(iii) a mistake or accident, or
(iv) another cause beyond the defendant’s control, and
(b) that the defendant took all reasonable precautions and exercised all due diligence to avoid the commission of such an offence by the defendant or any other person under the defendant’s control.
(2) Subsection(3)applies in a case where a person (“ the defendant”) has been charged with an offence under subsection (1), (2), (3), (6) or (7) of section237alleged to have been committed by the publication of an advertisement.
(3) It is a defence for the defendant to prove that—
(a) the defendant’s business is to publish or arrange for the publication of advertisements,
(b) the defendant received the advertisement for publication in the ordinary course of business, and
(c) the defendant did not know and had no reason to suspect that its publication would amount to the offence with which the defendant is charged.
(4) A defendant is not entitled to rely on the defence provided by subsection(1)by reason of the matters referred to inparagraph (a)(i)or(a)(ii)of that subsection without the permission of the court unless—
(a) the defendant has served on the prosecutor a notice in writing giving such information as was then in the defendant’s possession identifying, or assisting in the identification of, the other person, and
(b) the notice is served on the prosecutor at least seven clear days before the hearing of the proceedings or, in Scotland, at least seven clear days before the trial diet.
(5) In subsection(3), “advertisement”—
(a) means anything published (in any form) for the purpose of promoting a product to the public or a section of the public, and
(b) includes a catalogue, a circular and a price list.
(1) Subsections(2)and(3)apply where a trader—
(a) commits an offence under subsection (1), (2), (3), (6) or (7) of section237, or
(b) would have committed an offence under that subsection but for a defence under section238,
and the commission of the offence, or of what would have been the offence, is due to the act or omission of another person “P”.
(2) P commits the offence (whether or not P is a trader and whether or not P’s act or omission is a commercial practice).
(3) P may be charged with and convicted of the offence by virtue of subsection(2)whether or not proceedings are taken against the trader.
(4) In other provisions of this Chapter (including the rest of this section), references to an offence under subsection (1), (2), (3), (6) or (7) of section237include references to an offence under that subsection by virtue of subsection(2).
(5) If an offence under section237committed by a body corporate is proved—
(a) to have been committed with the consent or connivance of an officer of the body, or
(b) to be attributable to any neglect on the part of an officer,
the officer as well as the body corporate is guilty of the offence and liable to be proceeded against and punished accordingly.
(6) If the affairs of a body corporate are managed by its members, subsection(5)applies in relation to the acts and defaults of a member in connection with the member’s functions of management as if the member were an officer of the body corporate.
(7) If an offence under section237committed by a Scottish partnership is proved—
(a) to have been committed with the consent or connivance of a partner, or
(b) to be attributable to any neglect on the part of a partner,
the partner as well as the partnership is guilty of the offence and liable to be proceeded against and punished accordingly.
(8) In other provisions of this Chapter, references to an offence under section237include references to an offence under that section by virtue of subsection(5)or(7).
(9) In subsection(5)a reference to an officer of a body corporate includes a reference to—
(a) a director, manager, secretary or other similar officer, or
(b) a person purporting to act as a director, manager, secretary or other similar officer.
(10) In subsection(7), a reference to a partner includes a person purporting to act as a partner.
A person guilty of an offence under section237is liable—
(a) on summary conviction in England and Wales, to a fine;
(b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum;
(c) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine (or both).
(1) No proceedings for an offence under section237may be commenced after the earlier of—
(a) the end of the period of 3 years beginning with the date of the commission of the offence, or
(b) the end of the period of 1 year beginning with the date of discovery of the offence by the prosecutor.
(2) For the purposes of subsection(1)(b)—
(a) a certificate signed by or on behalf of the prosecutor and stating the date on which the prosecutor discovered the offence is conclusive evidence of that fact, and
(b) a certificate stating that matter and purporting to be so signed is to be treated as so signed unless the contrary is proved.
(1) The Secretary of State may by regulations amendSchedule 20(commercial practices which are in all circumstances considered unfair) so as to—
(a) add a description of a commercial practice;
(b) remove a description of a commercial practice;
(c) amend a description of a commercial practice.
(2) If regulations under subsection(1)amendSchedule 20so as to add a description of a commercial practice, the regulations must also amend section237(8)so as to make that practice an excluded description of practice.
(3) The Secretary of State may by regulations amend section232(7)(rights of redress: prohibited practices) so as to—
(a) add further commercial practices that are unfair under this Chapter to the list of prohibited practices;
(b) remove from the list of prohibited practices any commercial practices that have been added by regulations.
(4) The Secretary of State may by regulations amend section230(2)(material information in respect of an invitation to purchase) so as to—
(a) add descriptions of information;
(b) modify descriptions of information;
(c) remove descriptions of information added by regulations under this subsection.
(5) Before making regulations under this section, the Secretary of State must consult such persons as the Secretary of State considers appropriate.
(6) Regulations under this section are subject to the affirmative procedure.
(1) Subject to subsection(2), this Chapter binds the Crown.
(2) The Crown is not criminally liable as a result of anything in this Chapter.
(3) Subsection(2)does not affect the application of any provision of this Chapter in relation to persons in the public service of the Crown.
Except as resulting from a consumer’s rights of redress under this Chapter, a contract or any other agreement is not void or unenforceable by reason only of a breach of the prohibition in section225(1)or(2)(prohibition of unfair commercial practices or the promotion of unfair commercial practices).
In this Chapter, “ transactional decision” means any decision made by a consumer relating to—
(a) the purchase or supply of a product (including whether, how or on what terms to make the purchase or supply);
(b) the retention, disposal or withdrawal of a product (including whether, how or on what terms to retain or dispose of it);
(c) the exercise of contractual rights in relation to a product (including whether, how or on what terms to exercise such rights).
(1) This section provides for how references to the average consumer are to be read for the purposes of this Chapter.
(2) The average consumer is—
(a) reasonably well informed,
(b) reasonably observant, and
(c) reasonably circumspect.
(3) The average consumer is to be treated as not knowing information in relation to a commercial practice where such information has been concealed by the trader (even if the average consumer might know the information from another source).
(4) Where a commercial practice is directed at a particular group, the average consumer is an average member of that group (and the attributes of the average consumer in subsection(2)are to be read accordingly).
(5) This section is subject tosection 247.
(1) Subsection(2)applies where a group of consumers is particularly vulnerable to a commercial practice in a way that the trader could reasonably be expected to foresee.
(2) References in this Chapter to the average consumer, so far as relating to cases to which this subsection applies, are to be read as references to an average member of the group mentioned in subsection(1)(and the attributes of the average consumer insection 246(2)are to be read accordingly).
(3) For the purposes of subsection(1), the reference to a group of consumers being particularly vulnerable to a commercial practice—
(a) is a reference to the members of the group being particularly vulnerable to the commercial practice causing them to take a transactional decision that they would not have taken otherwise, and
(b) includes a reference to a group of consumers being vulnerable to a practice because of the product to which it relates.
(4) For the purposes of subsection(1), a group of consumers may be vulnerable as a result of (among other things)—
(a) their age;
(b) their physical or mental health;
(c) their credulity;
(d) the circumstances they are in.
(1) In this Chapter, “ product” means—
(a) goods;
(b) a service;
(c) digital content.
(2) For the purposes of this Chapter, a trader agreeing to the full or partial settlement of a consumer’s liabilities or purported liabilities in return for the consumer meeting a demand for payment is supplying a service.
In this Chapter—
“ business” includes—
a trade, craft or profession,
any other undertaking carried on for gain or reward, and
the activities of any government department or local or public authority;
“ code of conduct” means an agreement or set of rules which defines the behaviour of traders who choose to be bound by it;
“ goods” includes—
immoveable property, and
rights and obligations,
but includes water, gas and electricity only if they are put up for sale in a limited volume or set quantity;
“ supply”, in relation to a product, includes supply by means of sale, lease, hire or hire purchase.
In this Chapter, the expressions listed in the left-hand column have the meaning given by, or are to be interpreted in accordance with, the provisions listed in the right-hand column.
| Expression | Provision |
|---|---|
| Aggressive practice | Section228 |
| Average consumer | Sections246and247 |
| Business | Section249 |
| Business-to-consumer contract | Section232(2)(a) |
| Code of conduct | Section249 |
| Commercial practice | Section225(3) |
| Consumer | Section225(3) |
| Consumer payment | Section232(2)(c) |
| Consumer-to-business contract | Section232(2)(b) |
| Contravention of the requirements of professional diligence | Section229 |
| Enactment | Section330 |
| Goods | Section249 |
| Invitation to purchase | Section230(10) |
| Misleading action | Section226 |
| Misleading omission | Section227 |
| Product | Section248 |
| Prohibited practice | Section232(7) |
| Supply | Section249 |
| Trader | Section225(3) |
| Transactional decision | Section245 |
| Unfair commercial practice | Section225(4) |
(1) The Consumer Protection from Unfair Trading Regulations 2008 ( S.I. 2008/1277) are revoked.
(2) Schedule 21contains further consequential amendments relating to this Chapter.
(1) This Chapter applies only in relation to an act or omission which takes place on or after the commencement date.
(2) The CPUTR 2008 continue to have effect in relation to any act or omission which takes place before the commencement date.
(3) In this section—
“ the commencement date” means—
for the purposes of the saving by subsection(2)of Part 4A of the CPUTR 2008 (and other provisions of those Regulations so far as relating to that Part), the date on which the first regulations made under section233come into force;
for all other purposes, the date on which section225comes into force;
“ CPUTR 2008” means the Consumer Protection from Unfair Trading Regulations 2008 ( S.I. 2008/1277).
(1) This Chapter—
(a) imposes duties on traders in relation to subscription contracts,
(b) provides rights for consumers if those duties are breached, and
(c) provides rights for consumers to cancel subscription contracts during cooling-off periods.
(2) Sections254and255set out what is a “ subscription contract” for the purposes of this Chapter.
(3) Sections256to261impose duties on traders in relation to subscription contracts.
(4) Sections262and263provide rights for consumers to cancel subscription contracts if traders breach those duties.
(5) Sections264to266provide rights for consumers to cancel subscription contracts during cooling-off periods.
(6) Section267confers powers to make further provision about the cancellation of subscription contracts under this Chapter.
(7) Sections268to271make provision for the offence of failing to provide information about cooling-off rights.
(8) Sections272to281contain miscellaneous provisions in relation to this Chapter.
(1) For the purposes of this Chapter, a subscription contract is a contract between a trader and a consumer—
(a) for the supply of goods, services or digital content by the trader to the consumer in exchange for payment by the consumer,
(b) to which either or both of subsections(2)and(3)apply, and
(c) which is not an excluded contract (see section255).
(2) This subsection applies to a contract if it contains terms which have the effect of providing—
(a) for an automatically recurring, or continuing, supply of goods, services or digital content to the consumer for an indefinite period or a fixed period,
(b) for the consumer to automatically incur liability for each supply, or recurring liabilities for the continuing supply, and
(c) a right for the consumer to bring the contract to an end.
(3) This subsection applies to a contract if it contains terms which have the effect of providing—
(a) for a supply of goods, services or digital content to a consumer free of charge, or at a rate specified in the contract (the “original rate”), for a period specified in the contract,
(b) for the consumer to become automatically liable for payments, or payments at a rate higher than the original rate, for supplies after that period (including where the trader has an option to impose a charge or a higher charge after the end of the period), and
(c) a right for the consumer to bring the contract to an end before such liability is incurred.
(4) In this Chapter, references to a consumer’s right to bring a subscription contract to an end are references to a right provided under the contract which—
(a) in the case of a contract for a fixed period, may be exercised to bring the contract to an end before the end of the fixed period;
(b) in any case, may be exercised without the consumer incurring any penalty which is more than nominal,
and include references to a right that is expressed in terms of a right to stop a subscription contract from automatically renewing or continuing or any other similar expression.
(1) A contract is an excluded contract for the purposes of this Chapter if, and to the extent that, it is of a description set out inSchedule 22.
(2) The Secretary of State may by regulations amendSchedule 22so as to add, remove or modify a description of a contract.
(3) The power under subsection(2)includes power to provide for a contract to be an excluded contract—
(a) generally for the purposes of this Chapter, or
(b) only for such purposes of this Chapter as are specified.
(4) Regulations under subsection(2)are subject to the affirmative procedure.
(5) Seesection 275(4)to(8)for how this Chapter applies in relation to a contract that—
(a) was an excluded contract at the time it was entered into, and
(b) on subsequently ceasing to be an excluded contract, becomes a subscription contract.
(1) Before a trader enters into a subscription contract with a consumer, the trader must—
(a) give to the consumer the information set out inPart 1ofSchedule 23(“key pre-contract information”), and
(b) give, or make available, to the consumer the information set out inPart 2ofSchedule 23(“full pre-contract information”).
(2) The duty imposed by subsection(1)must be carried out—
(a) as close in time to entering into the contract as is practicable,
(b) in accordance with subsections(3)and(4), and
(c) in accordance with any other requirements specified in regulations under section277(1)(a).
(3) Key pre-contract information must be given under subsection(1)(a)in accordance with the following requirements—
(a) it must all be given together;
(b) it must be given separately from the full pre-contract information and any other information;
(c) in relation to a contract entered into in person, it must be given in writing and on a durable medium;
(d) in relation to a contract entered into online and remotely (but not orally), it must be given in writing and in such a way that the consumer is not required to take any steps to read the information, other than the steps the consumer must take to enter into the contract;
(e) in relation to a contract entered into orally and remotely, it must be given orally.
(4) Full pre-contract information must be given, or made available, under subsection(1)(b)in accordance with the following requirements—
(a) it must all be given, or made available, together;
(b) in relation to a contract entered into in person, it must be given in writing and on a durable medium.
(5) The duty under subsection(1)(b)to give, or make available, full pre-contract information applies in relation to the information set out in paragraphs14to28ofSchedule 23only to the extent that the information is applicable to the contract and not already apparent from the context.
(6) For the purposes of this section, information is made available to a consumer only if the consumer can reasonably be expected to—
(a) know how to access it, and
(b) be able to access it;
(7) For the purposes of this Chapter—
(a) references to a contract being entered into in person are references to it being entered into in the simultaneous physical presence of the trader and the consumer;
(b) references to a contract being entered into remotely are references to it being entered into without the simultaneous physical presence of the trader and the consumer.
(8) The Secretary of State may by regulations amend Parts1and2ofSchedule 23so as to add, modify or remove descriptions of information.
(9) Regulations under subsection(8)are subject to the affirmative procedure.
(1) Subsections(2)and(3)apply in relation to a subscription contract entered into online.
(2) The trader must ensure that the final step which the consumer is required to take to enter into the contract involves the consumer expressly acknowledging that the contract imposes an obligation on the consumer to make payments to the trader.
(3) The trader must ensure that the information mentioned in subsection(4)is given to a consumer—
(a) in writing and in such a way that the consumer is not required to take any steps to read the information, other than the steps the consumer must take to enter into the contract, and
(b) in accordance with any other requirement specified in regulations under section277(1)(a).
(4) The information referred to in subsection(3)is—
(a) whether there are any restrictions on the delivery of the product to be supplied under the contract, and
(b) which means of payment are accepted in relation to the product.
(5) If the trader does not comply with subsection(2), the consumer is not bound by the subscription contract.
(6) Subsection(7)applies in relation to a subscription contract entered into orally and remotely.
(7) If a trader contacts the consumer, the trader must, from the outset, disclose—
(a) the trader’s identity,
(b) where applicable, the identity of the person on whose behalf the trader is making contact, and
(c) the commercial purpose of making contact with the consumer.
(8) In cases where—
(a) the contract has been entered into in person, and
(b) the consumer has signed the contract,
the trader must give to the consumer a copy of the signed contract immediately after the consumer has signed the contract.
(9) In cases where full pre-contract information has not been given under section256(1)(b)in writing on a durable medium before the contract is entered into, the trader must give the consumer that information in writing on a durable medium as soon as reasonably practicable after the contract has been entered into and—
(a) where goods are to be supplied under the contract, before the supply of any goods;
(b) where services are to be supplied under the contract, before the supply of any service.
(1) Where a trader enters into a subscription contract with a consumer that does not include a concessionary period, the trader must give to the consumer a notice (referred to in this Chapter as a “reminder notice”) in respect of each renewal payment that relates to the end of a relevant six-month period.
(2) A “ relevant six-month period” for the purposes of subsection(1)is—
(a) the period of 6 months beginning with the day after the day on which the contract was entered into, and
(b) each subsequent period of 6 months beginning with the day after the day on which the consumer last became liable for a renewal payment in respect of which a reminder notice was required under subsection(1).
(3) Where a trader enters into a subscription contract with a consumer that includes a concessionary period, the trader must give to the consumer a reminder notice in respect of—
(a) the first renewal payment for which the consumer will become liable under the contract, and
(b) each subsequent renewal payment that relates to the end of a relevant six-month period.
(4) A “ relevant six-month period” for the purposes of subsection(3)is each period of 6 months beginning with the day after the day on which the consumer last became liable for a renewal payment in respect of which a reminder notice was required under subsection(3).
(5) A renewal payment “relates” to the end of a relevant six-month period for the purposes of subsections(1)and(3)if—
(a) it is the last (or only) renewal payment for which the consumer becomes liable during that period, or
(b) in a case where the consumer does not become liable for any renewal payment during that period, it is the first renewal payment for which the consumer becomes liable after the end of that period.
(6) For the purposes of this section a subscription contract includes a concessionary period if it is a contract to which section254(3)applies.
(7) In this Chapter, a “ renewal payment”, in relation to a subscription contract, means a payment for which the consumer could avoid liability by exercising a right to bring the contract to an end.
(8) Section259contains further provision about—
(a) the contents of reminder notices,
(b) the times at which they must be given, and
(c) how they must be given.
(9) The Secretary of State may by regulations provide for the requirements imposed by this section and section259—
(a) not to apply in relation to specified descriptions of traders or contracts;
(b) to apply subject to modifications in relation to specified descriptions of traders or contracts.
(10) Regulations under subsection(9)are subject to the affirmative procedure.
(1) A reminder notice must contain—
(a) the information set out inPart 3ofSchedule 23, and
(b) any other information required by regulations under section277(1)(b),
and that information must be given to the consumer all together.
(2) A reminder notice must be given—
(a) in accordance with subsections(3)to(8),
(b) in such a way that the information referred to insubsection (1)is more prominent than any other information given to the consumer at the same time, and
(c) in accordance with any other requirements specified in regulations under section277(1)(a).
(3) A reminder notice must be given within the period specified by the trader for the purposes of this section in the key pre-contract information given to the consumer in relation to the contract (seeparagraph 10ofSchedule 23).
(4) A period specified in key pre-contract information for the purposes of this section must be a period in advance of the last cancellation date which is reasonable for the purposes of—
(a) informing the consumer that they will soon become liable for the renewal payment to which the notice relates, and
(b) enabling the consumer to decide whether to bring the subscription contract to an end before incurring that liability (and to take the necessary steps to do so).
(5) The “ last cancellation date”, in relation to a reminder notice, means the last day on which the consumer could avoid becoming liable for the renewal payment to which the notice relates by exercising a right to bring the contract to an end.
(6) Where subsection(7)applies, in addition to giving a reminder notice in accordance with subsection (3), an additional reminder notice must be given—
(a) prior to the notice given in accordance with subsection (3), and
(b) at a time which is reasonable for the purpose of providing additional notification to the consumer that they will soon become liable for the renewal payment to which the notice relates.
(7) This subsection applies where—
(a) the consumer will not become liable for a further renewal payment until after the end of the 12-month period, or
(b) the consumer will not become liable for any further renewal payment but the contract continues beyond the end of the 12-month period.
(8) In subsection(7), the “ 12-month period” means the period of 12 months beginning with the day before the day on which the consumer will become liable for the renewal payment to which the reminder notice relates.
(1) A trader must make arrangements to enable a consumer to exercise a right to bring a subscription contract to an end—
(a) in a way which is straightforward, and
(b) without having to take any steps which are not reasonably necessary for bringing the contract to an end.
(2) A consumer may, alternatively, exercise a right to bring a subscription contract to an end by notifying the trader in accordance with subsection(6)that the consumer is bringing the contract to an end.
(3) A consumer may exercise a right to bring a subscription contract to an end at any time permitted by regulations under section277(1)(c).
(4) In relation to a subscription contract entered into online, arrangements under subsection(1)must—
(a) enable a consumer to bring the contract to an end online, and
(b) ensure that instructions for doing so are displayed online in a place or places that a consumer seeking to end the contract is likely to find them.
(5) Arrangements under this section must comply with any other requirements specified in regulations under section277(1)(c).
(6) A notification under subsection(2)may be given by the consumer making a clear statement setting out their decision to bring the contract to an end.
(1) This section applies where a consumer—
(a) has exercised a right under this Chapter to cancel a subscription contract, or
(b) has exercised a right to bring a subscription contract to an end.
(2) The trader must—
(a) give the consumer a notice acknowledging that fact (referred to in this Chapter as an “end of contract notice”), and
(b) if an overpayment has been received by the trader from the consumer, refund that overpayment.
(3) An end of contract notice must set out—
(a) the date on which the contract was or will be cancelled or on which it came, or will come, to an end, and
(b) any other information required by regulations under section277(1)(b).
(4) An end of contract notice must be given—
(a) in accordance with subsection(5),
(b) in writing on a durable medium, and
(c) in accordance with any other requirements specified in regulations under section277(1)(a).
(5) An end of contract notice must be given—
(a) before the end of such period as may be specified in regulations under section277(1)(a), or
(b) if no such period is specified—
(i) in the case of a consumer exercising a right mentioned in subsection(1)by giving a notification online, before the end of the period of 24 hours from the time that the consumer gives the notification;
(ii) in a case where the consumer exercises such a right by giving a notification in any other way, before the end of the period of 3 working days beginning with the day after the day that the consumer gives that notification.
(6) In subsection(2)(b)“ overpayment”, in relation to a subscription contract, means any payment made by the consumer for which the consumer is not liable as a result of cancelling the subscription contract or bringing it to an end.
A trader’s compliance with the following duties is an implied term in every subscription contract—
(a) the duty set out in section256(1)(a)(key pre-contract information);
(b) the duty set out in section256(1)(b)(full pre-contract information);
(c) the duty set out in section258(reminder notices);
(d) the duty set out in section259(4)to specify in key pre-contract information a reasonable period for the giving of a reminder notice under section259(3)(timing for the giving of reminder notices);
(e) the duty set out in section260(1)(arrangements for consumer to end contract);
(f) the duties set out in section261(2)(end or cancellation of subscription contract).
(1) This section applies where a trader is in breach of the term implied into a subscription contract by section262(a),(c),(d)or(e).
(2) The consumer has the right to cancel the contract.
(3) The right is exercisable by the consumer notifying the trader in accordance with subsection(4)that the consumer is cancelling the contract.
(4) A notification under subsection(3)may be given by the consumer making a clear statement setting out their decision to cancel the contract.
(5) A subscription contract is cancelled from the time the notification is given.
(6) Where a subscription contract is cancelled under this section—
(a) the cancellation ends both the trader’s and the consumer’s obligations to perform the contract in respect of any rights or liabilities that would arise (but for the cancellation) after the time at which the contract was cancelled,
(b) the consumer’s liability for payments that have arisen under the contract is extinguished to any extent set out in regulations under section267(1)(b)(and, accordingly, the consumer may be entitled to a refund), and
(c) any other provision made under those regulations in relation to the treatment of goods, services or digital content supplied under a cancelled subscription contract applies.
(7) No penalty or charge may be imposed on a consumer for cancelling a subscription contract under subsection(2).
(8) For further provision about the exercise of a right to cancel under this section, see section267.
(1) A consumer has the right to cancel a subscription contract during—
(a) the initial cooling-off period, and
(b) any renewal cooling-off period.
(2) The right conferred by subsection(1)—
(a) is exercisable in any circumstances, and
(b) may not be subject to any conditions other than those set out in or under this Chapter.
(3) The right is exercisable by the consumer notifying the trader in accordance with subsection(4)that the consumer is cancelling the contract.
(4) A notification under subsection(3)may be given by the consumer making a clear statement setting out their decision to cancel the contract.
(5) A subscription contract is cancelled from the time that such a notification is given.
(6) Where a subscription contract is cancelled under this section—
(a) the cancellation ends both the consumer’s and the trader’s obligations to perform the contract in respect of any rights or liabilities that would arise (but for the cancellation) after the time at which the contract was cancelled,
(b) the consumer’s liability for payments that have arisen under the contract is extinguished to any extent set out in regulations under section267(1)(b)(and, accordingly, the consumer may be entitled to a refund), and
(c) any other provision made under those regulations in relation to the treatment of goods, services or digital content supplied under a cancelled subscription contract applies.
(7) No penalty or charge may be imposed on a consumer for cancelling a subscription contract under subsection(1).
(8) For further provision about the exercise of a right to cancel under this section, see section267.
(1) In this Chapter, the “ initial cooling-off period”, in relation to a subscription contract, means the period—
(a) beginning with the day the contract is entered into, and
(b) ending—
(i) in the case of a contract under which goods are supplied, at the end of the period of 14 days beginning with the day after the day on which the consumer receives the first supply of goods under the contract;
(ii) in any other case, at the end of the period of 14 days beginning with the day after the day on which the contract is entered into.
(2) In this Chapter, a “ renewal cooling-off period”, in relation to a subscription contract, means a period—
(a) beginning with the day on which a relevant renewal of the contract occurs, and
(b) ending at the end of the period of 14 days beginning with the day after that day.
(3) A “relevant renewal” of a subscription contract occurs for the purposes of subsection(2)—
(a) when the consumer becomes liable under the contract for a first renewal payment following the end of a concessionary period, or
(b) at any time when the consumer becomes liable under the contract for a renewal payment and either—
(i) the consumer will not become liable for the next renewal payment until after the end of the 12-month period, or
(ii) the consumer will not become liable for any further renewal payment but the contract continues beyond the end of the 12-month period.
(4) In subsection(3)—
(a) in paragraph (a), “ concessionary period” means a period of time mentioned in section254(3)(a), and
(b) in paragraph (b), the “ 12-month period” means the period of 12 months beginning with the day before the day on which the consumer became liable for the renewal payment.
(5) For the purposes of subsection(1)(b)(i), the first supply of goods under a subscription contract is not to be treated as having taken place until such time as the consumer receives all of the goods that the consumer is due to receive as part of that supply.
(6) This section is subject to such extensions of a cooling-off period as may be provided for by regulations under section267(1)(c).
(1) In relation to each renewal cooling-off period, a trader must give the consumer a notice (referred to in this Chapter as a “cooling-off notice”).
(2) A cooling-off notice must set out—
(a) that the subscription contract is continuing,
(b) that the consumer has a right to cancel the subscription contract during the cooling-off period to which the notice relates,
(c) when that period begins and ends,
(d) how the consumer may exercise the right to cancel,
(e) if the consumer may lose the right, the circumstances under which that will happen,
(f) the consequences of the consumer exercising the right, including—
(i) any refund the consumer may be entitled to,
(ii) any reason that refund might be diminished, and
(iii) in respect of a contract for the supply of goods, whether the consumer will be responsible for returning those goods to the trader, and
(g) any other information required by regulations under section277(1)(b).
(3) A cooling-off notice must be given—
(a) on the first day of the renewal cooling-off period to which it relates or as soon as reasonably practicable after that day,
(b) separately from the giving of any other information, and
(c) in accordance with any other requirements specified in regulations under section277(1)(a).
(1) The Secretary of State may by regulations make provision—
(a) about the exercise of the rights of a consumer to cancel a subscription contract under this Chapter;
(b) about the consequences that follow a consumer exercising such rights;
(c) extending a cooling-off period in such cases, and to such extent, as the regulations may specify.
(2) Regulations under subsection(1)(a)may include provision—
(a) requiring a right to cancel to be exercised before the end of a specified period;
(b) imposing other conditions or restrictions on the exercise of a right to cancel (for example, provision that a consumer may lose the right to cancel a subscription contract during a cooling-off period if they choose to be supplied with digital content or services under the contract during that period).
(3) Regulations under subsection(1)(b)may include provision—
(a) setting out the extent to which a consumer’s liability for payments that have arisen under a cancelled subscription contract is extinguished;
(b) as a consequence of provision made under paragraph(a), requiring a trader to refund a consumer for payments the consumer has made under the contract;
(c) treating the consumer as having paid for goods, services or digital content received under a cancelled subscription contract;
(d) about the trader’s right to recover goods or digital content that have been supplied under a cancelled subscription contract;
(e) setting out the consequences of a consumer—
(i) bringing a subscription contract to an end at a time when the consumer has one or more rights to cancel the contract under this Chapter;
(ii) cancelling a subscription contract at a time when the consumer has more than one right to cancel the contract under this Chapter.
(4) Provision undersubsection (3)(a)and(b)may secure the result (for example, in cases where a consumer has been supplied with digital content or services under a contract before it is cancelled during a cooling-off period) that—
(a) the consumer remains liable (partly or fully) for payments falling due before the cancellation of the contract, and
(b) the consumer is entitled to a reduced or no refund.
(5) Provision under subsection(3)(e)(ii)must secure the result that, unless the consumer chooses otherwise, the consumer is to be taken to exercise the right to cancel under this Chapter that results in the most advantageous remedy to the consumer (and the regulations may include provision for determining what remedy is “most advantageous” to a consumer in different descriptions of case).
(6) Before making regulations under subsection(1)(c), the Secretary of State must consult such persons as the Secretary of State considers appropriate.
(7) The following regulations under this section are subject to the affirmative procedure—
(a) the first regulations to be made under this section;
(b) any other regulations under this section that include provision withinsubsection (1)(c).
(8) Regulations under this section to which subsection(7)does not apply are subject to the negative procedure.
(1) A trader commits an offence if the trader—
(a) enters into an off-premises subscription contract, and
(b) fails to—
(i) give the consumer the information listed in paragraph11(a)ofSchedule 23in accordance with section256(1)(a), or
(ii) give, or make available, the information set out in paragraph21of that Schedule in accordance with section256(1)(b).
(2) Subsections(3)and(4)apply where a trader—
(a) commits an offence under subsection(1), or
(b) would have committed an offence under that subsection but for a defence under section269,
and the commission of the offence, or of what would have been the offence, is due to the act or omission of another person (“ P”).
(3) P commits the offence (whether or not P is a trader).
(4) P may be charged with and convicted of the offence by virtue of subsection(3)whether or not proceedings are taken against the trader.
(5) In this section, an “ off-premises subscription contract” means a subscription contract—
(a) entered into in person, in a place which is not the business premises of the trader,
(b) entered into by any means immediately after the consumer was individually and personally addressed by the trader in person in a place which is not the business premises of the trader, or
(c) entered into during an excursion organised by the trader with the aim or effect of promoting and selling goods or services to the consumer.
(6) In subsection(5), “ business premises”, in relation to a trader, means—
(a) any immovable retail premises where the activity of the trader is carried out on a permanent basis, or
(b) any movable retail premises where the activity of the trader is carried out on a usual basis.
(7) In other provisions of this Chapter, references to an offence under subsection(1)include references to an offence under that subsection by virtue of subsection(3).
(1) It is a defence for a person (“ the defendant”) charged with an offence under section268(1)to prove—
(a) that the commission of the offence was due to—
(i) the act or omission of another person, or
(ii) reliance on information given by another person, and
(b) that the defendant took all reasonable precautions and exercised all due diligence to avoid the commission of such an offence by the defendant or any other person under the defendant’s control.
(2) A defendant is not entitled to rely on the defence provided by subsection(1)without the permission of the court unless—
(a) the defendant has served on the prosecutor a notice in writing giving such information as was then in the defendant’s possession identifying, or assisting in the identification of, the other person, and
(b) the notice is served on the prosecutor at least seven clear days before the hearing of the proceedings or, in Scotland, at least seven clear days before the trial diet.
(1) If an offence under section268(1)committed by a body corporate is proved—
(a) to have been committed with the consent or connivance of an officer of the body, or
(b) to be attributable to any neglect on the officer’s part,
the officer as well as the body corporate is guilty of the offence and liable to be proceeded against and punished accordingly.
(2) In subsection(1)a reference to an officer of a body corporate includes a reference to—
(a) a director, manager, secretary or other similar officer;
(b) a person purporting to act as a director, manager, secretary or other similar officer.
(3) If the affairs of a body corporate are managed by its members, subsection(1)applies in relation to the acts and defaults of a member in connection with the member’s functions of management as if the member were an officer of the body corporate.
(4) Where an offence under section268(1)committed by a Scottish partnership is proved—
(a) to have been committed with the consent or connivance of a partner, or
(b) to be attributable to any neglect on the part of a partner,
the partner as well as the partnership is guilty of the offence and liable to be proceeded against and punished accordingly.
(5) In subsection(4), a reference to a partner includes a person purporting to act as a partner.
(1) A person who is guilty of an offence under section268(1)is liable—
(a) on summary conviction in England Wales, to a fine;
(b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding level 5 on the standard scale.
(2) It is the duty of every local weights and measures authority in Great Britain to enforce section268(1)in its area.
(3) It is the duty of the Department for the Economy in Northern Ireland to enforce section268(1)in Northern Ireland.
(4) No proceedings for an offence under section268(1)may be instituted in England and Wales except by or on behalf of a local weights and measures authority in Great Britain.
(5) Nothing in subsection(2)authorises any local weights and measures authority in Great Britain to bring proceedings in Scotland for an offence.
(1) This section applies for the purposes of this Chapter.
(2) Where a trader gives any information or notice under this Chapter by email, by a message sent online, or by any other means of electronic communication, the information or notice is to be treated as given by the trader, and as received by the consumer, at the time that the communication is sent to the consumer.
(3) Subsection(2)applies even if the consumer does not receive the communication where the reason for that is beyond the control of the trader.
(4) Subsection(5)applies for the purposes of determining whether a consumer has—
(a) given notice that the consumer is cancelling a subscription contract in exercise of a right conferred by this Chapter within the period of time specified for the consumer to exercise the right;
(b) given notice that the consumer is bringing a subscription contract to an end within a period of time, or before a date, specified or described in the contract as the period during which, or date before which, the consumer may exercise the right.
(5) The consumer is to be treated as having given notice within the required period, or before the specified date, if the communication by which the notice is given is sent before the end of that period or date (and for this purpose it is immaterial whether or not the trader receives the notice).
(6) The burden of proof lies with the trader in any dispute between the trader and a consumer as to whether information or a notice has been given by the trader to the consumer in accordance with this Chapter.
(7) The burden of proof lies with the consumer in any dispute between the consumer and a trader as to—
(a) whether the consumer has notified the trader that the consumer is bringing to an end, or cancelling, a subscription contract in accordance with this Chapter;
(b) when the consumer gave such notice.
(8) Any information that a trader gives to a consumer under this Chapter must be given in clear and plain language and
(a) if given in writing, be in a legible form;
(b) if given orally, be audible and comprehensible.
(1) Any term of a subscription contract that is in contravention of this Chapter is, to that extent, of no effect (including any term that seeks to exclude or restrict a trader’s liability arising from the terms implied into the contract by section262).
(2) In cases to which this subsection applies, any term of a subscription contract which seeks to impose on a consumer liability for a renewal payment before the day on which the contract renews is, to that extent, of no effect.
(3) Subsection(2)applies to cases of a description specified in regulations under section277(1)(e)(and the regulations may include provision for determining when a contract renews in each description of case).
(1) Nothing in this Chapter is to be taken as limiting the taking of any other remedies available to a consumer for breach of any term (whether express, implied by section262or otherwise) of a subscription contract.
(2) Those other remedies may be sought—
(a) in addition to the rights conferred on the consumer by this Chapter (but not so as to recover twice for the same loss), or
(b) instead of the exercise of any of those rights by the consumer.
(3) Those other remedies include any of the following—
(a) claiming damages;
(b) seeking specific performance;
(c) seeking an order for specific implement;
(d) relying on the breach against a claim by the trader under the contract;
(e) for breach of a term, exercising a right to treat the contract at an end.
(1) Subsection(2)applies if—
(a) the law of a country or territory other than the United Kingdom or any part of the United Kingdom is chosen by the parties to be applicable to a subscription contract, but
(b) the contract has a close connection with the United Kingdom.
(2) This Chapter applies in relation to the contract despite that choice.
(3) This Chapter does not apply in relation to contracts entered into before section254comes into force.
(4) Subsections(5)and(6)apply where—
(a) a trader enters into a contract that is an excluded contract,
(b) but for it being an excluded contract, the contract would have been a subscription contract, and
(c) on a later day (the “relevant day”), the contract ceases to be an excluded contract and, accordingly, becomes a subscription contract.
(5) This Chapter applies to the contract with the following modifications—
(a) sections256and257(pre-contract information) do not apply;
(b) section258(reminder notices) applies as if—
(i) in subsection(1), the reference to a trader entering into a subscription contract with a consumer that does not involve a concessionary period were a reference to a trader entering into the contract,
(ii) the reference in subsection(2)(a)to the day that the contract was entered into were a reference to the relevant day, and
(iii) subsections(3),(4)and(6)were omitted;
(c) section259(content and timing etc of reminder notices) applies as if, in subsections(3)and(4), references to the period specified by the trader in pre-contract information were references to the period specified by the trader in information given under subsection(6)of this section;
(d) section262(terms implied into contracts) applies as if—
(i) in paragraph(a), the reference to the duty set out in section256(1)(a)were a reference to the duty set out in subsection(6)of this section;
(ii) paragraph(b)was omitted;
(iii) in paragraph(d), the reference to pre-contract information were a reference to the information given under subsection(6)of this section;
(e) section 264(right to cancel during cooling-off periods) applies as if subsection(1)(a)were omitted.
(6) As soon as reasonably practicable after the relevant day, and in any event before the end of 12 months beginning with that day, the trader must give to the consumer key pre-contract information and full pre-contract information in relation to the contract, other than any such information that is excluded by subsection(7).
(7) Information is excluded by this subsection if—
(a) it relates to the initial cooling-off period under the contract;
(b) it relates to a period mentioned in section254(3)(a)(initial concessionary period) and the relevant day falls after the end of that period.
(8) For the purposes of the duty under subsection(6)—
(a) it is irrelevant whether any of the information required has already been given to the consumer before the relevant day,
(b) section256(5)applies as it applies for the purposes of the duty under section256(1)(b), and
(c) paragraph13of Schedule23is to be ignored.
(1) Subject to subsection(2), this Chapter binds the Crown.
(2) The Crown is not criminally liable as a result of anything in this Chapter.
(3) Subsection(2)does not affect the application of any provision of this Chapter in relation to persons in the public service of the Crown.
(1) The Secretary of State may by regulations make provision—
(a) about how and when information or a notice that a trader is required to give to a consumer under this Chapter may or must be given;
(b) about the information that is to be contained in a notice given under this Chapter;
(c) about the arrangements that a trader must make under section260to enable a consumer to exercise a right to bring a subscription contract to an end, and about when a consumer may exercise such a right;
(d) specifying the period of time within which the refund of an overpayment must be made under section261(2)(b);
(e) specifying descriptions of cases for the purposes of section273(2)(and about the day on which a contract renews for those purposes).
(2) Regulations under subsection(1)(c)may include (among other things) provision restricting the period of notice that a trader may require a consumer to give to bring a subscription contract to an end.
(3) Regulations under this section are subject to the negative procedure.
(1) CRA 2015 is amended as follows.
(2) In section 11 (goods to be as described)—
(a) in subsection (4), after “( SI 2013/3134)” insert “, or inparagraph 14ofSchedule 23to the Digital Markets, Competition and Consumers Act 2024,”, and
(b) in subsection (5), after “effective” insert “as a variation of a term implied by subsection (4)”.
(3) In section 12 (other pre-contract information included in contract)—
(a) after subsection (2) insert—
“(2A) Where section 256 (1) of the Digital Markets, Competition and Consumers Act 2024 (pre-contract information) required the trader to give information, or make information available, to the consumer, any of that information that was provided by the trader other than information about goods mentioned in paragraph 14 of Schedule 23 to that Act is to be treated as included as a term of the contract. ”, and
(b) in subsection (3)—
(i) for “that information” substitute “the information that is to be treated as a term of a contract under subsection (2) or (2A)”, and
(ii) after “effective” insert “as a variation of a term implied by subsection (2) or (2A)”.
(4) In section 36 (digital content to be as described)—
(a) in subsection (3), after “( SI 2013/3134)” insert “, or in paragraph14or27ofSchedule 23to the Digital Markets, Competition and Consumers Act 2024,”, and
(b) in subsection (4), after “effective” insert “as a variation of a term implied by subsection (3)”.
(5) In section 37 (other pre-contract information included in contract)—
(a) after subsection (2) insert—
“(2A) Where section 256 (1) of the Digital Markets, Competition and Consumers Act 2024 (pre-contract information) required the trader to give information, or make information available, to the consumer, any of that information that was provided by the trader other than information about digital content mentioned in paragraph 14 or 27 of Schedule 23 to that Act is to be treated as included as a term of the contract. ”;
(b) in subsection (3)—
(i) for “that information” substitute “the information that is to be treated as a term of a contract under subsection (2) or (2A)”, and
(ii) after “effective” insert “as a variation of a term implied by subsection (2) or (2A)”.
(6) In section 50 (information about the trader or service to be binding)—
(a) in subsection (3), after “( SI 2013/3134)” insert “, or in accordance with section256(1)of the Digital Markets, Competition and Consumers Act 2024,”, and
(b) in subsection (4), after “effective” insert “as a variation of a term implied by subsection (3)”.
(7) In paragraph 10 of Schedule 5 to CRA 2015 (investigatory powers: enforcer’s legislation), at the appropriate place insert—
(1) In Schedule 3 to the Regulatory Enforcement and Sanctions Act 2008, at the appropriate place insert—
“Digital Markets, Competition and Consumers Act 2024, Chapter 2 of Part 4. ”.
(2) In EA 2002—
(a) in Schedule 14 (provisions about disclosure of information) at the appropriate place insert—
“Chapter 2 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”;
(b) in Schedule 15 (enactments conferring functions) at the appropriate place insert—
“Chapter 2 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”
(3) The Consumer Contracts (Information Cancellation and Additional Charges) Regulations 2013 ( S.I. 2013/3134) is amended as follows.
(4) In regulation 5 (other definitions), at the appropriate place insert—
““ subscription contract ” has the meaning it has in Chapter 2 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 (see section 254 of that Act); ”.
(5) After regulation 7(4) (application of Part 2) insert—
“(4A) This Part does not apply to a subscription contract entered into after section 256 of the Digital Markets, Competition and Consumers Act 2024 comes into force. ”
(6) After regulation 27(3) (application of Part 3) insert—
“(3A) This Part does not apply to a subscription contract entered into after section 264 of the Digital Markets, Competition and Consumers Act 2024 comes into force. ”
(1) In this Chapter—
“ business” includes—
a trade, craft or profession,
any other undertaking carried on for gain or reward, and
the activities of any government department or local or public authority;
“ consumer” means an individual acting for purposes that are wholly or mainly outside the individual’s business;
“ durable medium” means paper, email or any other medium that—
allows information to be addressed personally to the consumer,
enables the consumer to store information in a way accessible for future reference for a period that is long enough for the purposes of the information, and
allows the unchanged reproduction of information stored;
“ goods” includes—
immoveable property;
rights and obligations;
water, gas and electricity if they are put up for sale in a limited volume or set quantity;
“ trader” means a person (“ P”) acting for purposes relating to P’s business, whether acting personally or through another person acting in P’s name or on P’s behalf.
(2) In this Chapter—
(a) references to a contract for the supply of goods, services or digital content include references to a contract for the supply of any combination of goods, services and digital content;
(b) references to payment or to a consumer being charged are references to payment, or a consumer being charged, in money or money’s worth;
(c) references to something happening automatically under a subscription contract are references to it happening without any action on the part of the consumer to cause it to happen (ignoring the consumer’s action of entering into the contract or any action taken in connection with, or for the purpose of, entering into it);
(d) references to something recurring are references to it happening more than once;
(e) references to a supply of goods, services or digital content for a fixed term include references to a supply of goods, services or digital content which is fixed to any extent;
(f) references to a consumer entering into a subscription contract include references to a consumer placing an order for the supply of goods, services or digital content under a subscription contract in circumstances where—
(i) the trader is (in any way) inviting such orders, and
(ii) the consumer is not required to take any further action for the contract to be concluded.
In this Part, the expressions listed in the left-hand column have the meaning given by, or are to be interpreted in accordance with, the provisions listed in the right-hand column.
| Expression | |
|---|---|
| Business | Section280(1) |
| Consumer | Section280(1) |
| Cooling-off notice | Section266(1) |
| Digital content | Section 330 |
| Durable medium | Section280(1) |
| Excluded contract | Section255 |
| Full pre-contract information | Section256(1)(b) |
| Goods | Section280(1) |
| Initial cooling-off period | Section265(1) |
| Key pre-contract information | Section256(1)(a) |
| Reminder notice | Section258 |
| Renewal cooling-off period | Section265(2) |
| Renewal payment | Section258(7) |
| Subscription contract | Section254 |
| Trader | Section280(1) |
| Working day | Section 330 |
(1) For the purposes of this Chapter, a consumer savings scheme contract is a contract—
(a) under which—
(i) a consumer makes payments to a trader,
(ii) the trader credits those payments to an account that is held by the trader for the consumer (“the consumer’s account”), and
(iii) the payments credited to the consumer’s account provide a fund for the consumer to redeem as goods, services or digital content in accordance with the terms of the contract,
(b) to which one or more of subsections (2), (3) or (4) applies, and
(c) which is not an excluded arrangement (see section284).
(2) This subsection applies to a contract if it contains terms which have the effect of restricting the times at, or periods of time during, which the consumer may redeem funds from the consumer’s account.
(3) This subsection applies to a contract if it contains terms which have the effect of incentivising the consumer to redeem, or refrain from redeeming, funds in the consumer’s account at a time, or during a period of time, specified in the terms of the contract.
(4) This subsection applies to a contract if it is marketed or advertised in such a way as to encourage the consumer to redeem, or refrain from redeeming, funds in the consumer’s account at a time, or during a period of time, specified in material used for the purposes of marketing or advertising the contract.
(1) In this Chapter, references to a trader operating a consumer savings scheme are references to a trader entering into a consumer savings scheme contract.
(2) For the purposes ofsection 282(1)(a)(ii), it is sufficient for a trader to hold the consumer’s payments in some way other than crediting those payments to a specific account for that consumer and references in this Chapter to a “consumer’s account” are to be construed accordingly.
(3) In this Chapter, “protected payments” are payments, made by a consumer under a consumer savings scheme contract, in respect of which funds in the consumer’s account have not been redeemed.
(4) Subject tosubsection (5), in this Chapter, funds are treated as redeemed when the trader provides the consumer with goods, services or digital content in accordance with the terms of the consumer savings scheme contract.
(5) Where a trader provides a consumer with vouchers or credit-tokens which may be redeemed only in respect of goods, services or digital content provided by that trader, funds are treated as redeemed for the purposes of this Chapter only when those vouchers or credit-tokens are redeemed.
(1) An arrangement is an excluded arrangement for the purposes of this Chapter if it is of a description set out inSchedule 24.
(2) The Secretary of State may by regulations amendSchedule 24so as to—
(a) add a description of an arrangement to the Schedule;
(b) remove a description of an arrangement from the Schedule;
(c) modify a description of an arrangement set out in the Schedule.
(3) The power undersubsection (2)(a)and(c)includes power to provide for an arrangement to be an excluded arrangement—
(a) generally for the purposes of this Chapter;
(b) only for such purposes of this Chapter as are specified.
(4) Regulations undersubsection (2)are subject to the affirmative procedure.
(1) A trader operating a consumer savings scheme must make and maintain the arrangements set out insection 286(insurance arrangements) or insection 287(trust arrangements) to cover, in the event of the trader’s insolvency, the cost of returning to the consumer any protected payments at the time of the insolvency.
(2) It is an implied term of every consumer savings scheme contract that the trader complies with the requirements of this section.
(3) A trader operating a consumer savings scheme in the United Kingdom, who is not established in the United Kingdom, must comply with the requirements of this section.
(4) References in this Chapter to a trader’s insolvency are references to—
(a) a bankruptcy order having been made in relation to the trader (or, in Scotland, the trader’s estate having been sequestrated),
(b) a winding up order having been made in relation to the trader as a result of the trader’s insolvency,
(c) an appointment of a liquidator (otherwise than following the making of a winding up order) as a result of the trader’s insolvency,
(d) the trader being in administration,
(e) the appointment of an administrative receiver (or, in Scotland, a receiver) in relation to the trader, or
(f) in any jurisdiction, the trader being subject to an order or procedure that corresponds to any order or procedure mentioned in paragraphs(a)to(e).
(1) Where a trader relies on arrangements under this section for the purpose of satisfying section285, the trader must maintain insurance under one or more appropriate policies with an insurer authorised in respect of such business in the United Kingdom, the Channel Islands or the Isle of Man.
(2) In this section “ appropriate policy” means a policy—
(a) under which the insurer agrees to indemnify consumers in the event of the insolvency of the trader;
(b) under which consumers are insured persons in respect of the costs referred to in paragraph (d);
(c) which does not contain a condition which provides (in whatever terms) that no liability arises, or that any liability arising ceases—
(i) in the event of some specified thing being done or omitted to be done after the happening of the event giving rise to a claim under the policy;
(ii) in the event of the policy holder not making payments under or in connection with other policies; or
(iii) unless the policy holder keeps specified records or makes available to, or provides the insurer with, information from those records; and
(d) which covers the costs of returning to the consumer any protected payments at the time of the insolvency.
(3) The trader must meet the costs of arranging and maintaining an appropriate policy and any related charges or taxes, without recourse to the consumer payments which are to be protected under that policy.
(1) Where a trader relies on arrangements under this section for the purpose of satisfyingsection 285, the trader must ensure that all payments made by a consumer under a consumer savings scheme contract are held on trust for the consumer, in the United Kingdom, by one or more persons appointed as trustees for the consumer.
(2) Subject to subsection (3), the monies are to be held on trust for the consumer as required by subsection (1) until—
(a) the funds in the consumer’s account have been redeemed, or
(b) any payments made by the consumer in respect of the consumer savings scheme contract have been returned to the consumer.
(3) The trustees may authorise the use of monies held on trust for the consumer as required by subsection (1)—
(a) to pay suppliers for goods, services or digital content to be provided to the consumer in accordance with the terms of the consumer savings scheme contract,
(b) to return payments to the consumer in exceptional circumstances, or
(c) to pay any profits after the consumer has redeemed all of the funds in their account.
(4) For the purposes of subsection (3)(a), trustees may only authorise the release of monies on receipt of a declaration by the trader that the trader is solvent.
(5) The trustee, or where there is more than one trustee, the majority of persons appointed as trustees for the purpose of subsection (1), must be independent of the trader.
(6) For the purpose ofsubsection (5), a person is independent of the trader in relation to a trust only if—
(a) the person has no interest in the assets of the trader or of the trust otherwise than as a trustee of that trust, and
(b) the person is neither connected with, nor an associate of—
(i) the trader, or
(ii) any person for the time being acting as an insolvency practitioner in relation to the trader.
(7) The cost of administering the trust must be paid for by the trader.
(8) The trader must arrange for an independent auditor to be appointed to audit the accounts of the trust every three years.
(9) In the event of a trader’s insolvency, monies held on trust for a consumer by the trustees in accordance with this section must be returned to the consumer.
(1) A trader must, before the end of 30 working days beginning with the day on which a consumer makes the first payment to the trader under a consumer savings scheme contract, provide to the consumer the following information—
(a) the name, address, telephone number and email address of the insurer or trustees responsible for protecting the consumer’s payments;
(b) where insurance arrangements are in place, the policy number for the policy under which the consumer’s payments are protected;
(c) where trust arrangements are in place, a copy of the trust deed under which the consumer’s payments are held.
(2) The trader must notify the consumer of any change to any of the information provided under subsection (1) before the end of 30 working days, beginning with the day on which the change takes effect.
(3) Where a consumer makes a written request to the trader for the information mentioned in subsection (1), the trader must, before the end of 30 working days beginning with the day on which the request is received, provide, without charge, the information requested.
(4) The information provided under this section must be in clear and plain language and, if in writing, in a legible form.
(5) The information provided under this section must—
(a) in cases where the contract is to be entered into in the simultaneous physical presence of the trader and the consumer, be given in writing on a durable medium;
(b) in cases where the contract is to be entered into online without the simultaneous physical presence of the trader and the consumer—
(i) be given in writing by being displayed in any location online where the consumer may take steps to enter into the contract, and
(ii) be accessible in that location without the need for any action by the consumer;
(c) in cases where the contract is to be entered into orally without the simultaneous physical presence of the trader and the consumer, be given to the consumer orally and in a way that is audible and comprehensible.
(6) In cases not falling withinsubsection (5)(a)the trader must also, as soon as reasonably practicable after the contract has been entered into, give the consumer the information in writing on a durable medium.
(7) A trader operating a consumer savings scheme in the United Kingdom, who is not established in the United Kingdom, must comply with the requirements of this section.
(8) It is an implied term of every consumer savings scheme contract that the trader complies with the requirements of this section.
(9) The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 ( S.I. 3134/2013) apply to consumer savings scheme contracts to the extent that requirements under those regulations are not met by compliance with this section.
(1) In Schedule 3 to the Regulatory Enforcement and Sanctions Act 2008 (enactments specified for the purposes of Part 1), at the appropriate place insert—
(2) In EA 2002—
(a) in Schedule 14 (provisions about disclosure of information) at the appropriate place insert—
“Chapter 3 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”;
(b) in Schedule 15 (enactments conferring functions) at the appropriate place insert—
“Chapter 3 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”
In this Chapter—
“ business” includes—
a trade, craft or profession, and
any other undertaking carried on for gain or reward,
but does not include the activities of any government department or local or public authority;
“ consumer” means an individual acting for purposes that are wholly or mainly outside the individual’s business;
“ durable medium” means, in relation to the provision of information, paper, email or any other medium that—
allows the information to be addressed personally to the consumer,
enables the consumer to store the information in a way accessible for future reference for a period that is long enough for the purposes of the information, and
allows the unchanged reproduction of the information stored;
“ excluded arrangement” is to be read in accordance with section284;
“ goods” includes vouchers, rights and obligations but does not include buildings or other structures or immovable property;
“ trader” means a person (“ P”) acting for purposes relating to P’s business whether acting personally or through another person acting in P’s name or on P’s behalf;
“ turnover” has the same meaning as insection 204(determination of turnover) and references to “this Part” insection 204are to be read, for the purposes of this Chapter, as references to this Chapter.
(1) This sectionhas effect for the purposes of this Chapter.
(2) “ ADR” means any method of securing or facilitating an out-of-court resolution of a consumer contract dispute that is carried out by an independent third party acting in relation to both parties to the dispute.
(3) But the term “ ADR” does not include anything carried out by a person in their capacity as—
(a) a judge, or
(b) a member of the staff of a court or tribunal.
(4) The following are examples of ADR (if carried out as mentioned insubsection (2)in relation to a consumer contract dispute)—
(a) mediation;
(b) arbitration;
(c) early neutral evaluation;
(d) action under an ombudsman scheme.
(5) Insubsection (2)“ resolution” includes—
(a) a decision binding both parties;
(b) a decision which, if accepted by the consumer, binds the trader;
(c) settlement of the dispute between the parties.
(6) “ ADR provider” means a person who does either or both of the following—
(a) carrying out ADR in relation to a consumer contract dispute, or
(b) making special ADR arrangements.
(7) “Special ADR arrangements” are (subject tosubsection (8)) arrangements made by an ADR provider with another person (whether or not that other person is an exempt or accredited ADR provider) for ADR to be carried out by that other person in relation to one or more consumer contract disputes.
(8) Arrangements made by a person acting for only one of the parties to a consumer contract dispute are not special ADR arrangements.
(9) For the meaning of “exempt ADR provider” and “exempt redress scheme” seesection 295.
(10) “ Accredited ADR provider” means a person who is for the time being accredited under this Chapter (whether or not their accreditation is limited to particular descriptions of ADR or special ADR arrangements).
(11) Inthis section“ judge” includes—
(a) a member of a tribunal,
(b) a justice of the peace or, in Northern Ireland, a lay magistrate,
(c) a clerk or other officer entitled to exercise the jurisdiction of a court or tribunal, and
(d) a holder of any other public office with functions of a judicial nature.
(1) This sectionhas effect for the purposes of this Chapter.
(2) “ Consumer contract” means (subject to the following provisions of this section) a contract between a trader and a consumer which is—
(a) a contract to which Chapter 2 of Part 1 of CRA 2015 (contracts to supply goods) applies;
(b) a contract to which Chapter 3 of that Part (contracts to supply digital content) applies;
(c) a contract to which Chapter 4 of that Part (contracts to supply services) applies;
(d) a mixed contract, that is to say a contract to which any two or three of those Chapters apply (see section 1(3) and (4) of that Act).
(3) The reference insubsection (2)(a)to a contract to which Chapter 2 of Part 1 of CRA 2015 applies includes a reference to—
(a) a contract between a gas supplier and a consumer for the supply of gas to any premises;
(b) a contract deemed by paragraph 8(1) or (2) of Schedule 2B to the Gas Act 1986, or by section 12(1) or (2) of the Energy Act (Northern Ireland) 2011 (c. 6 (N.I.)), to exist between a gas supplier and a consumer for the supply of gas to any premises;
(c) a contract between an electricity supplier and a consumer for the supply of electricity to any premises;
(d) a contract deemed to exist by paragraph 3(1) or (2) of Schedule 6 to the Electricity Act 1989 or by paragraph 3(1) or (2) of Schedule 6 to the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I.1));
(e) the terms applying as between a water supplier and a consumer in respect of the supply of water to any premises by a water supplier.
(4) In subsection (3)—
“ electricity supplier” means a person who is authorised to supply electricity by a licence or exemption under Part 1 of the Electricity Act 1989 or Part 2 of the Electricity (Northern Ireland) Order 1992;
“ gas supplier” means a person who is authorised to supply gas by a licence or exemption under Part 1 of the Gas Act 1986 or Part 2 of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I.2));
“ water supplier” means—
a water undertaker or a water supply licensee within the meaning of the Water Industry Act 1991,
a person supplying water under a water services licence within the meaning of the Water Services etc. (Scotland) Act 2005 (asp 3), or
a water undertaker within the meaning of the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I.21)).
(5) The reference insubsection (2)(c)to a contract to which Chapter 4 of CRA 2015 applies includes a contract between a heat supplier and a consumer for the supply of heating, cooling or hot water by means of thermal energy provided from a heat network.
(6) Insubsection (5)—
“ heat network” has the meaning given by section 216 of the Energy Act 2023, and
“ heat supplier” means a person who charges for making a supply of heating, cooling or hot water by means of thermal energy provided from a heat network.
(7) In the application of provisions of Part 1 of CRA 2015 for determining whether a contract is a consumer contract for the purposes of this Chapter, the following provisions are to be disregarded—
(a) section 32(2) (provisions excluded from the operation of section 32(1));
(b) section 48(5) (power to exclude services from scope of Chapter 4 of Part 1).
(8) The Secretary of State may by regulations provide that contracts of a description specified in the regulations are excluded from being consumer contracts for the purposes of this Chapter.
(9) The power in subsection (8) includes power to provide that the exclusion only applies in circumstances specified in the regulations.
(10) Regulations under subsection (8) are subject to the affirmative procedure.
(11) “ Consumer contract dispute” means a dispute between the parties to a consumer contract which relates to the contract, including a dispute concerning—
(a) anything done by either party before making the contract,
(b) the making of the contract,
(c) obligations under or relating to the contract, or
(d) the performance by either party of their obligations under or relating to the contract.
(12) Insubsection (11)“ dispute” means a legal dispute, that is to say one which may be determined by a court or tribunal in proceedings brought by either of the parties to the contract.
(13) The “parties” to a consumer contract, or a consumer contract dispute, are the consumer and the trader.
(14) The following terms have the meaning given by section 2 of CRA 2015—
“consumer”
“goods”
“trader”.
But in interpreting the term “consumer” section 2(4) to (6) of that Act is to be disregarded.
(1) A person must not carry out ADR in relation to a consumer contract dispute unless the person—
(a) is an exempt ADR provider whose exemption covers the ADR being carried out,
(b) is an accredited ADR provider whose accreditation covers the ADR being carried out, or
(c) is acting under special ADR arrangements made by—
(i) an exempt ADR provider whose exemption covers the making of those special ADR arrangements, or
(ii) an accredited ADR provider whose accreditation covers the making of those special ADR arrangements.
(2) A person must not make special ADR arrangements in relation to any one or more consumer contract disputes unless the person is—
(a) an exempt ADR provider whose exemption covers the making of those special ADR arrangements, or
(b) an accredited ADR provider whose accreditation covers the making of those special ADR arrangements.
(1) An accredited ADR provider must not charge the consumer a fee in respect of ADR being carried out (or to be carried out) in relation to a consumer contract—
(a) by the accredited ADR provider, or
(b) by another ADR provider under special ADR arrangements made by the accredited ADR provider,
unless the fee is charged in accordance with provisions for the charging of fees to consumers which meet the conditions in subsection (2).
(2) The conditions are that the provisions in question—
(a) have been made by the accredited ADR provider,
(b) are approved by the Secretary of State for the purposes of this subsection, and
(c) are published in a manner likely to come to the attention of consumers whose consumer contract disputes may be dealt with by the accredited ADR provider.
(3) An ADR provider who carries out (or is to carry out) ADR in relation to a consumer contract dispute under special ADR arrangements must not charge the consumer any fee in respect of carrying out the ADR in question.
(1) In this Chapter—
“ exempt ADR provider” means a person who—
is listed (or of a description of persons listed) in Part 1 ofSchedule 25, or
is (when carrying out ADR or making special ADR arrangements) acting under or for the purposes of an exempt redress scheme;
“ exempt redress scheme” means a scheme or other similar arrangement which is listed (or of a description listed) in Part 2 ofSchedule 25.
(2) The Secretary of State may by regulations amendSchedule 25for the purpose of—
(a) adding a new entry in Part 1 or 2;
(b) varying or removing an entry for the time being included in Part 1 or 2;
(c) varying the supplementary provision in Part 3.
(3) Regulations under subsection (2) may, in particular—
(a) provide for an entry in Part 1 ofSchedule 25to apply to a specified person or to any person of a specified description;
(b) provide for an entry in Part 2 of that Schedule to apply to a specified scheme or any scheme of a specified description;
(c) limit the scope of the exemption given to a person by virtue of an entry in Part 1 or 2 of that Schedule, whether in relation to carrying out ADR or making special ADR arrangements (or both).
(4) For the purposes of subsection (3)—
(a) descriptions of ADR may be framed by reference to kinds of ADR or types of dispute (or both), and
(b) descriptions of special ADR arrangements may be framed by reference to any features of such arrangements, including in particular the kinds of ADR involved or the types of dispute involved (or both).
(5) Subject to any limitation on its scope provided for bySchedule 25—
(a) an exemption given to a person by virtue of an entry in Part 1 of that Schedule covers anything done by the person in the exercise of the person’s functions that would otherwise be prohibited, and
(b) an exemption given to a person by virtue of an entry in Part 2 of that Schedule covers anything done under or for the purposes of an exempted redress scheme that would otherwise be prohibited.
(6) In this section—
“ prohibited” means prohibited by section293(1) or (2);
“ specified” means specified in the regulations.
(7) Regulations undersubsection (2)are subject to the negative procedure.
(1) A person who wishes to be an accredited ADR provider must—
(a) apply to the Secretary of State for accreditation to enable the person to carry out ADR or to make special ADR arrangements (or to do both), and
(b) pay to the Secretary of State the appropriate application fee (if any) prescribed by regulations undersection 300.
(2) An application for accreditation to carry out ADR may be limited to one or more particular descriptions of ADR.
(3) An application for accreditation to make special ADR arrangements may be limited to one or more particular descriptions of special ADR arrangements.
(4) An accredited ADR provider may apply to the Secretary of State for their accreditation to be varied by the addition, variation or removal of—
(a) any limitation affecting the descriptions of ADR or special ADR arrangements (as the case may be) covered by the accreditation, or
(b) any condition on the accreditation.
(5) An application under subsection(4)must be accompanied by the appropriate application fee (if any) prescribed by regulations undersection 300.
(6) The Secretary of State may determine the procedure to be followed in relation to an application for accreditation or an application for the variation of an accreditation.
(7) The matters which may be determined undersubsection (6)include (among other things)—
(a) the form in which applications are to be made;
(b) the particular descriptions of ADR for which limited accreditation may be applied for and granted;
(c) the particular descriptions of special ADR arrangements for which limited accreditation may be applied for and granted;
(d) the information to be given by applicants.
(8) Section 295(4)applies for the purposes ofsubsection (7)as it applies for the purposes ofsection 295(3).
(9) The Secretary of State must publish anything determined undersubsection (6)in a manner likely to come to the attention of potential applicants for accreditation.
(10) The powers of the Secretary of State undersubsection (6)may be exercised differently for different purposes.
(1) This sectionapplies where an application for accreditation, or for the variation of an accreditation, has been made to the Secretary of State (and has not been withdrawn).
(2) In the case of an application for accreditation, the Secretary of State must, as soon as is reasonably practicable—
(a) consider the application,
(b) decide whether—
(i) to grant the accreditation applied for,
(ii) to grant a more limited accreditation, or
(iii) to refuse the application, and
(c) give notice in writing to the applicant of the decision and, in the case of a decision mentioned inparagraph (b)(ii)or(iii), the reasons for the decision.
(3) Accreditation granted undersubsection (2)(b)(ii)may be limited to such descriptions of ADR or such descriptions of special ADR arrangements (or both) as the Secretary of State considers appropriate and specifies in the accreditation.
(4) If accreditation is granted, the Secretary of State may also decide to impose conditions on the accreditation.
(5) The Secretary of State may only grant accreditation if satisfied that the accreditation criteria will be met by or in relation to the applicant after accreditation is granted.
(6) An accreditation is not time limited unless—
(a) the Secretary of State determines that it is to have effect for a limited period, and
(b) the notice of the decision on the application states that the accreditation is time limited and specifies the period for which it has effect.
(7) The notice of a decision to grant accreditation must specify the day on which the accreditation takes effect.
(8) In the case of an application for the variation of an accreditation, the Secretary of State must, as soon as is reasonably practicable—
(a) consider the application,
(b) decide whether—
(i) to grant the application,
(ii) to vary the accreditation, but to a different extent than applied for, or
(iii) to refuse the application, and
(c) give notice in writing to the applicant of the decision and, in the case of a decision mentioned inparagraph (b)(ii)or(iii), the reasons for the decision.
(9) If the Secretary of State decides to vary the accreditation undersubsection (8)(b)(i)or(ii), the Secretary of State may also decide—
(a) to impose new conditions on the accreditation, or
(b) to vary or remove any existing condition on the accreditation.
(10) The Secretary of State may only vary an accreditation if satisfied that the accreditation criteria will be met by or in relation to the applicant after the accreditation is varied.
(11) A variation of an accreditation is not time limited unless the Secretary of State determines that the variation is to have effect only for a limited period and the notice of the decision on the application for variation—
(a) states that the variation is time limited (unless made permanent following a subsequent application by the ADR provider),
(b) specifies the period for which the variation has effect, and
(c) makes provision as to the terms of the accreditation in the event that the variation lapses at the end of that period.
(12) The notice of a decision to vary an accreditation must specify the day on which the variation takes effect.
(13) Where the Secretary of State decides—
(a) to impose conditions undersubsection (4), or
(b) to impose new conditions, or to remove or vary any existing condition on the accreditation, undersubsection (9),
the notice of the decision on the relevant application must set out the conditions on the accreditation or the accreditation as varied, and give the Secretary of State’s reasons for the decisions made undersubsection (4)or(9)(as the case may be).
(14) Where an accreditation covers the making of special ADR arrangements, conditions on the accreditation may be framed so as to secure that the accredited ADR provider is responsible for acts or omissions of other ADR providers who carry out ADR under special ADR arrangements made by the accredited ADR provider.
(1) This sectionconfers powers on the Secretary of State in relation to the accreditation of an accredited ADR provider.
(2) The Secretary of State may, by notice to the ADR provider, revoke the accreditation on the application of the ADR provider.
(3) Subsection (4)applies in relation to the ADR provider where the Secretary of State considers that any one or more of the following conditions are met—
(a) the ADR provider is contravening, or has contravened, any of the prohibitions insection 293and294;
(b) the ADR provider is failing, or has failed, to comply with any of the accreditation criteria;
(c) the ADR provider is failing, or has failed, to comply with any conditions on its accreditation;
(d) the ADR provider is failing, or has failed, to comply with an enforcement notice undersection 302.
(4) The Secretary of State may by notice to the ADR provider—
(a) vary the accreditation, by doing either or both of the following—
(i) limiting, or further limiting, the accreditation to such descriptions of ADR or such descriptions of special ADR arrangements (or both) as the Secretary of State considers appropriate, and
(ii) imposing new conditions on the accreditation, varying any existing condition or removing any existing condition,
(b) suspend the accreditation, or
(c) revoke the accreditation.
(5) Insubsection (4)(a)(i)the reference to limiting (or further limiting) the accreditation to particular descriptions of ADR or of special ADR arrangements includes, in particular, limiting it to ADR relating to consumer contract disputes that have already been referred for ADR or to special ADR arrangements that already exist (as the case may be), whether for a limited period or otherwise.
(6) Before giving such a notice the Secretary of State must give the ADR provider a reasonable opportunity to make representations as to—
(a) whether one or more of the conditions mentioned insubsection (3)are met in relation to the ADR provider, and
(b) if so, what action (if any) it is appropriate for the Secretary of State to take undersubsection (4).
(7) Any variations made undersubsection (4)(a)must be variations the Secretary of State considers necessary to secure compliance with the prohibitions insections 293and294, the accreditation criteria, the existing conditions on the accreditation or the enforcement notice (as the case may be).
(8) Insubsection (7)“ existing conditions” means the existing conditions disregarding any previous variations made undersubsection (4)(a)or(9)(b).
(9) Where variations of the accreditation are made undersubsection (4)(a), the Secretary of State must—
(a) keep those variations under review, and
(b) by notice to the ADR provider vary the accreditation for the purpose of revoking or reversing the effect of all or any of the variations, to the extent that the Secretary of State considers that they are no longer necessary for the purpose set out insubsection (7).
(10) A notice that the accreditation is being varied must specify the day on which the variations take effect.
(11) A notice that the accreditation is suspended or revoked must specify the day on which the accreditation ceases to be in force.
(12) Where the accreditation is suspended the notice must also set out when or in what circumstances the suspension is to cease to have effect so that the accreditation is again in force.
(13) The provision required bysubsection (12)may consist of any one or more of the following—
(a) provision for the suspension to cease to have effect at the end of a period specified in the notice,
(b) provision for it to cease to have effect on the satisfaction of conditions specified in the notice, and
(c) provision for it to cease to have effect when a decision to lift it is made by the Secretary of State and notified to the ADR provider.
(1) Accredited ADR providers must pay to the Secretary of State, at such times as may be prescribed, the appropriate prescribed fee (if any).
(2) In subsection(1)“ prescribed” means prescribed by regulations undersection 300.
(1) The Secretary of State may by regulations make provision about the following descriptions of fees, namely—
(a) fees to be paid by applicants for accreditation under section296(1);
(b) fees to be paid by applicants for the variation of their accreditation under section296(5);
(c) fees to be paid by accredited ADR providers under section299(1).
(2) The power to make provision about a description of fees includes power to provide—
(a) for fees of different specified amounts to be payable in different cases or circumstances;
(b) for cases or circumstances in which no fees are to be payable;
(c) in the case of fees to be paid under section299, the times at which the fees are to be paid.
(3) In making regulations under this section the Secretary of State must have regard to the need to secure that, taking one year with another—
(a) the total amount of fees paid does not exceed the costs to the Secretary of State of carrying out functions under this Chapter;
(b) the total amount of fees paid under section296(1)does not exceed the costs to the Secretary of State of processing and determining applications for accreditation;
(c) the total amount of fees paid under section296(5)does not exceed the costs to the Secretary of State of processing and determining applications for the variation of an accreditation.
(4) Regulations under this section are subject to the negative procedure.
(1) For the purposes of this Chapter the accreditation criteria are the criteria set out inSchedule 26.
(2) The Secretary of State may by regulations amendSchedule 26for the purpose of—
(a) adding a new criterion, or
(b) removing or varying any criterion for the time being set out in that Schedule.
(3) Regulations undersubsection (2)are subject to the affirmative procedure.
(1) The Secretary of State may give an enforcement notice to an ADR provider if satisfied that the provider is contravening, or has contravened, any one or more of the following—
(a) the prohibition insection 293(1)or(2);
(b) the prohibition insection 294(1)or(3);
(c) a condition on its accreditation;
(d) the duty to pay a fee due undersection 299(1);
(e) a duty imposed by regulations undersection 303;
(f) a duty imposed by a direction undersection 304.
(2) Before reaching a final view as to whether or not to give an enforcement notice to an ADR provider, the Secretary of State must give the provider a reasonable opportunity to make representations as to—
(a) whether the condition insubsection (1)is met, and
(b) if so, whether an enforcement notice should be given to it.
(3) An enforcement notice is a notice requiring the ADR provider in question to do, or not to do, such things as are specified in the notice or are of a description so specified, with a view to securing compliance with the prohibition, condition or duty in question.
(4) An enforcement notice may—
(a) include requirements for the ADR provider to give information to the Secretary of State, or
(b) include other supplementary, incidental or consequential provision.
(5) The notice must make clear, in particular—
(a) what requirements are being imposed by the notice, and
(b) when they are to be complied with (whether immediately or otherwise).
(6) The Secretary of State may, by notice to the ADR provider to whom an enforcement notice has been given—
(a) revoke the enforcement notice, or
(b) revoke any requirement contained in the notice and, if necessary, make any consequential changes to the other provisions of the notice.
(7) The power undersubsection (6)may be exercised on the application of the ADR provider or otherwise.
(8) An enforcement notice may, with the permission of the High Court or the Court of Session, be enforced as if it were an order made by that court.
(9) The Secretary of State may publish information about enforcement notices given underthis section.
(1) The Secretary of State may by regulations require persons of a specified description (being persons withinsubsection (2))—
(a) to provide ADR information to the Secretary of State;
(b) to provide ADR information to a person with functions conferred by regulations undersection 307;
(c) to provide ADR information to consumers by publishing it.
(2) Regulations under this section may impose requirements on—
(a) accredited ADR providers,
(b) exempt ADR providers,
(c) persons (not being accredited or exempt ADR providers) who carry out ADR under special ADR arrangements,
(d) persons who have been, but are no longer, within paragraph(a),(b)or(c),
(e) regulators, but only in relation to relevant ADR information (seesection 306(2)).
(3) The power to impose requirements under subsection (1)(a) or (b) may only be exercised for the purpose of enabling or facilitating one or more of the following—
(a) publication of ADR information for the benefit of consumers;
(b) monitoring or evaluation of the operation of the system of accreditation under this Chapter;
(c) monitoring or evaluation of the provision and quality of ADR carried out in the United Kingdom.
(4) It is immaterial for the purposes of subsection (3) whether the publication, monitoring or evaluation is carried out by the Secretary of State, by a person with functions conferred by regulations under section307or by any other person acting under arrangements made with that other person by the Secretary of State or a person with such functions.
(5) Regulations under this section may provide for—
(a) the ADR information to be provided or published;
(b) the manner in which it is to be provided or published;
(c) the intervals or times at which it is to be provided or published;
(d) time limits for providing or publishing it.
(6) Regulations under this section are subject to the negative procedure.
(1) The Secretary of State may give a direction to any person falling withinsubsection (2)requiring the person to provide ADR information to the Secretary of State.
(2) A direction may be given to—
(a) an accredited ADR provider,
(b) an exempt ADR provider,
(c) a person (not being an accredited or exempt ADR provider) who carries out ADR under special ADR arrangements,
(d) a person who has been an accredited or exempt ADR provider or a person mentioned inparagraph (c), or
(e) a regulator, but only in relation to relevant ADR information (seesection 306(2)).
(3) A direction may only be given—
(a) for the purpose of enabling or facilitating one or more of the following (whether done by the Secretary of State or by another person under arrangements made with the Secretary of State)—
(i) publication of ADR information for the benefit of consumers;
(ii) monitoring or evaluation of the operation of the system of accreditation under this Chapter;
(iii) monitoring or evaluation of the provision and quality of ADR carried out in the United Kingdom, or
(b) for any other purpose connected with the exercise of the Secretary of State’s functions under this Chapter.
(4) A direction may provide for—
(a) the ADR information to be provided;
(b) the manner in which it is to be provided;
(c) time limits for providing it.
(5) A person to whom a direction is given must so far as reasonably practicable comply with it.
(6) The duty to comply with a direction is enforceable by the Secretary of State in civil proceedings—
(a) for an injunction,
(b) for specific performance of a statutory duty under section 45 of the Court of Session Act 1988, or
(c) for any other appropriate remedy or relief.
(7) In this section “ direction” means a direction under this section.
(1) This section applies to any ADR information relating to ADR providers which—
(a) is provided to the Secretary of State in response to regulations undersection 303or a direction undersection 304, or
(b) is otherwise held by the Secretary of State for the purposes of any function of the Secretary of State under this Chapter.
(2) The Secretary of State may publish information to which this section applies for the purpose of providing information to consumers.
(3) The Secretary of State may disclose information to which this section applies—
(a) to any Minister of the Crown, government department or devolved authority;
(b) to a regulator;
(c) to a public designated enforcer (seesection 151).
(4) This section does not affect any power to disclose information apart from this section.
(5) In this section “ devolved authority” means the Welsh Ministers, the Scottish Ministers or a Northern Ireland Department.
(1) Insections 303to305“ ADR information” means any information about or relating to—
(a) an ADR provider,
(b) ADR carried out by an ADR provider,
(c) special ADR arrangements made by an ADR provider.
(2) In those sections “ relevant ADR information”, in relation to requirements imposed on a regulator, means any information about or relating to—
(a) ADR carried out by a relevant ADR provider,
(b) special ADR arrangements made by a relevant ADR provider,
(c) ADR carried out by ADR providers acting under special ADR arrangements made by a relevant ADR provider, or
(d) anything done by the regulator which directly or indirectly affects a relevant ADR provider so far as relating to anything falling withinparagraphs (a)to(c).
(3) Insubsection (2)“ relevant ADR provider”, in relation to a regulator, means an accredited or exempt ADR provider—
(a) who is subject to regulation by the regulator, or
(b) whose activities (as an ADR provider) relate to consumer contract disputes involving traders acting in an area for which the regulator has responsibility or oversight under any legislation.
(4) Inthis section—
(a) a reference to information about ADR carried out by an ADR provider includes, in the case of ADR carried out by an accredited or exempt ADR provider, information about fees charged to consumers or traders in respect of carrying out ADR, and
(b) a reference to information about special ADR arrangements includes information about fees charged to consumers or traders by the ADR provider who made the arrangements.
(5) Inthis sectionreferences to ADR carried out by an ADR provider include ADR to be carried out by the provider.
(6) Inthis sectionandsections 303to305, “ regulator” means a person who has responsibility for, or oversight of, an area of activity by virtue of any legislation.
(1) The Secretary of State may by regulations make provision for or in connection with the conferring on another person of any function falling withinsubsection (2)so far as it is exercisable in such cases or circumstances as may be prescribed by the regulations, in place of the corresponding function of the Secretary of State.
(2) The functions which may be the subject of regulations under this section are functions corresponding to functions of the Secretary of State under the following provisions of this Chapter as originally enacted—
section 294(2)(b)(function of approving fees provisions);
section 296(functions relating to applications for accreditation or variation of an accreditation);
section 297(functions relating to determination of applications);
section 298(functions relating to revocation or suspension of accreditations etc);
section 299(1)(fees payable by accredited ADR providers), so far as relating to the function of receiving fees;
section 302(functions relating to enforcement notices);
section 304(functions relating to ADR information directions);
section 305(functions relating to disclosure of ADR information).
(3) The powers conferred bysubsection (1)include power to make provision for or in connection with—
(a) sharing of information between any two or more relevant authorities;
(b) abolishing (in whole or part) a function conferred on a person by regulations under this section.
(4) Insubsection (3)(a)“ relevant authorities” means the Secretary of State and any persons with functions conferred by regulations underthis section.
(5) Regulations underthis sectionmay amend this Chapter.
(6) Regulations underthis sectionare subject to the affirmative procedure.
(1) This sectionapplies where a trader responds to a complaint from a consumer in respect of any matters relating to a consumer contract between them.
(2) Insubsection (1)“matters relating to a consumer contract” include anything concerning—
(a) the making of the contract,
(b) anything done by the trader before or after making the contract,
(c) any obligations of the trader under or relating to the contract, or
(d) the performance by the trader of its obligations under or relating to the contract.
(3) The trader must, when communicating the outcome of the trader’s consideration of the complaint to the consumer, also inform the consumer about any ADR or other arrangement that is available if the consumer is dissatisfied with the outcome.
(4) Insubsection (3)“ ADR or other arrangement” means a scheme or arrangement—
(a) that is available to the consumer by virtue of an obligation of the trader to participate in the scheme or arrangement imposed by—
(i) legislation,
(ii) terms of the consumer contract, or
(iii) other contractual arrangements to which the trader is party, and
(b) by virtue of which either or both of the following will happen if the complaint (or any part of it) is duly pursued by the consumer—
(i) ADR will be carried out (if or so far as the matters complained of involve a consumer contract dispute between the parties);
(ii) other action will be taken with a view to securing or facilitating a resolution (if or so far as the matters complained of do not involve a consumer contract dispute between the parties).
(5) Section 302(enforcement notices) applies in relation to a trader who is contravening or has contravened the duty undersubsection (3)as it applies in relation to an ADR provider who is contravening or has contravened anything mentioned insection 302(1).
(6) This section does not affect any other duty of a trader to give information to a consumer.
Schedule 27contains consequential amendments, repeals and revocations relating to this Chapter.
(1) The prohibition on carrying out ADR insection 293(1)does not apply to ADR carried out by an ADR provider in relation to a consumer contract dispute where the ADR started before the prohibition came into force.
(2) The prohibition on charging fees to consumers insection 294(1)does not apply to ADR carried out by an ADR provider in relation to a consumer contract dispute where the ADR started before the prohibition came into force.
(3) For the purposes ofsubsections (1)and(2), the ADR is to be taken as starting when the dispute was first referred to the ADR provider in accordance with that provider’s rules or procedures.
(4) The prohibition on charging fees to consumers insection 294(3)does not apply to ADR carried out by an ADR provider under special ADR arrangements where the ADR started before the prohibition came into force.
(5) Subsection (2)ofsection 293applies, in the case of any special ADR arrangements made by an ADR provider before that subsection comes into force, as if the prohibition in it were a prohibition against the person who made the arrangements continuing to operate them, unless that person—
(a) is an exempt ADR provider whose exemption would cover making the special ADR arrangements, or
(b) is an accredited ADR provider whose accreditation would cover making the special ADR arrangements.
(6) Butsubsection (5)does not prevent the person from continuing to operate the special ADR arrangements so far as relating to cases in which ADR which is being carried out in relation to a consumer contract dispute started before the prohibition insection 293(1)came into force.
(7) For the purposes of subsections(4)and(6)ADR is to be taken as starting when the dispute is referred—
(a) to the person who made the special ADR arrangements in accordance with the person’s rules or procedures, or
(b) to the person carrying out the ADR under the special ADR arrangements, in accordance with the person’s rules or procedures,
whichever occurs first.
(8) The duty insection 308(3)does not apply in relation to a consumer’s complaint if it was received by the trader before the coming into force ofsection 308.
(1) The CMA may require an undertaking involved in, or connected with, the distribution, supply or retail of motor fuel (“ U”) to give specified information to it where it considers that the information would assist the CMA in—
(a) assessing competition in the United Kingdom in connection with the retail of motor fuel;
(b) publishing information about competition in the United Kingdom in connection with the retail of motor fuel;
(c) making proposals, or giving information or advice, to the Secretary of State about the need for, or the potential for, action to be taken (whether by the Secretary of State or another person) and what that action should be for the purposes of—
(i) increasing competition in the United Kingdom in connection with the retail of motor fuel;
(ii) benefiting consumers of motor fuel;
(d) assessing the effectiveness of any action taken as a result of proposals made, or information or advice given, underparagraph (c).
(2) The power conferred bysubsection (1)is to be exercised by giving U a notice (an “information notice”).
(3) The CMA must include in an information notice—
(a) the time at which, or the frequency with which, the information must be given to the CMA;
(b) the manner and form in which the information must be given to the CMA;
(c) information about the possible consequences of not complying with the notice.
(4) The power under this section to require U to give information to the CMA includes the power to—
(a) require U to take copies of or extracts from information;
(b) require U to obtain or generate information;
(c) require U to collect or retain information that they would not otherwise collect or retain;
(d) if any specified information is not given to the CMA, require U to state, to the best of their knowledge and belief, both where that information is and why it has not been given to the CMA.
(5) An undertaking may not be required under this section to give the CMA a privileged communication.
(6) A “privileged communication” is a communication—
(a) between a professional legal adviser and their client, or
(b) made in connection with, or in contemplation of, legal proceedings,
which in proceedings in the High Court would be protected from disclosure on grounds of legal professional privilege.
(7) In the application of this section to Scotland—
(a) the reference to the High Court is to be read as a reference to the Court of Session, and
(b) the reference to legal professional privilege is to be read as a reference to the confidentiality of communications.
(8) In this section—
“ consumer” has the same meaning as in Part 4 of EA 2002 (see section 183(1) of that Act);
“ motor fuel” has the same meaning as in the Motor Fuel (Composition and Content) Regulations 1999 ( S.I. 1999/3107) (see regulation 2 of those Regulations), but as if paragraphs (c) and (d) of the definition of that term were omitted;
“ specified” means—
specified, or described, in the information notice, or
falling within a category which is specified, or described, in the information notice;
“ United Kingdom” includes a part of the United Kingdom.
(9) The Secretary of State may by regulations amend the definition of “motor fuel” insubsection (8).
(10) Regulations undersubsection (9)are subject to the negative procedure.
(11) In this Chapter, “undertaking” has the same meaning it has for the purposes of Part 1 of CA 1998 (competition: agreements, abuse of dominant position etc).
(1) The CMA may impose a penalty on an undertaking where it considers that the undertaking has, without reasonable excuse—
(a) failed to comply with an information notice undersection 311;
(b) destroyed, otherwise disposed of, falsified or concealed, or caused or permitted the destruction, disposal, falsification or concealment of, any document which the undertaking has been required to produce by an information notice under that section;
(c) given the CMA information which is false or misleading in a material particular in connection with an information notice under that section;
(d) given information which is false or misleading in a material particular to another undertaking knowing that the information was to be used for the purpose of giving information to the CMA in connection with an information notice under that section.
(2) The amount of a penalty imposed on an undertaking under this section may be such amount as the CMA considers appropriate, provided it does not exceed the amounts set out in subsection(4).
(3) The amount of a penalty under this section must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(4) The maximum amounts of a penalty that may be imposed on an undertaking are—
(a) in the case of a fixed amount, an amount equal to 1% of the total value of the undertaking’s turnover (both inside and outside the United Kingdom);
(b) in the case of an amount calculated by reference to a daily rate, for each day an amount equal to 5% of the total value of the undertaking’s daily turnover (both inside and outside the United Kingdom);
(c) in the case of a combination of a fixed amount and an amount calculated by reference to a daily rate, the amounts mentioned inparagraph (a), in relation to the fixed amount, andparagraph (b), in relation to the amount calculated by reference to a daily rate.
(5) In imposing a penalty under this section by reference to a daily rate—
(a) no account is to be taken of any days before the service on the undertaking concerned of the provisional penalty notice under section 112(A1) of EA 2002 (as applied bysection 313), and
(b) unless the CMA determines an earlier day (whether before or after the penalty is imposed), the amount payable ceases to accumulate at the beginning of the day on which the undertaking first complies with the requirement in question.
(6) The Secretary of State may by regulations make provision for determining the turnover (both inside and outside the United Kingdom) of an undertaking for the purposes of this section.
(7) The regulations may, among other things—
(a) make provision about amounts which are, or are not, to be included in an undertaking’s turnover;
(b) make provision about the date or dates by reference to which an undertaking’s turnover is to be determined;
(c) confer on the CMA the power to determine and make provision about matters specified in the regulations (including the matters mentioned in paragraphs(a)and(b)).
(8) Regulations undersubsection (6)are subject to the negative procedure.
(1) Sections 112 (penalties: main procedural requirements), 113 (payments and interest by instalments), section 114 (appeals) and 115 (recovery of penalties) of EA 2002 apply in relation to a penalty imposed undersection 312as they apply in relation to a penalty imposed under section 110(1) of that Act.
(2) For the purposes of this section—
(a) sections 112 to 115 of EA 2002 are to be read as if references to “the appropriate authority” were references to the CMA only;
(b) section 114(5A) of EA 2002 is to be read as if the words “In the case of a penalty imposed on a by the CMA or OFCOM,” were omitted;
(c) section 114(12) of EA 2002 is to be read as if, for paragraph (b), there were substituted—
“(b) “ the relevant guidance ” means the statement of policy which was most recently published under section 314 of the Digital Markets, Competition and Consumers Act 2024 at the time of the act or omission giving rise to the penalty. ”
(1) The CMA must prepare and publish a statement of policy in relation to the exercise of powers to impose a penalty undersection 312.
(2) The statement must include a statement about the considerations relevant to the determination of—
(a) whether to impose a penalty undersection 312, and
(b) the nature and amount of any such penalty.
(3) The CMA may revise its statement of policy and, where it does so, must publish the revised statement.
(4) In preparing or revising its statement of policy the CMA must consult—
(a) the Secretary of State, and
(b) such other persons as the CMA considers appropriate.
(5) A statement of policy, or revised statement, may not be published under this section without the approval of the Secretary of State.
(6) Subsection (7)applies where the CMA proposes to impose a penalty undersection 312on an undertaking.
(7) The CMA must have regard to the statement of policy most recently published under this section at the time of the act or omission giving rise to the penalty when deciding—
(a) whether to impose the penalty, and
(b) if so, the amount of the penalty.
(1) A person (“ P”) commits an offence if, having been required to give information to the CMA undersection 311, P—
(a) intentionally or recklessly destroys or otherwise disposes of it, falsifies or conceals it, or
(b) causes or permits its destruction, disposal, falsification or concealment.
(2) A person (“ P”) commits an offence if—
(a) P gives information to the CMA in connection with an information notice undersection 311,
(b) the information is false or misleading in a material particular, and
(c) P knows that it is or is reckless as to whether it is.
(3) A person (“ P”) commits an offence if P gives information to another person which is false or misleading in a material particular and P—
(a) either—
(i) knows the information to be false or misleading in a material particular, or
(ii) is reckless as to whether the information is false or misleading in a material particular, and
(b) knows that the information will be given to the CMA in connection with an information notice under that section.
(4) A person guilty of an offence under this section is liable—
(a) on summary conviction in England and Wales, to a fine;
(b) on summary conviction in Scotland or Northern Ireland, to a fine not exceeding the statutory maximum;
(c) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.
(5) If an offence under this section committed by a body corporate is proved—
(a) to have been committed with the consent or connivance of an officer of the body corporate, or
(b) to be attributable to neglect on the part of an officer of the body corporate,
the officer as well as the body corporate is guilty of the offence and liable to be proceeded against and punished accordingly.
(6) If the affairs of a body corporate are managed by its members,subsection (5)applies in relation to the acts and defaults of a member in connection with the member’s functions of management as if the member were an officer of the body corporate.
(7) If an offence under this section committed by a partnership in Scotland is proved—
(a) to have been committed with the consent or connivance of a partner, or
(b) to be attributable to neglect on the partner’s part,
the partner as well as the partnership is guilty of the offence and liable to be proceeded against and punished accordingly.
(8) Insubsection (7), “ partner” includes a person purporting to act as a partner.
(1) The CMA may not impose a penalty on a person undersection 312in relation to an act or omission which constitutes an offence undersection 315if the person has, in relation to that act or omission, been found guilty of that offence.
(2) A person may not be found guilty of an offence undersection 315by virtue of an act or omission if the person has paid a penalty imposed undersection 312in relation to that act or omission.
In Schedule 14 to EA 2002 (provisions about disclosure of information) at the appropriate place insert—
“Chapter 1 of Part 5 of the Digital Markets, Competition and Consumer Act 2024. ”
(1) This Chapter, apart fromsubsection (5)of this section andsection 317, expires at the end of the relevant period.
(2) The “ relevant period” means the period of five years beginning with the day on which this Act is passed.
(3) The Secretary of State may by regulations amend this section to change the definition of the “relevant period”.
(4) Regulations undersubsection (3)are subject to the affirmative procedure.
(5) The expiry of this Chapter does not affect its continued operation in relation to any information notice given undersection 311before its expiry.
(1) A relevant regulator (“ R”) may assist an overseas regulator (“ O”) in accordance with the table insubsection (2)where—
(a) O makes a request to R (seesection 320) for R to assist O’s carrying out of functions which correspond or are similar to functions of R under a relevant enactment,
(b) R considers that it would be appropriate to assist O (seesection 321), and
(c) where the request is made otherwise than under or in accordance with a qualifying cooperation arrangement, the Secretary of State authorises R to assist O (seesection 322).
(2) The table in this subsection is—
| Where the enactment in question is— | The regulator that may assist the overseas regulator is— | The regulator may assist the overseas regulator by— |
|---|---|---|
| Part 1 of CA 1998 (competition) | the CMA | exercising its powers under sections 26 to 29 of CA 1998 as if, by assisting O’s carrying out of functions which correspond or are similar to the functions of the CMA under Part 1 of that Act, the CMA were carrying out an investigation under section 25 of that Act |
| Part 3 of EA 2002 (mergers) | the CMA | exercising its powers under section 109 of EA 2002 as if assisting O’s carrying out of functions which correspond or are similar to the functions of the CMA under Part 3 of that Act were a “ permitted purpose” for the purposes of that section |
| Part 6 of EA 2002 (cartel offence) | the CMA | exercising its powers under sections 193 and 194 of EA 2002 as if, by assisting O’s carrying out of functions which correspond or are similar to the functions of the CMA under Part 6 of that Act, the CMA were carrying out an investigation under section 192 of that Act |
| Schedule 5 to CRA 2015 (investigatory powers) | an enforcer for the purposes of Schedule 5 to CRA 2015 (see paragraph 2 of that Schedule) | exercising the powers under Parts 3 and 4 of Schedule 5 to CRA 2015 in connection with an infringement of the law of, or other requirement imposed in, the country or territory of O which appears to R to make provision corresponding or similar to an enactment or other obligation or rule of law listed inSchedule 15to this Act |
| Part 1 of this Act (digital markets) | the CMA | exercising its powers under any of sections69,71and79as if assisting O’s carrying out of a function which corresponds or is similar to a digital markets function (as defined in section118) were itself a digital markets function |
| Part 1 of this Act (digital markets) | the CMA | exercising its powers under any of sections72,74and75as if, by assisting O’s carrying out of any investigation which corresponds or is similar to a digital markets investigation (as defined in section118), the CMA were carrying out a digital markets investigation |
(3) For the purposes of the exercise by R of the powers under Parts 3 and 4 of Schedule 5 to CRA 2015 by virtue of this Chapter—
(a) paragraphs 13, 19 and 20 of that Schedule are to be ignored;
(b) where a power is exercisable only by an enforcer of a particular description, the power is exercisable by R only if R is an enforcer of that description;
(c) references in Part 4 of that Schedule to the enforcer’s legislation, in relation to a domestic enforcer, are to be read in relation to R as references to the law of, or other requirement imposed in, the country or territory of O mentioned in the entry for that Schedule in the table insubsection (2).
(4) Any reference in an enactment (other than in this Chapter) to the functions of a relevant regulator under a relevant enactment includes a reference to those functions as exercised by virtue of this Chapter.
(5) In this Chapter—
“ cooperation arrangement” means an arrangement or agreement relating in whole or in part to cooperation in matters relating to the subject matter of a relevant enactment;
“ overseas regulator” or “ O” means a person or body in a country or territory outside the United Kingdom which appears to R to exercise functions of a public nature corresponding or similar to functions of R;
“ qualifying cooperation arrangement” means any cooperation arrangement—
to which the United Kingdom and the country or territory of O are parties, and
which provides for the provision of mutual assistance as between the United Kingdom and that country or territory, or as between R and persons or bodies in that country or territory, in relation to matters relating to—
functions of R under a relevant enactment, or
functions of O which correspond or are similar to those functions;
“ relevant enactment” means an enactment listed in the first column of the table insubsection (2);
“ relevant regulator” or “ R” means a regulator listed in the second column of the table insubsection (2).
(1) Subsection (2)makes provision about requests from O for the purposes ofsection 319(1)(a).
(2) A request from O to R for R to assist O must—
(a) be made in writing,
(b) describe the matter in respect of which R’s assistance is requested, and
(c) include details of any penalty or sanction that could be imposed as a result of the carrying out by O of the functions in respect of which R’s assistance is requested.
(1) This subsection makes provision about how R is to consider whether it would be appropriate to assist O for the purposes ofsection 319(1)(b).
(2) In considering whether it would be appropriate to assist O, R must have regard to whether—
(a) R would be able to exercise its powers under the relevant enactment concerned in a corresponding or similar case arising in the United Kingdom;
(b) the United Kingdom and the country or territory of O, or R and O, are parties to a cooperation arrangement;
(c) the matter in respect of which the assistance is requested is sufficiently serious to justify R assisting O.
(3) R may consider that it would not be appropriate to assist O unless O undertakes to make such contribution as R considers appropriate towards the cost of R doing so.
(4) R must consider that it would not be appropriate to assist O where any of subsections(5)to(8)apply.
(5) This subsection applies where R considers that—
(a) a person or body in the country or territory of O (whether or not O) would not provide corresponding or substantially similar assistance to R, unless R considers that there is an overriding public benefit to the United Kingdom in assisting O;
(b) assisting O would be contrary to the public interest.
(6) This subsection applies where—
(a) the matter to which the request relates concerns the investigation of crime or the bringing of criminal proceedings, and
(b) the request is made otherwise than under or in accordance with a qualifying cooperation arrangement.
(7) This subsection applies where R would not be able to disclose, under Part 9 of EA 2002 (information), to O any information obtained by R in the course of assisting O.
(8) This subsection applies where—
(a) the request relates to a matter in respect of which in a corresponding or similar case arising in the United Kingdom R would not be able to exercise its powers under the relevant enactment concerned unless R has reasonable grounds for suspecting that there has, or may have, been a breach of the law (“the relevant UK law”), and
(b) R does not have reasonable grounds for suspecting that there has, or may have, been a breach of the law of the country or territory of O which appears to R to make provision corresponding or similar to the relevant UK law in question.
(9) For the purposes ofsubsection (8)(b), R is to regard as conclusive a certificate issued by O as to whether there has, or may have, been a breach of the law of the country or territory of O.
(1) This section makes provision about how the Secretary of State authorises R to assist O for the purposes ofsection 319(1)(c).
(2) The Secretary of State may authorise R to assist O either—
(a) in relation to one or more specific requests for assistance, or
(b) generally in respect of requests for assistance of a particular description (including in respect of requests from particular overseas regulators).
(3) The Secretary of State may withdraw any general authorisation given undersubsection (2)(b).
(4) The Secretary of State must publish—
(a) any general authorisation given undersubsection (2)(b);
(b) notice of any withdrawal of a general authorisation undersubsection (3).
(5) In considering whether to authorise R to assist O (whether specifically or generally), the Secretary of State must have regard to whether—
(a) O’s request for assistance is made under, or in accordance with, the terms of an arrangement or agreement (other than a qualifying cooperation arrangement) to which the United Kingdom is a party (and, where it is, the Secretary of State must also have regard to the terms of the arrangement or agreement);
(b) it would be more appropriate, in relation to the matter in respect of which R’s assistance is requested, for—
(i) any of R’s powers under the relevant enactment concerned to be exercised solely on behalf of R (and not by virtue of this Chapter), or
(ii) for functions to be exercised by another person or body in the United Kingdom or in a country or territory other than the country or territory of O;
(c) R assisting O would be contrary to the public interest.
(6) In authorising R to assist O, the Secretary of State may impose conditions on R doing so.
(7) The conditions that may be imposed include conditions—
(a) requiring R, before assisting O, to obtain an undertaking from O that any information obtained by R in assisting O will not be used, or will only be used, for specified purposes;
(b) requiring R not to use specified powers that would otherwise be available to R in assisting O;
(c) requiring R to assist O by using specified powers available to R only in a specified manner;
(d) requiring R to assist O only in respect of specified matters.
(8) Insubsection (7), “ specified” means specified in a condition imposed by the Secretary of State undersubsection (6).
(1) R must notify the Secretary of State that R has received a request for assistance from O where—
(a) R considers that it would be appropriate for R to assist O, and
(b) the Secretary of State has not given R a general authorisation to provide O with the assistance requested (seesection 322(2)(b)).
(2) Butsubsection (1)does not apply where O’s request is made under or in accordance with a qualifying cooperation arrangement.
(3) R must notify O as to whether R will be providing the assistance requested and, where relevant, of any conditions imposed on that assistance (seesection 322(6)).
(1) The CMA must prepare and publish guidance about—
(a) the making and consideration of requests for assistance under this Chapter, and
(b) the provision of assistance under this Chapter.
(2) The CMA may at any time prepare and publish revised or new guidance.
(3) No guidance is to be published under this section without the approval of the Secretary of State.
(4) In preparing guidance under this section the CMA must consult such persons as it considers appropriate.
(5) A relevant regulator must have regard to the guidance for the time being in force when it is exercising functions under or in connection this Chapter.
Schedule 28makes amendments to other legislation in connection with the provision made by this Chapter.
(1) Part 9 of EA 2002 (information) is amended as follows.
(2) For section 243 (overseas disclosures) substitute—
(1) A public authority which holds information to which section 237 applies (“the discloser”) may disclose that information to an overseas public authority for the purpose of facilitating both—
(a) the exercise by the discloser of any function it has under or by virtue of this Act or any other enactment, and
(b) the exercise by the overseas public authority of any function which it has relating to—
(i) carrying out investigations in connection with the enforcement of any relevant law by means of civil proceedings;
(ii) bringing civil proceedings for the enforcement of such law or the conduct of such proceedings;
(iii) the investigation of crime;
(iv) bringing criminal proceedings or the conduct of such proceedings;
(v) deciding whether to start or bring to an end such investigations or proceedings.
(2) Subsection (1) does not apply to any of the following—
(a) information which is held by a person who is a private designated enforcer for the purposes of Chapter 3 of Part 3 of the Digital Markets, Competition and Consumers Act 2024 (see section 151 of that Act);
(b) information which comes to a public authority in connection with an investigation under Part 4 or section 174 of this Act;
(c) information which comes to a public authority in connection with an investigation under section 11 of the Competition Act 1980;
(d) legacy information within the meaning of subsection (5) .
(3) In subsection (1) (a) , the reference to an enactment includes a reference to an enactment contained in—
(a) an Act of the Scottish Parliament;
(b) Northern Ireland legislation;
(c) subordinate legislation.
(4) In subsection (1) (b) (i) , “ relevant law ” means—
(a) this Act, any enactment specified in Schedule 14 and such subordinate legislation as is specified by order for the purposes of section 238(1);
(b) any enactment, obligation or rule of law specified in Schedule 15 to the Digital Markets, Competition and Consumers Act 2024 (consumer protection enactments);
(c) any legislation, or any obligation or rule of law in a country or territory outside the United Kingdom which appears to the discloser to make provision corresponding or similar to anything within paragraphs (a) and (b) .
(5) In subsection (2) (d) , “ legacy information ” means information which—
(a) comes to a public authority in connection with the exercise of its functions under or by virtue of paragraphs 15 to 18 of Schedule 24 relating to investigations under Parts 4 or 6 of the 1973 Act;
(b) came to a public authority—
(i) before the coming into force of this section, and
(ii) in connection with the exercise of its functions under or by virtue of paragraphs 15 to 18 of Schedule 24 relating to investigations under Part 5 of the 1973 Act;
(c) came to a public authority—
(i) before 1 July 2021, and
(ii) in connection with an investigation under Part 3 of the Enterprise Act 2002.
(1) A public authority which holds information to which section 237 applies (“the discloser”) may disclose that information to an overseas public authority for the purpose mentioned in section 243A (1) (b) .
(2) Subsection (2) of section 243A applies for the purposes of subsection (1) of this section as it applies for the purposes of subsection (1) of that section .
(1) A public authority which holds information to which section 237 applies (“the discloser”) may disclose that information to an overseas public authority for a purpose permitted under or by virtue of a designated cooperation arrangement.
(2) “ Designated cooperation arrangement ” means an arrangement or agreement that meets all of Conditions A to D.
(3) Condition A is that the arrangement or agreement is between—
(a) a public authority and an overseas public authority, or
(b) the United Kingdom and a country or territory.
(4) Condition B is that the arrangement or agreement relates to cooperation between—
(a) the public authority and the overseas public authority, or
(b) public authorities in the United Kingdom and persons or bodies in that country or territory,
for the purposes of facilitating the exercise of functions related to anything mentioned in sub-paragraphs (i) to (v) of section 243A (1) (b) .
(5) Condition C is that the arrangement or agreement provides for—
(a) the overseas public authority and the public authority, or
(b) a person or body in that country or territory and public authorities in the United Kingdom,
to provide corresponding or substantially similar assistance to each other for the purposes of facilitating the exercise of functions related to anything mentioned in sub-paragraphs (i) to (v) of section 243A (1) (b) .
(6) Condition D is that the arrangement or agreement is designated in regulations made by the Secretary of State.
(7) Before designating an arrangement or agreement in regulations under subsection (6) , the Secretary of State must have regard in particular to whether the arrangement or agreement contains provision restricting or preventing—
(a) the use for another purpose of information disclosed for a purpose permitted under or by virtue of the arrangement or agreement;
(b) the further disclosure of such information.
(8) The Secretary of State may not designate an arrangement or agreement in regulations under subsection (6) unless the Secretary of State is satisfied that—
(a) the law and practice of the country or territory, or the country or territory of the overseas public authority, with whom the arrangement or agreement is with provides appropriate protection against self-incrimination in criminal proceedings, and
(b) the law and practice of that country or territory provides appropriate protection in relation to the storage and disclosure of confidential information.
(9) For the purposes of subsection (8) , protection is appropriate if it provides protection in relation to the matter in question which corresponds or is substantially similar to that so provided in any part of the United Kingdom.
(10) Regulations under subsection (6) are to be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.
(1) Subsections (2) and (3) apply to information disclosed by virtue of section 243A to the extent that the disclosure was to facilitate the exercise by the discloser of any function it has under or by virtue of this Act or any other enactment (“the original function”) in relation to a particular matter (“the original matter”).
(2) The information must not be used by the overseas public authority other than for facilitating the exercise by the discloser of the original function in relation to the original matter unless—
(a) the use is for the purpose of facilitating the exercise by the discloser of any function it has under this Act or any other enactment (other than the original function) whether or not in relation to the original matter, and
(b) the discloser consents to the use of that information for that purpose.
(3) The information must not be further disclosed by the overseas public authority unless—
(a) the further disclosure is for the purpose of facilitating the exercise by the discloser of any function it has under this Act or any other enactment (whether or not the original function) whether or not in relation to the original matter, and
(b) the discloser consents to the further disclosure of the information for that purpose.
(4) Subsections (5) and (6) apply to information disclosed by virtue of section 243A or 243B to the extent that the disclosure was to facilitate the exercise of functions of an overseas public authority relating to anything mentioned in sub-paragraphs (i) to (v) of section 243A (1) (b) (“the original function”) in relation to a particular matter (“the original matter”).
(5) The information must not be used by the overseas public authority other than for facilitating the exercise by the authority of the original function in relation to the original matter unless—
(a) the use is for the purpose of facilitating the exercise of a function which the authority has relating to anything mentioned in sub-paragraphs (i) to (v) of section 243A (1) (b) (other than the original function) whether or not in relation to the original matter, and
(b) the discloser consents to the use of that information for that purpose.
(6) The information must not be further disclosed by the overseas public authority unless—
(a) the further disclosure is for the purpose of facilitating the exercise of any of its functions relating to anything mentioned in sub-paragraphs (i) to (v) of subsection (1) (b) of section 243A (whether or not the original function) whether or not in relation to the original matter, and
(b) the discloser consents to the further disclosure of the information for that purpose.
(7) In deciding whether to consent to the use or further disclosure of information for the purposes of subsection (2) (b) , (3) (b) , (5) (b) or (6) (b) , the discloser must have regard to the considerations in section 243F to which it would be required to have regard if it were deciding to disclose the information under 243A or 243B .
(8) Nothing in this section prevents information being used, or further disclosed, by the overseas public authority if that use, or further disclosure, is required under the law of the country or territory of the authority.
(1) The Secretary of State may direct that a disclosure permitted under section 243A or 243B must not be made if the Secretary of State thinks that, in connection with any matter in respect of which the disclosure could be made, it is more appropriate—
(a) if any investigation is to be carried out, that it is carried out by an authority in the United Kingdom or in another specified country or territory (rather than by the overseas public authority);
(b) if any proceedings are to be brought, that they are brought in a court in the United Kingdom or in another specified country or territory (rather than in the country or territory of the overseas authority).
(2) In subsection (1) , “ specified ” means specified in the direction.
(3) The Secretary of State must take such steps as the Secretary of State thinks are appropriate to bring a direction under subsection (1) to the attention of persons likely to be affected by it.
(1) This section applies when a public authority is deciding whether to make a disclosure under section 243A or 243B .
(2) In deciding whether to make a disclosure under section 243A , the public authority must have regard in particular to the following considerations—
(a) whether the law and practice of the country or territory to whose authority the disclosure would be made provides appropriate protection against self-incrimination in criminal proceedings;
(b) whether the law and practice of that country or territory provides appropriate protection in relation to the storage and disclosure of confidential information.
(3) In deciding whether to make a disclosure under section 243B , the public authority must have regard in particular to the considerations in subsection (2) and the following additional considerations—
(a) whether the matter in respect of which the disclosure is sought is sufficiently serious to justify making the disclosure;
(b) whether the disclosure would further the aims or purposes of any convention or treaty relating in whole or in part to cooperation in matters relating to competition or consumer protection to which the United Kingdom and the country or territory of the authority to whom the disclosure would be made are parties;
(c) whether there are arrangements in place for the provision of mutual assistance as between the United Kingdom and that country or territory to whose authority the disclosure would be made in relation to the disclosure of information of the kind to which section 237 applies;
(d) whether a person or body in that country or territory would assist the public authority in a way that corresponds or is substantially similar to the assistance that it is proposed the public authority give to the overseas public authority by making the disclosure.
(4) For the purposes of this section, protection is appropriate if it provides protection in relation to the matter in question which corresponds or is substantially similar to that so provided in any part of the United Kingdom.
(5) The Secretary of State may by regulations amend subsections (2) and (3) so as to—
(a) alter any consideration for the time being included in those subsections;
(b) add further considerations;
(c) remove any considerations.
(6) Regulations under subsection (5) are to be made by statutory instrument and are subject to annulment in pursuance of a resolution of either House of Parliament. ”
(3) In section 244 (specified information: considerations relevant to disclosure)—
(a) in subsection (2), for “information whose disclosure the authority thinks is contrary to the public interest” substitute “sensitive information”;
(b) in subsection (3), for the words after “(so far as practicable)” to the end of paragraph (b) substitute “any commercial information or private information”.
(4) In section 245 (offences) in subsection (2), for “243(4)” substitute “243E”.
(5) For section 246 substitute—
In this Part—
“ commercial information ” means information relating to any business of an undertaking whose disclosure the public authority concerned or, for the purposes of section 243C the Secretary of State, thinks might significantly harm the undertaking’s legitimate business interests;
“ confidential information ” means commercial information, private information or sensitive information;
“ overseas public authority ” means a person or body in any country or territory outside the United Kingdom which appears to the discloser (within the meaning of any of sections 243A to 243C ) to exercise functions of a public nature in relation to anything mentioned in sub-paragraphs (i) to (v) of section 243A (1) (b) ;
“ private information ” mean information relating to the private affairs of an individual whose disclosure the public authority concerned, or for the purposes of section 243C the Secretary of State, thinks might significantly harm the individual’s interests;
“ sensitive information ” means information whose disclosure the public authority concerned or, for the purposes of section 243C the Secretary of State, thinks would be contrary to the public interest;
“ subordinate legislation ” has the same meaning as in section 21(1) of the Interpretation Act 1978 and includes an instrument made under—
an Act of the Scottish Parliament;
Northern Ireland legislation. ”
(6) In section 59 of the Companies (Audit, Investigations and Community Enterprises) Act 2004 (information), in subsection (6)—
(a) for “section 243(6)” substitute “section 243F(2)and(3)”;
(b) for “(overseas disclosures)” substitute “(relevant considerations relating to overseas disclosures)”.
(1) In section 25 of ERRA 2013 (the Competition and Markets Authority), after subsection (4) insert—
“(5) In making any decision, or otherwise taking action, for the purposes of any of its functions within Schedule 4A the CMA must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
(2) After Schedule 4 to ERRA 2013 insert—
Section 25
1 The following functions are functions within this Schedule for the purposes of section 25 (5) .
2 Functions under Part 3 of the 2002 Act (mergers) other than functions under—
(a) section 94B (statement of policy about functions under sections 94 and 94AA);
(b) section 106 (advice and information about references under section 22 or 33);
(c) section 116 (statement of policy about penalties).
3 Functions under Part 4 of the 2002 Act (market studies and market investigations) other than functions under—
(a) section 166 (register of undertakings and orders);
(b) section 167C (statement of policy about functions under sections 167 and 167A);
(c) section 171 (advice and information about market investigation references);
(d) section 174E (statement of policy about penalties).
4 Functions under Part 6 of the 2002 Act (the cartel offence) other than functions under section 190A (cartel offence: prosecution guidance).
5 Functions under Part 1 of the 1998 Act (competition) other than functions under—
(a) section 31D (guidance about the acceptance of commitments under section 31A);
(b) section 35C (statement of policy about penalties under sections 31E, 34 and 35A);
(c) section 38 (the appropriate level of a penalty);
(d) section 40B (statement of policy about penalties under section 40A);
(e) section 51 (CMA rules);
(f) section 52 (advice and information about the Chapter 1 and 2 prohibitions);
(g) section 54 (functions of sectoral regulators).
6 Functions under sections 32 to 35 of the Water Industry Act 1991 (protection of consumers: competition provisions).
7 Functions under Part 3 of the Digital Markets, Competition and Consumers Act 2024 (enforcement powers for infringements of consumer protection law) other than functions under—
(a) section 199 (statement of policy about penalties);
(b) sections 210 and 211 (rules about direct enforcement functions);
(c) section 212 (guidance about direct enforcement functions).
8 Functions under Chapter 1 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 (protection from unfair trading).
9 (1) Functions under Schedule 3 to the Consumer Rights Act 2015 (enforcement of law on unfair contract terms and notices) other than functions under paragraph 7(2) to (5) of that Schedule (provision of information and advice).
(2) Functions under Schedule 5 to the Consumer Rights Act 2015 (investigatory powers) other than functions under paragraph 16F of that Schedule (statement of policy about penalties).
10 Functions under the Business Protection from Misleading Marketing Regulations 2008 ( S.I. 1276/2008 ) other than functions under regulation 20(2) of those Regulations (provision of information and advice).
11 Functions under Part 1 of the Digital Markets, Competition and Consumers Act 2024 (digital markets) other than functions under—
(a) section 60 (content of report under section 57 etc);
(b) section 67 (regulations about duty to notify);
(c) section 91 (statement of policy on penalties);
(d) section 114 (guidance about functions under Part 1). ”
(3) In consequence of the amendments made by subsections(1)and(2)—
(a) in section 103 of EA 2002 (duty of expedition in relation to references)—
(i) in the heading, at the end insert “under section 45 or 62”;
(ii) omit subsection (1);
(b) in the Water Mergers (Modification of Enactments) Regulations 2004 ( S.I. 2004/3202) omit Article 25A (modification of section 103 of EA 2002).
(4) Schedule 29makes provision imposing a duty of expedition on sectoral regulators in respect of their competition functions that are exercisable concurrently with the CMA.
(1) In Chapter 2 of Part 2 of the Serious Organised Crime and Police Act 2005 (offenders assisting investigations and prosecutions), section 71 (assistance by offender: immunity from prosecution) is amended as follows.
(2) In subsection (4), after paragraph (dab) insert—
“(dac) the Competition and Markets Authority; ”.
(3) In subsection (6A), in the words before paragraph (a), after “the Bank of England,” insert “the Competition and Markets Authority”.
(4) After subsection (7) insert—
“(8) The Competition and Markets Authority, or a person designated by the Competition and Markets Authority under subsection (4)(e), may not give an immunity notice (but has the other powers available to specified prosecutors). ”
In Schedule 2 to EA 2002 (the Competition Appeal Tribunal), in paragraph 2 (tenure etc) omit sub-paragraph (2).
In this Act—
“ CA 1998” means the Competition Act 1998;
“ CRA 2015” means the Consumer Rights Act 2015;
“ EA 2002” means the Enterprise Act 2002;
“ ERRA 2013” means the Enterprise and Regulatory Reform Act 2013;
“ the CMA” means the Competition and Markets Authority;
“ the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act);
“ digital content” means data which is produced and supplied in digital form;
“ enactment” means an enactment whenever passed or made and includes—
an enactment contained in any Order in Council, order, rules, regulations, scheme, warrant, byelaw or other instrument made under an Act,
an enactment contained in, or in an instrument made under, an Act of the Scottish Parliament,
an enactment contained in, or in an instrument made under, a Measure or Act of Senedd Cymru,
an enactment contained in, or in an instrument made under, Northern Ireland legislation, and
any assimilated direct legislation;
“ firm” means any entity, whether or not a legal person, that is not an individual and includes a body corporate, a corporation sole and a partnership or other unincorporated association;
“ United Kingdom national” means—
a British citizen, a British overseas territories citizen, a British National (Overseas) or a British Overseas citizen;
a person who is a British subject under the British Nationality Act 1981;
a British protected person within the meaning of that Act;
“ working day” means any day other than—
a Saturday or Sunday, or
a day that is a bank holiday in any part of the United Kingdom under the Banking and Financial Dealings Act 1971.
(1) This section applies to a duty or power to process information that is imposed or conferred by or under any provision of this Act.
(2) A duty or power to which this section applies does not require or authorise the processing of information which would contravene the data protection legislation (but the duty or power is to be taken into account in determining whether the processing would contravene that legislation).
(1) This sectionapplies in relation to a notice given to a person—
(a) under this Act by the CMA, or
(b) underPart 3by another enforcer (within the meaning of that Part).
(2) The notice may be given by—
(a) delivering it to the person,
(b) leaving it at the person’s proper address,
(c) sending it by post to the person at that address, or
(d) sending it to the person by email to their email address.
(3) A notice to a body corporate may be given in accordance with subsection(2)to any officer of that body.
(4) A notice to a partnership may be given in accordance with subsection(2)to any partner or a person who has the control or management of the partnership business.
(5) A notice to a firm that is not a body corporate or a partnership may be given in accordance with subsection(2)to any member of the governing body of the firm.
(6) A person’s proper address is—
(a) in a case where the person has specified an address as one at which the person, or someone acting on the person’s behalf, will accept service of notices or other documents, that address;
(b) in any other case, the address determined in accordance withsubsection (7).
(7) A person’s proper address is (ifsubsection (6)(a)does not apply)—
(a) in the case of a body corporate, its registered or principal office;
(b) in the case of a partnership, the principal office of the partnership;
(c) in the case of a firm that is not a body corporate or a partnership, the principal office of the firm;
(d) in a case where none ofparagraphs (a)to(c)apply, any address at which the CMA or other enforcer giving the notice believes, on reasonable grounds, that the notice will come to the attention of the person.
(8) A person’s email address is—
(a) any email address published for the time being by that person as an address for contacting that person, or
(b) if there is no such published address, any email address by means of which the CMA or other enforcer believes, on reasonable grounds, that the notice will come to the attention of that person.
(9) In the case of—
(a) a body corporate registered outside the United Kingdom,
(b) a partnership carrying on business outside the United Kingdom, or
(c) any other type of firm with offices outside the United Kingdom,
references to its principal office include references to its principal office in the United Kingdom or, if it has no principal office in the United Kingdom, any place in the United Kingdom where it carries on business or conducts activities.
(10) Inthis section“ officer”, in relation to any body corporate, means a director, manager, secretary or other similar officer of the body.
(11) This sectiondoes not limit any other lawful means of giving notice.
A duty to consult under or by virtue of this Act may be satisfied by consultation that took place wholly or partly before the passing of this Act.
There is to be paid out of money provided by Parliament—
(a) any expenses incurred by the Secretary of State or the CMA under or by virtue of this Act, and
(b) any increase attributable to this Act in the sums payable under any other Act out of money so provided.
Schedule 30contains minor and consequential amendments.
(1) The appropriate authority may by regulations make provision that is consequential on this Act or on any provision made under it.
(2) The power to make regulations under this section includes power to amend, repeal or revoke provision made by an enactment passed or made before the end of the Session in which this Act is passed.
(3) Regulations under this section are subject to the affirmative procedure if they amend, repeal or revoke any provision of primary legislation.
(4) Regulations under this section to whichsubsection (3)does not apply are subject to the negative procedure.
(5) In this section—
“ appropriate authority” means—
in the case of regulations under this section that contain amendments only in relation to tax, the Treasury;
in any other case, the Secretary of State;
“ primary legislation” means—
an Act of Parliament (including this Act);
an Act of the Scottish Parliament;
a Measure or Act of Senedd Cymru;
Northern Ireland legislation.
(1) A power to make regulations under any provision of this Act includes power to make—
(a) consequential, supplementary, incidental, transitional or saving provision;
(b) different provision for different purposes.
(2) Regulations under this Act are to be made by statutory instrument.
(3) Where regulations under this Act are subject to “the affirmative procedure”, the regulations may not be made unless a draft of the statutory instrument containing them has been laid before, and approved by a resolution of, each House of Parliament.
(4) Where regulations under this Act are subject to “the negative procedure”, the statutory instrument containing them is subject to annulment in pursuance of a resolution of either House of Parliament.
(5) In the case of regulations under section336made by the Treasury, the references in subsections (3) and (4) to each or either House of Parliament are to be read as references to the House of Commons only.
(6) Any provision that may be made by regulations under this Act subject to the negative procedure may be made in regulations subject to the affirmative procedure.
(7) This section does not apply to regulations undersection 339.
(1) Subject to subsection (2), this Act extends to England and Wales, Scotland and Northern Ireland.
(2) Any amendment, repeal or revocation made by this Act has the same extent as the provision amended, repealed or revoked.
(1) Except as provided by subsections(2)and(3), this Act comes into force on such day as the Secretary of State may by regulations appoint.
(2) The following provisions come into force on the day on which this Act is passed—
(a) section 130(andSchedule 7);
(b) this Part, other thansection 335(andSchedule 30);
(c) any other provision of this Act so far as it confers power to make regulations or is otherwise necessary for enabling the exercise of such a power on or after the day on which this Act is passed.
(3) Section 129(andSchedule 6) come into force at the end of the period of two months beginning with the day on which this Act is passed.
(4) Different days may be appointed undersubsection (1)for different purposes.
(5) The Secretary of State may by regulations make transitional or saving provision in connection with the coming into force of any provision of this Act.
(6) The power to make regulations under subsection(5)includes power to make different provision for different purposes.
(7) Regulations under this section are to be made by statutory instrument.
This Act may be cited as the Digital Markets, Competition and Consumers Act 2024.
Section 36
1 This Schedule applies for the purposes of Chapters3and4in relation to—
(a) accepting a commitment,
(b) accepting a variation of a commitment (a “requested variation”), or
(c) releasing an undertaking from the requirement to comply with a commitment.
2 (1) Before accepting a commitment or a requested variation the CMA must—
(a) publish a notice under this paragraph, and
(b) consider any representations made in accordance with the notice and not withdrawn.
(2) The notice must include—
(a) the commitment or requested variation that the CMA proposes to accept,
(b) the conduct requirement or, as the case may be, actual or suspected adverse effect on competition to which the commitment or variation relates,
(c) the CMA’s reasons for its proposed decision, and
(d) the period within which representations may be made in relation to the proposed commitment or requested variation.
3 (1) Before accepting a modification of a commitment or requested variation, of which notice has been given under paragraph2(1), the CMA must—
(a) publish a notice under this paragraph, and
(b) consider any representations made in accordance with the notice and not withdrawn.
(2) The notice must include—
(a) the proposed modifications,
(b) the reasons for them, and
(c) the period within which representations may be made in relation to them.
4 The CMA must publish notice of its decision on whether to, and the form in which it will, accept a commitment or a requested variation as soon as reasonably practicable.
5 The requirements of paragraphs2and3do not apply in relation to a proposed modification which the CMA does not consider material.
6 (1) Before releasing an undertaking from a commitment the CMA must—
(a) publish a notice under this paragraph, and
(b) consider any representations made in accordance with the notice and not withdrawn.
(2) The notice must include—
(a) that the CMA proposes to release the undertaking from the commitment,
(b) the reasons for the CMA’s proposal, and
(c) the period within which representations may be made in relation to the proposal.
7 The CMA must publish a notice of its decision on whether to release an undertaking from a commitment as soon as reasonably practicable.
Section 58
1 If two or more persons each hold an interest or right jointly, each of them is treated as holding that interest or right.
2 (1) If interests or rights held by a person and interests or rights held by another person are the subject of a joint arrangement between those persons, each of them is treated as holding the combined interests or rights of both of them.
(2) A “joint arrangement” is an arrangement between the holders of interests or rights that they will exercise all or substantially all the rights conferred by their respective interests, or their respective rights, jointly in a way that is pre-determined by the arrangement.
3 An interest held by a person as nominee for another is to be treated as held by the other (and not by the nominee).
4 (1) Where a person controls a right, the right is to be treated as held by that person (and not by the person who in fact holds the right, unless that person also controls it).
(2) A person “controls” a right if, by virtue of any arrangement between that person and others, the right is exercisable only—
(a) by that person,
(b) in accordance with that person’s directions or instructions, or
(c) with that person’s consent or concurrence.
5 (1) Rights that are exercisable by a person only in certain circumstances are to be treated as held by the person only—
(a) when the circumstances have arisen, and for so long as they continue to obtain, or
(b) when the circumstances are within the control of the person.
(2) But rights that are exercisable by an administrator or by creditors while an entity is in relevant insolvency proceedings are not to be regarded as held by the administrator or creditors even while the entity is in those proceedings.
(3) “ Relevant insolvency proceedings” means—
(a) administration within the meaning of the Insolvency Act 1986,
(b) administration within the meaning of the Insolvency (Northern Ireland) Order 1989 ( S.I. 1989/2405 (N.I. 19)), or
(c) proceedings under the insolvency law of another country or territory during which an entity’s assets and affairs are subject to the control or supervision of a third party or creditor.
(4) Rights that are normally exercisable but are temporarily incapable of exercise are not for that reason to be treated as not being held.
6 Rights attached to shares held by way of security provided by a person are to be treated as held by that person—
(a) where apart from the right to exercise them for the purpose of preserving the value of the security, or of realising it, the rights are exercisable only in accordance with that person’s instructions, and
(b) where the shares are held in connection with the granting of loans as part of normal business activities and apart from the right to exercise them for the purpose of preserving the value of the security, or of realising it, the rights are exercisable only in that person’s interests.
7 (1) In this Schedule “ arrangement” includes—
(a) any scheme, agreement or understanding, whether or not it is legally enforceable, and
(b) any convention, custom or practice of any kind.
(2) But something does not count as an arrangement unless there is at least some degree of stability about it (whether by its nature or terms, the time it has been in existence or otherwise).
Section 125
1 Chapter 4 of Part 1 of CA 1998 (appeals before the Competition Appeal Tribunal etc) is amended as follows.
2 In the italic heading before section 47A, after “damage” insert “, or for declaratory relief”.
3 In section 47A (proceedings before the Tribunal: claims for damages etc), after subsection (3) insert—
“(3A) This section also applies to a claim for a declaration or, in relation to Scotland, for a declarator which a person may make in respect of an infringement decision or an alleged infringement of the Chapter 1 prohibition or the Chapter 2 prohibition. ”
4 After section 47D insert—
(1) A declaration granted by the Tribunal in proceedings under section 47A or collective proceedings has the same effect as a declaration granted by the High Court.
(2) A declarator granted by the Tribunal in proceedings under section 47A or collective proceedings has the same effect as a declarator granted by the Court of Session.
(3) In deciding whether to grant a declaration in proceedings under section 47A or collective proceedings, the Tribunal must apply the principles that the High Court would apply in deciding whether to grant a declaration.
(4) In deciding whether to grant a declarator in proceedings under section 47A or collective proceedings, the Tribunal must apply the principles that the Court of Session would apply in deciding whether to grant a declarator.
(5) The Tribunal may grant a declaration or declarator in proceedings under section 47A or collective proceedings whether or not any other remedy is claimed. ”
5 In the italic heading before section 47F, after “damage” insert “, or for declaratory relief,”.
6 (1) Section 47F (further provision about claims in respect of loss or damage before a court or the Tribunal) is amended as follows.
(2) In the heading, after “damage” insert “, or for declaratory relief,”.
(3) In the text, after “damage” insert “, or for declarations or declarators,”.
7 (1) In section 49 (further appeals from the Tribunal), subsection (1A) is amended as follows.
(2) Omit the “or” at the end of paragraph (a).
(3) After paragraph (b) insert “, or
(c) as to the grant of a declaration or a declarator. ”
8 (1) Schedule 8A (further provision about claims in respect of loss or damage before a court or the Tribunal) is amended as follows.
(2) In the heading, after “damage” insert “, or for declaratory relief,”.
(3) In paragraph 2 (competition law etc), for sub-paragraph (2) substitute—
“(2) “ Competition claim ” means—
(a) a claim in respect of loss or damage arising from an infringement of competition law (whatever the legal basis of the claim) which is made by or on behalf of—
(i) the person who suffered the loss or damage, or
(ii) a person who has acquired that person’s right to make the claim (whether by operation of law or otherwise), or
(b) a claim for a declaration or a declarator in respect of an infringement of competition law. ”
(4) In paragraph 9 (burden of proof where an overcharge is passed on to an indirect purchaser), for sub-paragraph (1) substitute—
“(1) Sub-paragraph (2) applies where there is an overcharge as a result of an infringement of competition law and—
(a) a competition claim within paragraph 2 (2) (a) is made in respect of loss or damage which—
(i) arises, directly or indirectly, from the overcharge, and
(ii) was suffered by a person who acquired a product or service indirectly from the infringer (“the injured person”), or
(b) a competition claim within paragraph 2 (2) (b) is made in respect of the overcharge. ”
(5) In paragraph 10 (burden of proof where an underpayment is passed on to an indirect provider), for sub-paragraph (1) substitute—
“(1) Sub-paragraph (2) applies where there is an underpayment as a result of an infringement of competition law and—
(a) a competition claim within paragraph 2 (2) (a) is made in respect of loss or damage which—
(i) arises, directly or indirectly, from the underpayment, and
(ii) was suffered by a person who provided a product or service indirectly to the infringer (“the injured person”), or
(b) a competition claim within paragraph 2 (2) (b) is made in respect of the underpayment. ”
(6) In paragraph 11 (burden of proof where an overcharge or underpayment is passed on by the claimant)—
(a) in sub-paragraph (1), in paragraph (b) omit “loss or damage which arises, directly or indirectly, from”;
(b) in sub-paragraph (3), for “the person who suffered the loss or damage” substitute “a person who suffered loss or damage arising directly or indirectly from the overcharge or underpayment”.
(7) In paragraph 17 (time limits for bringing competition proceedings), in sub-paragraph (2), in paragraph (b), for “the”, in the first place it occurs, substitute “any”.
(8) In paragraph 19 (beginning of limitation or prescriptive period), after sub-paragraph (6) insert—
“(6A) This paragraph applies in respect of a competition claim within paragraph 2 (2) (b) as if—
(a) in sub-paragraph (2), paragraph (c) (but not the “, and” at the end of it) were omitted;
(b) in sub-paragraph (3), paragraph (b) (and the “and” before it) were omitted;
(c) sub-paragraph (4) were omitted. ”
(9) In paragraph 21 (suspension during investigation by competition authority), in sub-paragraph (1) omit “in respect of loss or damage”.
(10) In paragraph 24 (suspension of prescriptive period during period of disability: Scotland)—
(a) in sub-paragraphs (1) and (2) for “injured person” substitute “relevant person”;
(b) for sub-paragraph (4) substitute—
“(4) In this paragraph, “ relevant person ” means—
(a) in relation to a competition claim within paragraph 2 (2) (a) , a person who suffered the loss or damages that is the subject of the claim;
(b) in relation to a competition claim within paragraph 2 (2) (b) , the pursuer. ”
(11) In paragraph 42 (application of Schedule 8A), in sub-paragraph (1), for the words from “the claims and proceedings relate” to the end substitute “—
(a) in respect of competition claims within paragraph 2 (2) (a) , the claim and proceedings relate to loss or damage suffered on or after 8 March 2017 as a result of an infringement of competition law that takes place on or after that date;
(b) in respect of competition claims within paragraph 2 (2) (b) , the claim and proceedings relate to an infringement of competition law that takes place on or after 8 March 2017. ”
(12) In paragraph 43 (application of Schedule 8A), in the words before paragraph (a), for “the relevant day” substitute “8 March 2017”.
(13) Omit paragraph 44 (definition of “relevant day”).
9 In Schedule 4 to EA 2002 (Competition Appeal Tribunal: procedure), after paragraph 21A insert—
21B Tribunal rules may make provision in relation to the grant of declarations or declarators (including interim declarations or interim declarators) in proceedings under section 47A or 47B of the 1998 Act. ”
Section 127
1 Chapter 1 of Part 3 of EA 2002 (mergers: duty to make references) is amended as follows.
2 (1) Section 23 (relevant merger situations) is amended as follows.
(2) In subsection (1), in paragraph (b), for “£70 million” substitute “£100 million”.
(3) In subsection (2)—
(a) omit the “and” at the end of paragraph (a);
(b) at the end insert “; and
(c) the value of the turnover in the United Kingdom of—
(i) the enterprise being taken over, or
(ii) any other enterprise concerned,
exceeds £10 million. ”
(4) Before subsection (3) insert—
“(2B) For the purposes of subsection (2) (c) (ii) , any turnover of any other enterprise concerned that is also turnover of the enterprise being taken over is to be ignored. ”
(5) Before subsection (5) insert—
“(4C) For the purposes of this Part, a relevant merger situation has also been created if—
(a) two or more enterprises have ceased to be distinct enterprises at a time or in circumstances falling within section 24; and
(b) each of the conditions mentioned in subsections (4D) to (4F) is satisfied.
(4D) The condition mentioned in this subsection is that, were it not for the enterprises concerned ceasing to be distinct enterprises, in relation to the supply of goods or services of any description, at least 33 per cent of all the goods or (as the case may be) services of that description which are supplied in the United Kingdom, or in a substantial part of the United Kingdom, would be supplied—
(a) by the person or persons by whom one of the enterprises concerned (“ E ”) would be carried on, or
(b) to that person or those persons,
in connection with E or any other enterprise concerned with which E is under common ownership or common control.
(4E) The condition mentioned in this subsection is that the total value of the turnover in the United Kingdom of E exceeds £350 million.
(4F) The condition mentioned in this subsection is that, were it not for the enterprises concerned ceasing to be distinct enterprises, an enterprise within subsection (4G) would satisfy one or more of the following additional conditions—
(a) the enterprise would be carried on by a body of persons corporate or unincorporate formed or recognised under the law of any part of the United Kingdom;
(b) the activities, or part of the activities, of the enterprise would be carried on in the United Kingdom;
(c) the person, or persons, by whom the enterprise would be carried on supply goods or services to a person or persons in the United Kingdom in connection with the enterprise.
(4G) The following enterprises are within this subsection—
(a) any enterprise concerned other than—
(i) E, or
(ii) any other enterprise with which E is under common ownership or common control;
(b) any enterprise concerned that, as a result of the enterprises concerned ceasing to be distinct enterprises, a person or group of persons may be treated as having brought under their control by virtue of section 26(4). ”
(6) In subsection (5), after “(4)” insert “, or of 33 per cent mentioned insubsection (4D),”.
(7) In subsection (6), for “and (4)” substitute “, (4),(4D)and(4F)(c)”.
3 (1) Section 28 (turnover test) is amended as follows.
(2) In subsection (5)—
(a) in paragraph (a)—
(i) for “sum” substitute “sums”;
(ii) after “section 23(1)(b)” insert “, (2)(c) and(4E)”;
(b) in paragraph (b), for “sum is” substitute “sums are”.
(3) In subsection (6)—
(a) after “section 23(1)(b)” insert “, (2)(c) or(4E)”;
(b) for “the sum” substitute “any of the sums”.
4 In Chapter 2 of Part 3 of EA 2002 (mergers: public interest cases), in section 58A (construction of consideration specified in section 58(2C)), in subsection (1), for “section 58 and this section” substitute “this Part”.
5 Chapter 3 of Part 3 of EA 2002 (mergers: other special cases) is amended as follows.
6 (1) Section 59 (intervention by Secretary of State in special public interest cases) is amended as follows.
(2) For subsections (3) and (3A) substitute—
“(3) For the purposes of this Part, a special merger situation has been created if—
(a) two or more enterprises have ceased to be distinct enterprises at a time or in circumstances falling within section 24;
(b) no relevant merger situation has been created; and
(c) immediately before the enterprises concerned ceased to be distinct, one or more of the conditions mentioned in subsections (3C) to (3F) were satisfied. ”
(3) After subsection (3D) insert—
“(3E) The condition mentioned in this subsection is that a relevant merger situation would have been created if, in subsection (1) of section 23—
(a) the “and” at the end of paragraph (a) were omitted;
(b) for paragraph (b) there were substituted—
“(b) one of the enterprises concerned is a media enterprise or a newspaper enterprise; and ” ;
(c) after that paragraph there were inserted—
“(c) the value of the turnover in the United Kingdom of the enterprise being taken over exceeds £70 million. ”
(3F) The condition mentioned in this subsection is that a relevant merger situation would have been created if, for section 23(2)(c), there were substituted—
“(c) one of the enterprises concerned is a media enterprise or a newspaper enterprise. ” ”
(4) In subsection (5), after “deciding” insert “whether two or more enterprises have ceased to be distinct at a time or in circumstances falling within section 24,”
(5) In subsection (6A), for the words from “amend” to the end substitute “—
(a) substitute a new sum for the sum for the time being mentioned in subsection (3E) (c) ;
(b) amend the conditions mentioned in subsections (3C), (3D), (3E) (b) and (3F) . ”
7 (1) Schedule 5A (energy network mergers affecting comparative regulation: modifications of Chapter 1 of Part 3) is amended as follows.
(2) In paragraph 2 (modifications of section 23), in paragraph (a), in the substituted text, for “£70 million”substitute “£100 million”.
(3) In paragraph 3 (modifications of section 28), for paragraphs (b) and (c) substitute—
“(b) in subsection (5)—
(i) in the words before paragraph (a), for “The CMA shall” there were substituted “The CMA and the Gas and Electricity Markets Authority must each” ;
(ii) in paragraph (a), for “the sums for the time being mentioned in section 23(1)(b), (2)(c) and (4E)” there were substituted “the sum for the time being mentioned in section 23(1)(b)” ;
(iii) in paragraph (b), for “sums are” there were substituted “sum is” ;
(c) in subsection (6)—
(i) for “section 23(1)(b), (2)(c) and (4E)” there were substituted “paragraph 2(a) of Schedule 5A” ;
(ii) for “sums” there were substituted “sum” . ”
8 Chapter 5 of Part 3 of EA 2002 (mergers: supplementary) is amended as follows.
9 (1) Section 123 (power to alter share of supply test) is amended as follows.
(2) In the heading, for “share of supply test” substitute “conditions for a relevant merger situation”.
(3) In subsection (2), at the end insert—
“(c) to amend or replace the condition mentioned in paragraph (a) of subsection (4C) of that section. ”
(4) After subsection (3) insert—
“(3A) In exercising the power under subsection (1) to amend or replace the condition mentioned in subsection (4D) or (4E) of section 23 or any condition which for the time being applies instead of it, the Secretary of State must, in particular, have regard to the desirability of ensuring that any amended or new condition continues to operate by reference to the degree of commercial strength that at least one of the enterprises concerned would have had if the enterprises concerned had not ceased to be distinct enterprises. ”
10 In section 130 (index of defined expressions), in the appropriate place insert—
| “Media enterprise | Section 58A(1) ”. |
Section 128
1 Chapter 1 of Part 3 of EA 2002 (mergers: duty to make references) is amended as follows.
2 (1) Section 22 (duty to make references in relation to completed mergers) is amended as follows.
(2) After subsection (1) insert—
“(1A) The CMA must make a reference to its chair for the constitution of a group under Schedule 4 to the Enterprise and Regulatory Reform Act 2013 if the CMA has decided, under section 34ZF (2) , to accept a fast-track reference request. ”
(3) In subsection (2), in the words before paragraph (a), for “this section” substitute “subsection (1)”.
(4) In subsection (3), in the words before paragraph (a), for “this section” substitute “subsection (1)”.
3 (1) Section 33 (duty to make references in relation to anticipated mergers) is amended as follows.
(2) After subsection (1) insert—
“(1A) The CMA must make a reference to its chair for the constitution of a group under Schedule 4 to the Enterprise and Regulatory Reform Act 2013 if the CMA has decided, under section 34ZF (3) , to accept a fast-track reference request. ”
(3) In subsection (2), in the words before paragraph (a), for “this section” substitute “subsection (1)”.
(4) In subsection (3), in the words before paragraph (a), for “this section” substitute “subsection (1)”.
4 (1) Section 34ZA (time-limits for decisions about references) is amended as follows.
(2) In subsection (1)—
(a) in the words before paragraph (a), for “section 22 or 33” substitute “section 22(1) or 33(1)”;
(b) in paragraph (a), for “the section” substitute “the subsection”.
(3) After that subsection insert—
“(1A) In carrying out its function of making a reference under section 22 (1A) or 33 (1A) , the CMA must, within the initial period, inform the persons carrying on the enterprises concerned by notice of the making of the reference. ”
(4) In subsection (2), in the words before paragraph (a), for “section 22 or 33” substitute “section 22(1) or 33(1)”.
5 In section 34ZB (extension of time-limits), in subsection (1), for “mentioned in” substitute “for the purposes of”.
6 In section 34ZC (sections 34ZA and 34ZB: supplementary), in subsection (1), for “period mentioned in” substitute “initial period for the purposes of”.
7 After section 34ZC (sections 34ZA and 34ZB: supplementary) insert—
(1) Subsection (2) applies where the following conditions are met—
(a) arrangements or proposed arrangements might have resulted or might result in the creation of a relevant merger situation (the “arrangements concerned”),
(b) no reference has been made under section 22 or 33 in respect of the arrangements concerned, and
(c) the CMA has not informed the persons carrying on the enterprises concerned of a decision that the duty to make a reference under section 22(1) or 33(1) does not apply in respect of those arrangements.
(2) The persons carrying on the enterprises concerned may make a fast-track reference request to the CMA at any time before the end of the initial period (whether or not that period has begun).
(3) In this section and in sections 34ZE and 34ZF , “ fast-track reference request ” means a request that the CMA makes a reference under section 22 (1A) or 33 (1A) in relation to the arrangements concerned.
(1) This section applies where a fast-track reference request is made and not withdrawn.
(2) Where the fast-track reference request is made before the beginning of the initial period, the CMA may, at any time before the beginning of that period, reject the request.
(3) Where the CMA has not rejected the fast-track reference request in accordance with subsection (2) , the CMA must, within the decision period, decide whether to accept the request in accordance with section 34ZF or reject the request.
(4) Where the CMA accepts or rejects a fast-track reference request, the CMA must notify the persons carrying on the enterprises concerned that the request has been accepted or rejected.
(5) In this section—
“ decision period ” means, in relation to the arrangements concerned—
in a case where the initial period has not begun, that period, or
in a case where the initial period has begun, the period beginning with the day on which the fast-track reference request is made and ending at the end of the initial period;
“ initial period ” has the meaning given by section 34ZA(3).
(1) The CMA may accept a fast-track reference request only if the condition in subsection (2) or (3) is met.
(2) The condition in this subsection is that, in relation to the arrangements concerned—
(a) the CMA believes that it is or may be the case that a relevant merger situation has been created, and
(b) the CMA would not be prevented from making a reference under section 22(1) by reason of section 22(3).
(3) The condition in this subsection is that, in relation to the arrangements concerned—
(a) the CMA believes that it is or may be the case that, if carried into effect, the arrangements will result in the creation of a relevant merger situation, and
(b) the CMA would not be prevented from making a reference under section 33(1) by reason of section 33(3).
(4) In deciding whether to accept a fast-track reference request under subsection (2) or (3) , the CMA must have regard, in particular, to—
(a) whether the arrangements concerned raise any consideration specified in section 58;
(b) whether a special intervention notice (see section 59(2)) is in force in relation to the arrangements.
(5) Where the CMA decides to accept a fast-track reference request the duties to make references under sections 22(1) and 33(1) do not apply, and accordingly the CMA may not make any reference under those provisions in respect of the arrangements concerned (but see the duties under sections 22 (1A) and 33 (1A) ). ”
8 (1) Section 39 (time-limits for investigations and reports) is amended as follows.
(2) In subsection (3), after “section 38” insert “on a reference under section 22(1) or 33(1)”.
(3) After that subsection insert—
“(3A) The CMA may extend, by no more than 11 weeks, the period within which a report under section 38 on a reference under section 22 (1A) or 33 (1A) is to be prepared and published if it considers that there are special reasons why the report cannot be prepared and published within that period. ”
(4) In subsection (7), after “(3)” insert “,(3A)”.
9 (1) Section 40 (section 39: supplementary) is amended as follows.
(2) In subsection (4), after “section 39(3)” insert “or(3A)”.
(3) In subsection (5), before “or (4)” insert “,(3A)”.
10 (1) In Chapter 3 of Part 3 of EA 2002 (mergers: other special cases), Schedule 5A (energy network mergers affecting comparative regulation: modifications of Chapter 1 of Part 3) is amended as follows.
(2) In paragraph 1 (general modifications), in sub-paragraph (2), for the words after “include” substitute “—
(a) a reference made under a subsection of that section;
(b) a reference treated as made under that section. ”
(3) For paragraph 5 (time limits for decisions about references) substitute—
“5 Section 34ZA (time-limits for decisions about references) has effect as if—
(a) in subsection (1)(a)—
(i) the reference to section 22(2) were to section 68B(2);
(ii) the reference to section 22(3) were to section 68B(3);
(iii) the reference to section 33(2) were to section 68C(2);
(iv) the reference to section 33(3) were to section 68C(3);
(b) section (1A) were omitted.
5A Chapter 1 has effect as if sections 34ZD to 34ZF (fast-track reference requests) were omitted. ”
(4) After paragraph 7 insert—
7A Section 39 (time-limits for investigations and reports) has effect as if subsection (3A) were omitted. ”
11 (1) In Chapter 4 of Part 3 of EA 2002 (mergers: enforcement), section 73 (undertakings in lieu of references under section 22 or 33) is amended as follows.
(2) In the heading, for “section 22, 33” substitute “section 22(1), 33(1)”.
(3) In subsection (1), for “section 22 or 33” substitute “section 22(1) or 33(1)”.
12 Chapter 5 of Part 3 of EA 2002 (mergers: supplementary) is amended as follows.
13 In section 104 (certain duties of relevant authorities to consult), in subsection (6), in the definition of “relevant decision”, in paragraph (a)—
(a) in sub-paragraph (i), for “section 22, 33” substitute “section 22(1), 33(1)”;
(b) in sub-paragraph (ii), for “such a reference” substitute “a reference under section 22, 33, 68B or 68C”.
14 (1) Section 107 (further publicity requirements) is amended as follows.
(2) In subsection (1)—
(a) in paragraph (a), for “section 22, 33” substitute “section 22(1), 33(1)”;
(b) after paragraph (aa) insert—
“(aaa) any decision made by it to accept a fast-track reference request under section 34ZD and the resulting reference made by it; ”.
(3) In subsection (6), after “in relation to” insert —
(a) any decision published under subsection (1) (aaa) , or
(b) .
15 In section 130 (interpretation), in the appropriate place insert—
| “Fast-track reference request | section 34ZD (3) ”. |
Section 129
1 Part 3 of EA 2002 (mergers) is amended as follows.
2 (1) Section 22 (duty to make references in relation to completed mergers) is amended as follows.
(2) In subsection (3)(c) omit “or 68B or 68C”.
(3) In subsection (7)(a) omit “, 68B or 68C”.
3 In section 33(3) (circumstances in which references in relation to anticipated mergers may not be made), in paragraph (c) omit “or 68B or 68C”.
4 In section 68B (further duty to make references in relation to completed mergers), for subsection (3) substitute—
“(3) The CMA may not make a reference under this section—
(a) in any circumstances mentioned in section 22(3)(za) to (b) or (d), or
(b) if the relevant merger situation concerned is being, or has been, dealt with in connection with a reference made under section 68C. ”
5 In section 68C (further duty to make references in relation to anticipated mergers), for subsection (3) substitute—
“(3) The CMA may not make a reference under this section—
(a) in any circumstances mentioned in section 33(3)(za) to (b) or (d), or
(b) if the arrangements concerned are being, or have been, dealt with in connection with a reference under section 68B. ”
6 (1) In section 72 (initial enforcement orders: completed or anticipated mergers), subsection (6) is amended as follows.
(2) For the words before paragraph (a) substitute “So far as made in relation to a reference under section 22, 33, 68B or 68C, an order under this section which has not previously ceased to be in force and which has not been adopted under paragraph 2 of Schedule 7 ceases to be in force in relation to the reference concerned—”.
(3) In paragraph (a), in the words before sub-paragraph (i) omit “under section 22, 33, 68B or 68C”.
7 (1) Section 73 (undertakings in lieu of references under section 22, 33, 68B or 68C) is amended as follows.
(2) For subsection (3B) substitute—
“(3B) The CMA may, instead of making such a reference and for the purpose of remedying, mitigating or preventing—
(a) the prejudice to the ability of the Gas and Electricity Markets Authority described in section 68B(1) or 68C(1), or
(b) any adverse effect which has or may have resulted from it or may be expected to result from it,
accept from such of the parties concerned as it considers appropriate undertakings to take such action as it considers appropriate. ”
(3) In subsection (3C), after “to the prejudice” insert “and any adverse effects resulting from it”.
8 In section 73A (time-limits for consideration of undertakings), in subsection (2)(a), after “73(2)” insert “or(3B)”.
9 (1) Section 74 (effect of undertakings under section 73) is amended as follows.
(2) In subsection (1)—
(a) in the words before paragraph (a), for “, 45, 68B or 68C” substitute “or 45”;
(b) in paragraph (a), for “section 73” substitute “section 73(2)”.
(3) After subsection (1) insert—
“(1A) The relevant authority may not make a reference under section 45, 68B or 68C in relation to the creation of a relevant merger situation if—
(a) the CMA has accepted an undertaking or group of undertakings under section 73(3B), and
(b) the relevant merger situation is the situation by reference to which the undertaking or group of undertakings was accepted. ”
(4) In subsection (2), for “Subsection (1) does not” substitute “Subsections (1) and(1A)do not”.
10 (1) Section 75 (order-making power where undertakings under section 73 not fulfilled etc) is amended as follows.
(2) In subsection (1), in paragraph (a), for “section 73” substitute “section 73(2) or(3B)”.
(3) In subsection (2), after “73(2)” insert “or(3B)(as the case may be)”.
(4) For subsection (3) substitute—
“(3A) In proceeding under subsection (2) for the purposes mentioned in section 73(2) or (3B), the CMA must, in particular, have regard to the need to achieve as comprehensive a solution as is reasonable and practicable to—
(a) in relation to the purpose mentioned in section 73(2), the substantial lessening of competition mentioned in that subsection and any adverse effects resulting from it;.
(b) in relation to the purpose mentioned in section 73(3B), the prejudice mentioned in that subsection and any adverse effects resulting from it.
(3B) In proceeding under subsection (2) for the purposes mentioned in section 73(2) or (3B), the CMA may, in particular, have regard to the effect of any action on any relevant customer benefits in relation to the creation of the relevant merger situation concerned. ”
11 (1) Section 79 (sections 77 and 78: further interpretative provisions) is amended as follows.
(2) In subsection (1), for paragraphs (c) to (e) substitute—
“(c) the report of the CMA under that section contains the decision that—
(i) in relation to a reference under section 22 or 33, there is not an anti-competitive outcome, or
(ii) in relation to a reference under section 68B or 68C, there is not a prejudicial outcome;
(d) the report of the CMA under that section contains the decision that—
(i) in relation to a reference under section 22 or 33, there is an anti-competitive outcome, or
(ii) in relation to a reference under section 68B or 68C, there is a prejudicial outcome, and
the CMA has decided under section 41(2) neither to accept an undertaking under section 82 nor to make an order under section 84;
(e) the report of the CMA under that section contains the decision that—
(i) in relation to a reference under section 22 or 33, there is an anti-competitive outcome, or
(ii) in relation to a reference under section 68B or 68C, there is a prejudicial outcome, and
the CMA has decided under section 41(2) to accept an undertaking under section 82 or to make an order under section 84. ”
(3) After subsection (5) insert—
“(5A) References in subsection (1) to a prejudicial outcome are to a prejudicial outcome within the meaning of section 35 or 36 as those sections have effect by virtue of paragraphs 6 and 7 of Schedule 5A. ”
12 (1) Schedule 5A (energy network mergers affecting comparative regulation: modifications of Chapter 1 of Part 3) is amended as follows.
(2) After paragraph 1 insert—
1A Section 22(7)(a) (meaning of “ the decision-making authority ”) has effect as if after “section 33” there were inserted “, 68B or 68C” . ”
(3) In paragraph 5 (time limits for decisions about references)—
(a) for paragraph (b) substitute—
“(b) the reference to section 22(3) were to section 68B(3); ”;
(b) for paragraph (d) substitute—
“(d) the reference to section 33(3) were to section 68C(3). ”
13 (1) Schedule 16 to the Energy Act 2023 (mergers of completed energy network enterprises) is amended as follows.
(2) Omit paragraphs 5 and 6 (amendments to sections 22 and 33 of EA 2002).
(3) Omit paragraph 14(2) (amendment to section 74(1) of EA 2002).
Section 130
1 In EA 2002, Part 3 (mergers) is amended as follows.
2 After Chapter 3 insert—
(1) The Secretary of State must give the CMA a notice (a “foreign state intervention notice”) if the Secretary of State has reasonable grounds for suspecting that it is or may be the case that—
(a) a foreign state newspaper merger situation has been created, or
(b) arrangements are in progress or in contemplation which, if carried into effect, will result in the creation of a foreign state newspaper merger situation.
(2) A foreign state intervention notice must describe the foreign state newspaper merger situation to which it relates.
(3) For the purposes of this Chapter a foreign state newspaper merger situation has been created where—
(a) as a result of two or more enterprises ceasing to be distinct, a relevant merger situation would have been created by virtue of section 23(1) if the modifications in Schedule 6A had effect,
(b) one of the enterprises concerned is a newspaper enterprise, and
(c) as a result of the enterprises ceasing to be distinct, a foreign power is able to control or influence the policy of the person carrying on the newspaper enterprise, or is able to control or influence that policy to a greater extent.
(4) Schedule 6B makes provision about the circumstances in which a foreign power is able to control or influence the policy of a person for the purposes of this section (and references to a foreign power being able to control or influence the policy of a person to a greater extent are to be interpreted accordingly).
(5) A foreign state intervention notice—
(a) comes into force when it is given, and
(b) ceases to be in force when the matter to which it relates is finally determined under this Chapter (see section 70F ).
(1) Where the Secretary of State gives the CMA a foreign state intervention notice, the CMA must, within such period as the Secretary of State may require, give the Secretary of State a report in relation to the case.
(2) The report must include—
(a) a summary of representations relevant to the case that have been received by the CMA, and
(b) a decision as to whether the CMA believes that—
(i) a foreign state newspaper merger situation has been created, or
(ii) arrangements are in progress or in contemplation which, if carried into effect, will result in the creation of a foreign state newspaper merger situation.
(3) The CMA must carry out such investigations as it considers appropriate for the purposes of producing a report under this section.
(4) For the purposes of its investigation the CMA must invite representations from the enterprises concerned in the case.
(1) Subsection (2) applies where the Secretary of State has received a report under section 70B stating that the CMA believes that—
(a) a foreign state newspaper merger situation has been created, or
(b) arrangements are in progress or in contemplation which, if carried into effect, will result in the creation of a foreign state newspaper merger situation.
(2) The Secretary of State must make an order containing such provision as the Secretary of State considers reasonable and practicable for the purposes of reversing or preventing the creation of the foreign state newspaper merger situation identified in the report.
(3) An order under subsection (2) may contain—
(a) anything permitted by Schedule 8 (provision that may be contained in certain enforcement orders), and
(b) such supplementary, consequential or incidental provision as the Secretary of State considers appropriate.
(4) An order under subsection (2) —
(a) comes into force at such time as is determined by or under the order, and
(b) may be varied or revoked by another order.
(5) Paragraph 2 of Schedule 7 (enforcement regime for public interest and special public interest cases: order for the purposes of preventing pre-emptive action)—
(a) applies in relation to a foreign state intervention notice as it applies in relation to an intervention notice, and
(b) for this purpose, is to be read as if—
(i) sub-paragraph (10) were omitted;
(ii) for sub-paragraph (12), there were substituted—
“(12) In this paragraph “ pre-emptive action ” means action which might prejudice a foreign state intervention notice or a report under section 70B , or might impede the taking of any action under this Part in relation to such a notice or report ” .
(1) Nothing in this Chapter limits the exercise of powers in relation to a foreign state newspaper merger situation under other provisions of this Part.
(2) The powers in this Chapter may be exercised in relation to a foreign state newspaper merger situation regardless of whether any other power under this Part has been exercised in relation to the case.
(3) The CMA must, in considering whether to make a reference under section 22 or 33, bring to the attention of the Secretary of State any case which it believes may be relevant to the duty in section 70A (1) .
(1) In this Chapter, “ foreign power ” means—
(a) the sovereign or other head of a foreign state in their public or private capacity,
(b) a foreign government or part of a foreign government,
(c) the head or senior members of a foreign government in their private capacity,
(d) an agency or authority of a foreign government, or of part of a foreign government,
(e) the head or senior members of an agency or authority of a foreign government, or of part of a foreign government, in their private capacity,
(f) an authority responsible for administering the affairs of an area within a foreign country or territory, or persons exercising the functions of such an authority,
(g) a political party which is a governing political party of a foreign government, or
(h) the officers of a political party, which is a governing political party of a foreign government, in their private capacity.
(2) A political party is a governing political party of a foreign government if persons holding political or official posts in the foreign government or part of the foreign government—
(a) hold those posts as a result of, or in the course of, their membership of the party, or
(b) in exercising the functions of those posts, are subject to the direction or control of, or significantly influenced by, the party.
(3) In this section—
“ foreign country or territory ” means a country or territory outside the United Kingdom, the Channel Islands, the Isle of Man or the British Overseas Territories;
“ foreign government ” means the government of a foreign country or territory;
a “ government ” includes persons exercising the functions of a government;
“ territory ” includes the constituent territories of a federal state.
(1) For the purposes of this Chapter, section 44(10) is to be read as if the definition of “newspaper” included a news publication circulating wholly or mainly in the United Kingdom or in a part of the United Kingdom on any periodic basis.
(2) For the purposes of this Chapter, a matter is finally determined when the Secretary of State—
(a) makes an order under section 70C (2) , or
(b) publishes under section 107 a report of the CMA under section 70B which the Secretary of State has received and which states that the CMA has decided that the CMA believes that—
(i) no foreign state newspaper merger situation has been created, or
(ii) no arrangements are in progress or in contemplation which, if carried into effect would result in the creation of a foreign state newspaper merger situation.
(1) The Secretary of State may by regulations change the meaning of—
(a) “foreign power”, or
(b) “newspaper”,
for the purposes of this Chapter.
(2) Regulations under subsection (1) (a) may, among other things—
(a) provide for a description of person to be treated as if they were not a foreign power, and
(b) frame any such description by reference to—
(i) the independence of persons from other descriptions of foreign power, or
(ii) the interest which persons have in a newspaper enterprise.
(3) The Secretary of State may by regulations apply any provision made by or under Chapter 1, with or without modifications, for the purposes of this Chapter (including by way of amendments to the modifications in Schedule 6A ).
(4) Regulations under this section may, among other things, make provision having effect on or after 13 March 2024. ”
3 After Schedule 6 insert—
Section 70A
1 (1) Sections 23 to 29 apply for the purposes of Chapter 3A of Part 1, subject to the following modifications.
(2) Section 23 is to be read as if—
(a) in subsection (1), for the amount in paragraph (b), there were substituted “£2 million” ;
(b) in subsection (9), for paragraphs (a) and (b), there were substituted—
“(a) in relation to the giving of a foreign state intervention notice, the time when the notice is given;
(b) in relation to the giving of a report by the CMA under section 70B , the time of the giving of the report. ”
(3) Section 24 is to be read as if—
(a) for subsection (1)(a) there were substituted—
“(a) the two or more enterprises ceased to be distinct enterprises before the day on which—
(i) in a case to which section 23(9)(a) applies, the foreign state intervention notice relating to them is given, or
(ii) in a case to which section 23(9)(b) applies, the CMA gives its report relating to them under section 70B ,
and did so not more than four months before that day; or ” ;
(b) in subsection (1)(b), after “distinct enterprises” there were inserted “, including facts about whether or the extent to which a foreign power is able to control or influence the policy of a person carrying on a newspaper enterprise as a result of the enterprises ceasing to be distinct enterprises,” ;
(c) the reference to the CMA in subsection (2)(a) included a reference to the Secretary of State;
(d) for subsection (2)(b) there were substituted—
“(b) it is given to the Secretary of State or the CMA more than four months before the day on which—
(i) in a case to which section 23(9)(a) applies, the foreign state intervention notice relating to them is given, or
(ii) in a case to which section 23(9)(b) applies, the CMA gives its report relating to them under section 70B ; or
(c) the facts are made public more than four months before the day on which—
(i) in a case to which section 23(9)(a) applies, the foreign state intervention notice relating to them is given, or
(ii) in a case to which section 23(9)(b) applies, the CMA gives its report relating to them under section 70B . ” .
(4) Section 25 is to be read as if—
(a) subsections (4) and (5) were omitted;
(b) the powers to extend time-limits under section 25 were not exercisable by the CMA before the giving of a foreign state intervention notice by the Secretary of State.
(5) Section 26 is to be read as if—
(a) in subsection (3)—
(i) “materially” were omitted;
(ii) for “may, for the purposes of subsections (1) and (2), be treated” there were substituted “is to be treated, for the purposes of subsections (1) and (2),” ;
(b) for subsection (4) there were substituted—
“(4) For the purposes of subsection (1), in so far as it relates to bringing two or more enterprises under common control, where a foreign power is already able to control or influence the policy of a person carrying on a newspaper enterprise to some extent, the foreign power is to be treated as bringing the newspaper enterprise under its control if anything is done which results in the foreign power being able to control or influence the policy of that person to a greater extent (whether by virtue of acquiring more shares or voting rights in the person, directly or indirectly, or otherwise). ”
(6) Section 27 is to be read as if—
(a) references to the “ decision-making authority ” were to “the CMA or the Secretary of State”;
(b) in subsection (5), for “a reference” there were substituted “deciding whether or when a foreign state newspaper merger situation has been created” .
(7) Section 28 is to be read as if, in subsection (4), the reference to the “ decision-making authority ” were to “the CMA or the Secretary of State”.
(8) Section 29 is to be read as if—
(a) in subsection (1)—
(i) the reference to the “ decision-making authority ” were to “the CMA or the Secretary of State”;
(ii) for “a reference” there were substituted “deciding whether or when a foreign state newspaper merger situation has been created” ;
(b) in subsection (2)(a)(i) “materially” were omitted;
(c) in subsection (2)(a)(ii), for “degree” there were substituted “extent” ;
(d) subsection (2)(b) and (3) were omitted.
2 (1) The Enterprise Act 2002 (Anticipated Mergers) Order 2003 applies for the purposes of Chapter 3A of Part 1, subject to the following modifications.
(2) In Article 3, the words before paragraph (a) are to be read as if, for “in relation to references and notices”, there were substituted “for the purposes of Chapter 3A of Part 1 of the Act” .
(3) Article 3(a) is to be read as if—
(a) in the substituted version of section 27(5), for “a reference” there were substituted “deciding whether or when a foreign state news paper merger situation will be created”;
(b) the substituted version of section 27(6)(a)(i), for “the reference” there were substituted “the foreign state intervention notice relating to the situation” .
(4) Article 3(b) is to be read as if—
(a) in the substituted section 29(2)(a)(i), “materially” were omitted;
(b) in the substituted section 29(2)(a)(ii), for “degree” there were substituted “extent”;
(c) in the substituted section 29(4), for “the reference” there were substituted “the foreign state intervention notice”.
Section 70A
1 (1) A foreign power is able to control or influence the policy of a person for the purposes of section 70A if one or more of the following conditions is met.
(2) Condition 1 is that the foreign power holds, directly or indirectly, any of the shares in the person.
(3) Condition 2 is that the foreign power holds, directly or indirectly, any of the voting rights in the person.
(4) Condition 3 is that the foreign power holds the right, directly or indirectly, to appoint or remove an officer of the person.
(5) Condition 4 is that the foreign power has the right or ability to direct, control or influence to any extent, the person’s policy or activities (in whole or in part, and whether directly or indirectly), despite not meeting condition 1, 2 or 3.
(6) Condition 5 is that—
(a) the trustees of a trust, or the members of a partnership, unincorporated association or other entity, that is not a legal person under the law by which it is governed, would, if they were a foreign power, meet one or more of conditions 1 to 4 (in their capacity as such) in relation to the person, and
(b) the foreign power has the right or ability to direct, control or influence to any extent the activities of that trust or entity (in whole or in part, and whether directly or indirectly), or has any other interest in, or right over or in relation to, the trust or entity, or any of the trustees of the trust or the members of the entity, whether directly or indirectly.
2 In this Schedule, “officer”—
(a) in relation to a body corporate, means a director, member of the committee of management, chief executive, manager, secretary or other similar officer of the body, or a person purporting to act in any such capacity;
(b) in relation to a partnership, means a partner, a person purporting to act as a partner or a person concerned in the management or control of the partnership or who purports to act in the capacity of a person so concerned;
(c) in relation to an unincorporated association other than a partnership, means a person who is concerned in the management or control of the association or purports to act in the capacity of a person so concerned.
3 This Part makes provision about the interpretation of this Schedule.
4 If a foreign power holds a share or right jointly with another person (whether or not a foreign power), each of those persons is to be taken to hold that share or right.
5 (1) If shares or rights held by a foreign power and shares or rights held by another person (whether or not a foreign power) are the subject of a joint arrangement between those persons, each of those persons is to be taken to hold the combined shares or rights of both persons.
(2) A “joint arrangement” is an arrangement between the holders of shares (or rights) that they will exercise all or substantially all the rights conferred by their respective shares (or rights) jointly in a way that is pre-determined by the arrangement.
(3) For the meaning of “arrangement”, see paragraph 12.
6 (1) In relation to a person that has a share capital, a reference to holding any of the shares in that person is to holding any shares comprised in the issued share capital of that person.
(2) In relation to a person that does not have a share capital, a reference to holding any of the shares in that person is to holding a right to share to any extent in the capital or, as the case may be, profits of that person.
7 (1) A reference to the voting rights in a person is to the rights conferred on shareholders in respect of their shares (or, in the case of a person not having a share capital, on members) to vote at general meetings of the person on all or substantially all matters.
(2) In relation to a person that does not have general meetings at which matters are decided by the exercise of voting rights, a reference to exercising voting rights in the person is to be read as a reference to exercising rights in relation to the person that are equivalent to those of a person entitled to exercise voting rights in a company.
8 In applying this Schedule, voting rights in a person held by the person itself are to be disregarded.
9 (1) A foreign power holds a share “indirectly” if the foreign power has any stake in a person and that person—
(a) holds the share in question, or
(b) is part of a chain of persons—
(i) each of which (other than the last) has any stake in the person immediately below it in the chain, and
(ii) the last of which holds the share.
(2) A foreign power holds a right “indirectly” if the foreign power has any stake in a person and that person—
(a) holds that right, or
(b) is part of a chain of persons—
(i) each of which (other than the last) has any stake in the person immediately below it in the chain, and
(ii) the last of which holds that right.
(3) For the purposes of sub-paragraphs (1) and (2) , a person (“ A ”) has “any stake” in another person (“ B ”) if—
(a) A holds any shares or voting rights in B,
(b) A is a member of B and has the right to appoint or remove an officer of B,
(c) A is a member of B and controls alone, or pursuant to an agreement with other shareholders or members, any of the voting rights in B, or
(d) A has the right or ability to control or influence B to any extent, despite not being within paragraph (a) , (b) or (c) .
10 A share held by a person as a nominee for another is to be treated as held by the other (and not by the nominee).
11 (1) Where a person controls a right, the right is to be treated as held by that person (and not by the person who in fact holds the right, unless that person also controls it).
(2) A person “controls” a right if, by virtue of any arrangement between that person and others, the right is exercisable only—
(a) by that person,
(b) in accordance with that person’s directions or instructions, or
(c) with that person’s consent or concurrence.
12 (1) For the purposes of this Schedule, “ arrangement ” includes—
(a) any scheme, agreement or understanding, whether or not it is legally enforceable, and
(b) any convention, custom or practice of any kind.
(2) But something does not count as an arrangement unless there is at least some degree of stability about it (whether by its nature or terms, the time it has been in existence or otherwise).
13 (1) Rights that are exercisable only in certain circumstances are to be taken into account only—
(a) where the circumstances have arisen, and for so long as they continue to obtain, or
(b) when the circumstances are within the control of the person having the rights.
(2) But rights that are exercisable by an administrator or by creditors while a person is in relevant insolvency proceedings are not to be taken into account even while the person is in those proceedings.
(3) “ Relevant insolvency proceedings ” means—
(a) administration within the meaning of the Insolvency Act 1986,
(b) administration within the meaning of the Insolvency (Northern Ireland) Order 1989 ( S.I. 1989/2405 (N.I. 19)) , or
(c) proceedings under the insolvency law of another country or territory during which a person’s assets and affairs are subject to the control or supervision of a third party or creditor.
(4) Rights that are normally exercisable but are temporarily incapable of exercise are to continue to be taken into account.
14 Rights attached to shares held by way of security provided by a person are to be treated for the purposes of this Schedule as held by that person—
(a) where apart from the right to exercise them for the purpose of preserving the value of the security, or of realising it, the rights are exercisable only in accordance with that person’s instructions, and
(b) where the shares are held in connection with the granting of loans as part of normal business activities and apart from the right to exercise them for the purpose of preserving the value of the security, or of realising it, the rights are exercisable only in that person’s interests.
15 (1) The Secretary of State may by regulations make provision—
(a) to change (by increasing or decreasing) the proportion of shares or rights which a foreign power must hold in a person carrying on a newspaper enterprise, whether directly or indirectly, in order for the foreign power to be able to control or influence the policy of a person for the purposes of section 70A ;
(b) to change (by increasing or decreasing) the proportion of shares or rights which is to be held by persons in a chain of persons for the purposes of determining whether shares or rights are held indirectly;
(c) about assumptions which are to be made when determining whether a foreign power is able to control or influence the policy of a person, including assumptions framed by reference to the ownership of shares or voting rights by any person;
(d) about the extent to which a foreign power needs to be able to control or influence the policy of a person in order to control or influence that policy for the purposes of section 70A , including provision about a foreign power that is already able to control or influence the policy of a person to some extent being able to control or influence that policy to a greater extent;
(e) to change or supplement Part 1 of this Schedule so as to include circumstances (for example, circumstances involving more complex structures) that give a foreign power a level of control or influence in relation to the policy of a person broadly similar to the level of control or influence given by the conditions in paragraph 1;
(f) in consequence of any provision made by virtue of paragraph (e) , to change or supplement Part 2 of this Schedule so that circumstances specified in that Part in which a person is to be regarded as holding an interest in another person correspond to any of the conditions in paragraph 1, or would do so but for the extent of the interest.
(2) The provision that may be made under this paragraph, read with section 124(2)(a), includes—
(a) different provision for different descriptions of foreign power, and
(b) different provision for different persons or descriptions of person in a chain of persons.
(3) Regulations under this paragraph may, among other things—
(a) confer a discretion on the CMA;
(b) make provision having effect on or after 13 March 2024. ”
4 (1) In section 86 (enforcement orders: general provisions), in subsection (6), after “section” insert “70C,”.
(2) In section 88 (contents of certain enforcement orders), in subsection (1), after “section” insert “70C, ”.
(3) In section 94(8) (rights to enforce certain orders)—
(a) after “made by the Secretary of State under” insert “section 70C(2),”;
(b) for “paragraph 2 of that Schedule” substitute “paragraph 2 of Schedule 7”.
(4) In section 107 (further publicity requirements)—
(a) in subsection (3), after paragraph (g) insert—
“(ga) any foreign state intervention notice given by the Secretary of State;
(gb) any report of the CMA under section 70B which the Secretary of State has received; ”;
(b) after subsection (11) insert—
“(12) The Secretary of State must publish any report of the CMA under section 70B which the Secretary of State has received within the period of 7 days beginning with the day on which the Secretary of State receives the report. ”
(5) In section 109 (attendance of witnesses and production of documents etc), in subsection (A1)(b), at the end insert “or a foreign state intervention notice undersection 70A”.
(6) In section 110A (restriction on powers to impose penalties under section 110), after subsection (8) insert—
“(8A) Where the section 109 power is exercised for the purpose mentioned in section 109(A1)(b) in connection with a matter that is the subject of a foreign state intervention notice under section 70A , the relevant day is the day when the matter to which the notice relates is finally determined under Chapter 3A (see section 70F ). ”
(7) In section 118 (excisions from reports), in subsection (1)—
(a) omit the “or” at the end of paragraph (aa), and
(b) at the end of paragraph (b) insert “, or
(c) a report of the CMA under section 70B . ”
(8) In section 120 (review of decisions under Part 3), in subsection (1A), after paragraph (a) insert—
“(aa) a decision of the CMA or the Secretary of State in connection with a foreign state newspaper merger situation; ”.
(9) In section 124 (orders and regulations under Part 3)—
(a) in subsection (3)—
(i) after “59(6A)” insert “,70G”;
(ii) after “above)” insert “, orparagraph 15ofSchedule 6B,”;
(b) in subsection (5), after “65(3)),” insert “70C”;
(c) after subsection (6) insert—
“(6A) A statutory instrument containing regulations under section 70G or paragraph 15 of Schedule 6B may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament. ”;
(d) in subsection (10), after “58(3)” insert “or70G, orparagraph 15ofSchedule 6B”.
(10) In section 127 (associated persons), in subsection (1)—
(a) omit the “and” at the end of paragraph (aa), and
(b) after that paragraph insert—
“(ab) for the purposes of section 70A (3) ; ”.
(11) In section 129 (other interpretation provisions), in subsection (1), at the appropriate place insert—
““ foreign state intervention notice ” means a notice under section 70A (1) ;
“ foreign state newspaper merger situation ” is to be interpreted in accordance with section 70A (3) ; ”.
(12) In the table in section 130 (index of defined expressions), at the appropriate place insert—
| “Foreign state intervention notice | Section 70A (1) |
| Foreign state newspaper merger situation | Section 70A (3) ” |
(13) In Schedule 8 (provision that may be contained in certain enforcement orders), in paragraph 20A (newspaper mergers), after sub-paragraph (1) insert—
“(1A) This paragraph also applies in relation to an order under section 70C (2) (order to prevent foreign control of a newspaper enterprise). ”
(14) In Schedule 10 (procedural requirements for certain enforcement undertakings and orders)—
(a) in paragraph 1(b), for “section 75” substitute “section 70C, 75”;
(b) in paragraph 6(b), for “section 75” substitute “section 70C, 75”.
Section 137
1 Part 4 of EA 2002 (market studies and market investigations) is amended as follows.
2 (1) Section 131B (market studies and the making of decisions to refer: time-limits) is amended as follows.
(2) In subsection (4), in paragraph (b), after “proposes to take” insert “, or has taken,”.
(3) In subsection (5), in paragraph (a), for “section 154 instead of” substitute “section 154Ainstead of, or in addition to,”.
3 (1) Section 133A (functions to be exercised by CMA groups) is amended as follows.
(2) In subsection (1), after paragraph (b) insert—
“(ba) section 154A , so far as relating to undertakings in lieu of a report; ”.
(3) In subsection (2), before paragraph (a) insert—
“(za) section 154A , so far as relating to undertakings in lieu of a report; ”.
4 In section 136 (investigations and reports on market investigation references), in subsection (2), after paragraph (a) insert—
“(aa) any decision of the CMA under section 154A to accept an undertaking partially in lieu of a report; ”.
5 (1) Section 139 (public interest intervention by the Secretary of State) is amended as follows.
(2) In subsection (1A), in paragraph (a), for “under section 154” substitute “fully in lieu of a reference undersection 154A”.
(3) In subsection (1B), in paragraph (a), for “under section 154” substitute “fully in lieu of a reference undersection 154A”.
(4) In subsection (2), in paragraph (a), in sub-paragraph (i), for “undertaking under section 154 instead of making a reference under section 131” substitute “undertaking in lieu of a reference undersection 154A”.
(5) In subsection (4C), for “154” substitute “154A”.
6 (1) Section 140 (intervention notices under section 139(1)) is amended as follows.
(2) In subsection (5), in paragraph (za), for “under section 154” to the end substitute “fully in lieu of a reference undersection 154A”.
(3) In subsection (6A), for “154” substitute “154A”.
7 In section 150 (power of veto of Secretary of State), in subsection (A1) for “under section 154” substitute “in lieu of a reference undersection 154A”.
8 For section 154 (and the italic heading immediately before it) substitute—
(1) This section applies where—
(a) no market study notice has been published under section 130A but the CMA considers that it has the power to make a market investigation reference under section 131 and (subject to taking action under this section) intends to make such a reference,
(b) a market study notice has been published under section 130A but no market investigation reference has been made under section 131, or
(c) a market investigation reference has been made under section 131 or 132 but no report under section 136 has been published.
(2) The CMA may accept, from such persons as it considers appropriate, undertakings to take such action as it considers appropriate for the purposes of remedying, mitigating or preventing (to any extent)—
(a) any adverse effect on competition concerned, or
(b) any detrimental effect on customers so far as—
(i) it has resulted from the adverse effect on competition, or
(ii) it may be expected to result from the adverse effect on competition.
(3) An undertaking under this section is known as—
(a) an “undertaking in lieu of a reference” where it is accepted in circumstances where this section applies by virtue of subsection (1) (a) or (b) ;
(b) an “undertaking in lieu of a report” where it is accepted in circumstances where this section applies by virtue of subsection (1) (c) .
(4) The CMA may accept—
(a) undertakings in lieu of a reference either—
(i) instead of making a reference under section 131 (in which case the undertakings are known as “undertakings fully in lieu of a reference”), or
(ii) in addition to making a reference under that section (in which case the undertakings are known as “undertakings partially in lieu of a reference”);
(b) undertakings in lieu of a report either—
(i) instead of publishing a report under section 136 (in which case the undertakings are known as “undertakings fully in lieu of a report”), or
(ii) in addition to publishing a report under that section (in which case the undertakings are known as “undertakings partially in lieu of a report”).
(5) In accepting undertakings fully in lieu of a reference or undertakings fully in lieu of a report, the CMA must, in particular, have regard to the need to achieve as comprehensive a solution as is reasonable and practicable to—
(a) the adverse effect on competition concerned, and
(b) any detrimental effects on customers so far as resulting from the adverse effect on competition.
(6) In accepting an undertaking under this section, the CMA may, in particular, have regard to the effect of any action on any relevant customer benefits of the feature or features of the market or markets concerned.
(7) Where no detrimental effect on customers has yet resulted from an adverse effect on competition, the CMA may not accept an undertaking under this section to remedy, mitigate or prevent a detrimental effect on customers so far as it may be expected to result from that adverse effect on competition unless the adverse effect on competition is also being remedied, mitigated or prevented (whether or not by the same undertaking).
(8) An undertaking under this section—
(a) comes into force when accepted;
(b) may be varied or superseded by another undertaking;
(c) may be released by the CMA.
(9) The CMA must, as soon as reasonably practicable, consider any representations received by it in relation to varying or releasing an undertaking under this section.
(10) This section is subject to sections 150 and 155. ”
9 (1) Section 155 (undertakings in lieu: procedural requirements) is amended as follows.
(2) In subsection (1), for “154” substitute “154A”.
(3) For subsection (3) substitute—
“(3A) The matters to be included in a notice under subsection (1) by virtue of subsection (2) include, in particular, the adverse effect on competition, and any detrimental effect on customers so far as resulting from the adverse effect on competition, which the CMA has identified. ”
(4) In subsection (10), for “154” substitute “154A”.
10 (1) Section 156 (effect of undertakings under section 154) is amended as follows.
(2) In the heading, for “under section 154” substitute “in lieu”;
(3) In subsection (A1)—
(a) in paragraph (a), for “154” substitute “154A”;
(b) in paragraph (b)—
(i) for “the” in the first place it occurs substitute “any”;
(ii) for “the same as the” substitute “a”.
(4) In subsection (1)—
(a) in paragraph (a), for “under section 154” substitute “in lieu of a reference undersection 154A”;
(b) omit the “and” after paragraph (a);
(c) after paragraph (a) insert—
“(ab) any feature or combination of features to which the undertaking or group of undertakings relates is a feature or combination of features to which the reference would relate; and ”.
(5) In subsection (3), in the words before paragraph (a), for “154” substitute “154A”.
(6) After subsection (3) insert—
“(4) Where the CMA has, under section 154A , accepted an undertaking, or group of undertakings, in lieu of a report the CMA is not required by virtue of section 134 to make the decisions referred to in subsections (1) and (1A) of that section in relation to a feature, or features, to which the undertaking, or group of undertakings, relate.
(5) Accordingly, a report under section 136 is not required, and the duty under section 138 does not arise, if the CMA accepts an undertaking fully in lieu of a report.
(6) Instead, where the CMA accepts an undertaking fully in lieu of a report the CMA must prepare and publish a report containing—
(a) the CMA’s decision to accept the undertaking,
(b) the reasons for the decision, and
(c) such information as the CMA considers appropriate for facilitating a proper understanding of the decision and its reasons for the decision.
(7) For provision equivalent to subsection (6) in the case where the CMA accepts an undertaking partially in lieu of a report, see section 136(2) (aa) . ”
11 After section 156 insert—
12 After section 158 insert—
13 (1) Section 162 (duty of CMA to monitor the carrying out of undertakings and orders: Part 4) is amended as follows.
(2) In subsection (4), in paragraphs (a) and (b), for “154” substitute “154A”.
(3) In subsection (8), in the definition of “enforcement undertaking”, for “154” substitute “154A”.
14 In section 169(6) (certain duties of relevant authorities to consult: Part 4), in paragraph (a)(ia) of the definition of “relevant decision”, for “under section 154” to the end substitute “in lieu of a reference undersection 154A”.
15 (1) Section 174C (section 174B: supplementary provision) is amended as follows.
(2) In subsection (3), in paragraph (b), for “under section 154 instead of making such a reference” substitute “fully in lieu of a reference undersection 154A”.
(3) In subsection (5), for “154” substitute “154A”.
16 In section 183 (interpretation: Part 4), in subsection (3), in paragraph (a)—
(a) omit the “or” at the end of sub-paragraph (iii);
(b) after that sub-paragraph insert—
“(iiia) the CMA has accepted an undertaking fully in lieu of a report under section 154A ; or ”.
17 In Schedule 4 to the Enterprise and Regulatory Reform Act 2013 (the CMA), in Part 2 (the CMA Board), in paragraph 29 (delegation), in sub-paragraph (2)(e), for “under section 154” substitute “in lieu of a reference undersection 154A”.
Section 138
1 Part 4 of EA 2002 (market studies and market investigations) is amended as follows.
2 (1) Section 133A (functions to be exercised by CMA groups) is amended as follows.
(2) In subsection (1)—
(a) in paragraph (a), for “138B” substitute “137”;
(b) after that paragraph insert—
“(aa) sections 138 to 138B so far as relating to an adverse effect on competition in respect of which the CMA is required to take action in accordance with section 138(2) within the period permitted by section 138A(1); ”;
(c) after paragraph (f) insert—
“(fa) section 161C ; ”.
(3) In subsection (2), after paragraph (c) insert—
“(ca) section 162B ; ”.
3 (1) Section 138A (time-limits for discharging duty under section 138) is amended as follows.
(2) Before subsection (1) insert—
“(A1) Subsection (A3) applies in relation to an adverse effect on competition in respect of which the CMA—
(a) has begun an implementation trial under section 161C , or
(b) considers that it is not reasonably practicable to discharge its duty under section 138(2) in accordance with subsection (1) as a result of such an implementation trial in respect of another adverse effect on competition.
(A2) Subsection (1) applies in relation to any other adverse effect on competition.
(A3) Where this subsection applies, the CMA must discharge its duty under section 138(2) before the day specified under section 161D (5) (b) (ii) . ”
(3) In subsection (1), at the beginning insert “Where this subsection applies,”.
(4) In subsection (2), after “discharged” insert “in accordance with subsection (1)”.
4 Aftersection 161A(acceptance of enforcement undertakings: Part 4) (inserted byparagraph 16ofSchedule 11) insert—
(1) This section and sections 161C to 161E make provision in relation to the acceptance of undertakings and making of orders by a relevant authority on a trial basis for the purpose of assessing the effectiveness of qualifying remedial action (and the acceptance of undertakings and making of orders on that basis is referred to in this Part as an “ implementation trial ”).
(2) In this section and in sections 161C to 161E “ relevant authority ” means the CMA or the Secretary of State.
(3) In this Part—
“ implementation trial measure ” means an undertaking accepted, or order made, under section 161C (and references to the imposition of such a measure are to be read as the acceptance of an undertaking or the making of an order, as the case may be);
“ implementation trial period ” means, in relation to an implementation trial measure, the period—
beginning with the day on which the relevant authority begins the implementation trial, and
ending with the last day on which the implementation trial measure is to have effect (see subsections (4) and (5) );
“ qualifying remedial action ” means remedial action in respect of—
a matter concerning the provision or publication of information to consumers (whether directly or through an intermediary), or
any other matter specified in regulations made by the Secretary of State;
“ relevant adverse effect ” means—
where the relevant authority is the CMA, an adverse effect on competition identified in the report mentioned in section 138(1);
where the relevant authority is the Secretary of State—
an adverse effect on competition identified in the report mentioned in section 146(1);
an effect adverse to the public interest identified in the report mentioned in section 146A(1);
“ remedial action ” means an action—
where the relevant authority is the CMA, to be taken in accordance with section 138(2) or section 162A (5) ;
where the relevant authority is the Secretary of State, to be taken in accordance with section 147(2) or 147A(2) (as the case may be).
(4) The last day on which an implementation trial measure is to have effect is the earlier of—
(a) the day specified under section 161D (5) (b) (ii) , and
(b) the day on which action is taken under section 138(2), 147(2) or 147A(2) (as the case may be) in relation to the relevant adverse effect which the relevant authority considers concerns the same qualifying matter.
(5) But where—
(a) an implementation trial measure is imposed in accordance with this section, and
(b) the CMA extends, under section 138A(3), the period within which its duty under section 138(2) is required to be discharged in accordance with section 138A (A3) in relation to the measure,
the last day on which the implementation trial measure is to have effect is the last day of that period as so extended.
(1) The CMA may, in relation to a market investigation reference, begin an implementation trial where—
(a) subsection (2) of section 138 applies (see subsection (1) of that section), and
(b) the CMA has not taken, but is minded to take, qualifying remedial action.
(2) The Secretary of State may, in relation to a restricted PI reference or a full PI reference, begin an implementation trial where—
(a) subsection (2) of section 147, or subsection (2) of 147A (as the case may be), applies (see subsection (1) of the section in question), and
(b) the Secretary of State has not taken, but is minded to take, qualifying remedial action.
(3) Subsections (1) and (2) are subject to the duty to publish notices in section 161D .
(4) The relevant authority begins an implementation trial by—
(a) accepting, from such persons as the relevant authority considers appropriate, undertakings under this section to take action specified or described in the undertakings, or
(b) making an order under this section,
for the purposes of assessing, during the implementation trial period, the likely effectiveness of the qualifying remedial action.
(5) Where the relevant authority begins an implementation trial, the relevant authority may also—
(a) accept, from such persons as the relevant authority considers appropriate, undertakings under this section to take action specified or described in the undertakings, or
(b) make an order under this section,
in the circumstances mentioned in subsection (6).
(6) The circumstances are that the relevant authority considers that accepting the undertakings or making the order would be likely to contribute to, or otherwise be of use for purposes of, remedying, mitigating or preventing, during the implementation trial period—
(a) an adverse effect on competition identified in the report concerned or (as the case may be) an effect adverse to the public interest which has resulted from, or may be expected to result from, the features or combinations of features mentioned;
(b) any detrimental effect on customers so far as it has resulted from, or may be expected to result from, any such adverse effect on competition.
(1) Before the relevant authority begins an implementation trial under section 161C (4) , the relevant authority must publish—
(a) a provisional implementation trial notice, and
(b) a final implementation trial notice (but see subsection (4) ).
(2) A provisional implementation trial notice must—
(a) specify each implementation trial measure the relevant authority is minded to impose for the purposes of the implementation trial;
(b) specify the relevant adverse effect with which each measure is seeking to deal;
(c) specify any other facts which the relevant authority considers justify the imposition of each measure;
(d) specify, in relation to each measure—
(i) how the relevant authority intends to assess the likely effect of the measure, and
(ii) the last day on which the relevant authority intends for the measure to have effect;
(e) invite the making of representations by the persons on which the relevant authority is minded to impose one or more implementation trial measure (“implementation trial participants”) about the matters set out in the notice;
(f) specify the means by which, and the time by which, such representations must be made.
(3) The time specified under subsection (2) (f) by which representations must be made must be at least 15 days after the date on which the provisional implementation trial notice is published.
(4) A relevant authority may publish a final implementation trial notice only where—
(a) the relevant authority has published a provisional implementation trial notice under subsection (1) ,
(b) the time for the implementation trial participants to make representations to the relevant authority in accordance with the notice has expired, and
(c) after considering such representations (if any), it appears to the relevant authority that it is appropriate to begin an implementation trial under section 161C (4) .
(5) A final implementation trial notice must specify—
(a) the implementation trial measures the relevant authority intends to impose for the purposes of the implementation trial,
(b) in relation to each such measure—
(i) how the relevant authority intends to assess the likely effect of the measure, and
(ii) the last day on which the measure is to have effect.
(1) The relevant authority may not accept an undertaking from a person under section 161C unless it has provided the person with information about the possible consequences of failing to comply with the undertaking.
(2) The CMA may not begin an implementation trial under section 161C (4) —
(a) in respect of qualifying remedial action that would be taken in accordance with subsection (2) of section 138, after the end of the period within which the CMA would otherwise have been required to discharge its duty under that subsection;
(b) in respect of qualifying remedial action that would be taken in accordance with section 162A (5) , after the end of the period mentioned in section 162A (6) .
(3) Subsections (3), (5) and (6) of section 138 apply to action taken by the CMA under section 161C as they apply to action taken by the CMA under section 138(2).
(4) Subsections (3)(b), (4), (5) and (6) of section 147 apply to action taken by the Secretary of State under section 161C in relation to a restricted PI reference as they apply to action taken by the Secretary of State under section 147(2).
(5) Subsections (3) and (4)(b) of section 147A apply to action taken by the Secretary of State under section 161C in relation to a full PI reference as they apply to action taken by the Secretary of State under section 147A(2).
(6) Subsections (3) to (5) of section 159 apply to undertakings accepted under section 161C as they apply to undertakings accepted under section 159(1).
(7) Subsections (3) and (4) of section 161 apply to orders made under section 161C as they apply to orders made under section 161(1). ”
5 After section 162A (inserted bysection 139(4)) insert—
(1) This section applies in relation to implementation trial measures imposed in accordance with section 161C .
(2) The CMA must keep under review the effectiveness of the implementation trial measures.
(3) The CMA must, in particular, from time to time consider—
(a) whether an implementation trial measure has been or is being complied with;
(b) whether an undertaking accepted under section 161C is no longer appropriate and—
(i) one or more of the parties to it can be released from it; or
(ii) it needs to be varied or to be superseded by a new undertaking under that section; and
(c) whether an order made under section 161C is no longer appropriate and needs to be varied or revoked.
(4) The CMA must, within the implementation trial period, give the Secretary of State such advice as it considers appropriate in relation to—
(a) any possible variation or release by the Secretary of State of an undertaking accepted by the Secretary of State under section 161C ;
(b) any possible new undertaking to be accepted by the Secretary of State under that section so as to supersede another undertaking given to the Secretary of State under that section;
(c) any possible variation or revocation by the Secretary of State of an order made by the Secretary of State under that section;
(d) any possible undertaking to be accepted by the Secretary of State under that section instead of an order made under that section, or any possible order to be made by the Secretary of State under that section instead of an undertaking accepted under that section.
(5) The relevant authority must, within the implementation trial period, take such action as it considers appropriate in relation to—
(a) any possible variation or release by the relevant authority of an undertaking accepted by it under section 161C ;
(b) any possible new undertaking to be accepted by the relevant authority under that section so as to supersede another undertaking given to it under that section;
(c) any possible variation or revocation by the relevant authority of an order made by it under that section;
(d) any possible undertaking to be accepted by the relevant authority under that section instead of an order made under that section, or any possible order to be made by the relevant authority under that section instead of an undertaking accepted under that section.
(6) But the relevant authority may not do anything under this section that would result in—
(a) the implementation trial period being extended;
(b) an order or undertaking made under section 161C being out of compliance with any provision of that section.
(7) In this section “ relevant authority ” has the meaning given by section 161B (2) .
(8) Subsections (3), (5) and (6) of section 138 apply to action taken by the CMA under this section as those subsections apply to action taken by the CMA under section 138(2).
(9) Subsections (3)(b), (5) and (6) of section 147 apply to action taken by the Secretary of State under this section in respect of a restricted PI reference as those subsections apply to action taken by the Secretary of State under section 147(2).
(10) Subsection (3) of section 147A applies to action taken by the Secretary of State under this section in respect of a full PI reference as that subsection applies to action taken by the Secretary of State under section 147A(2). ”
6 In section 165 (procedural requirements for certain undertakings and orders: Part 4)—
(a) after “section 159” insert “or161C”;
(b) for “or 161” substitute “, 161 or161C”;
7 (1) Section 167 (rights to enforce undertakings and orders under Part 4) is amended as follows.
(2) In subsection (1)—
(a) the words from “any” to the end become paragraph (a);
(b) after that paragraph insert “;
(b) any undertaking accepted, or order made, under section 161C . ”
(3) In subsection (5), for “enforcement undertaking or enforcement order” substitute “undertaking or order to which this section applies”.
(4) In subsection (6), for “enforcement undertaking or an enforcement order” substitute “undertaking or order to which this section applies”.
(5) In subsection (9), for “enforcement undertaking or an enforcement order” substitute “undertaking or order to which this section applies”.
8 (1) Section 167A(enforcement of enforcement undertakings and orders: imposition of penalties) (inserted byparagraph 18ofSchedule 11) is amended as follows.
(2) In the heading, after “orders” insert “etc”.
(3) In subsection (1)—
(a) the words “an enforcement undertaking or enforcement order” become paragraph (a);
(b) after that paragraph insert “;
(b) any undertaking accepted, or order made, under section 161C . ”
9 (1) Insection 167B(penalties undersection 167A: amount) (inserted byparagraph 18ofSchedule 11),subsection (5)(b)is amended as follows.
(2) The words “the enforcement undertaking or enforcement order” become sub-paragraph (i).
(3) After that sub-paragraph insert “, or
(ii) the undertaking accepted, or order made, under section 161C . ”
10 (1) In section 169 (certain duties of relevant authorities to consult: Part 4), in subsection (6), paragraph (a) of the definition of “relevant decision” is amended as follows.
(2) Omit the “and” at the end of sub-paragraph (iii).
(3) after that sub-paragraph insert—
“(iv) to accept undertakings or make orders under section 161C ; and ”.
11 In section 172 (further publicity requirements: Part 4), in subsection (2), after paragraph (zb) insert—
“(zc) any decision made by it under section 138A (A1) (b) that it is not reasonably practicable for the CMA to discharge its duty under section 138(2) in accordance with section 138A(1); ”
Section 143(1)
1 In Part 1 of CA 1998 (competition), Chapter 3 (investigation and enforcement) is amended as follows.
2 (1) In section 26 (investigations: powers to require documents and information), subsection (3) is amended as follows.
(2) In the words before paragraph (a) omit “indicate”.
(3) In paragraph (a), at the beginning insert “indicate”.
(4) For paragraph (b) substitute—
“(b) include information about the possible consequences of failing to comply with the notice. ”
3 (1) In section 26A (investigations: power to ask questions), subsection (5) is amended as follows.
(2) In the words before paragraph (a) omit “indicate”.
(3) In paragraph (a), at the beginning insert “indicate”.
(4) For paragraph (b) substitute—
“(b) include information about the possible consequences of failing to comply with the notice. ”
4 In section 27 (power to enter business premises without a warrant), in subsection (2), for paragraph (c) substitute—
“(c) includes information about the possible consequences of failing to comply with the notice. ”
5 (1) In section 29 (entry of premises under warrant: supplementary), subsection (1) is amended as follows.
(2) In the words before paragraph (a) omit “indicate”.
(3) In paragraph (a), at the beginning insert “indicate”.
(4) For paragraph (b) substitute—
“(b) include information about the possible consequences of failing to comply with the notice. ”
6 (1) In section 40ZD (information relating to transferred EU anti-trust commitments and transferred EU anti-trust directions), subsection (3) is amended as follows.
(2) The words from “indicates the subject matter” to the end become paragraph (a).
(3) After that paragraph insert “, and
(b) includes information about the possible consequences of failing to comply with the notice. ”
7 For the italic heading before section 40A substitute—
8 Before section 40A (but after the italic heading substituted byparagraph 7) insert—
(1) The CMA may impose a penalty on a person in accordance with section 40A where the CMA considers that—
(a) the person has, without reasonable excuse, failed to comply with a requirement imposed on the person under section 26, 26A, 27, 28, 28A or 40ZD;
(b) the person has, without reasonable excuse, obstructed an officer acting in the exercise of the officer’s powers under section 27 or under a warrant issued under section 28 or 28A;
(c) the person, having been required to produce a document under section 26, 27, 28 or 28A, has, without reasonable excuse—
(i) destroyed or otherwise disposed of, falsified or concealed the document, or
(ii) caused or permitted the document’s destruction, disposal, falsification or concealment;
(d) the person has, without reasonable excuse, provided information that was false or misleading in a material particular to the CMA in connection with any function of the CMA under this Part;
(e) the person has, without reasonable excuse, provided information that was false or misleading in a material particular to another person knowing that the information was to be used for the purpose of providing information to the CMA in connection with any function of the CMA under this Part.
(2) But the CMA may not proceed against a person under this section in relation to an act or omission which constitutes an offence under any of sections 42 to 44 if the person has, by reason of that act or omission, been found guilty of that offence.
(3) In deciding whether and, if so, how to proceed under subsection (1) the CMA must have regard to the statement of policy which was most recently published under section 40B at the time when the act or omission concerned occurred.
(4) In this section—
(a) the reference to the production of a document includes a reference to the production of a legible and intelligible copy of information recorded otherwise than in legible form;
(b) the reference to concealing a document includes a reference to destroying the means of reproducing information recorded otherwise than in legible form.
(5) Sections 112 to 115 of the Enterprise Act 2002 (supplementary provisions about penalties) apply in relation to a penalty imposed under subsection (1) as they apply in relation to a penalty imposed under section 110 (1) or (1A) of that Act, with the following modifications—
(a) any reference in those provisions to the appropriate authority is to be read as a reference to the CMA only;
(b) section 114 (5A) is to be read as if the words “In the case of a penalty imposed on a person by the CMA or OFCOM,” were omitted;
(c) section 114(12) is to be read as if, for paragraph (b) , there were substituted—
“(b) “ relevant guidance ” means the statement of policy which was most recently published under section 40B of the 1998 Act at the time when the act or omission concerned occurred. ” ”
9 (1) Section 40A (penalties: failure to comply with requirements) is amended as follows.
(2) In the heading, for “failure to comply with requirements” substitute “amount”.
(3) For subsection (1) substitute—
“(1A) A penalty imposed under section 40ZE (1) is to be of such amount as the CMA considers appropriate. ”
(4) In subsection (2), for the words before paragraph (a), substitute “A penalty imposed undersection 40ZE(1)(a)may be—”.
(5) After subsection (2) insert—
“(2A) A penalty imposed under any of section 40ZE (1) (b) to (e) must be a fixed amount. ”
(6) In subsection (3)—
(a) for the words before paragraph (a) substitute “A penalty imposed undersection 40ZE(1)on a person who is not an undertaking must not—”;
(b) in paragraph (a), for “such amount as the Secretary of State may by order specify” substitute “£30,000”;
(c) in paragraph (b), for “such amount per day as the Secretary of State may so specify” substitute “£15,000 per day”;
(d) in paragraph (c) omit “as the Secretary of State may so specify”.
(7) After subsection (3) insert—
“(3A) A penalty imposed under section 40ZE (1) on a person who is an undertaking must not—
(a) in the case of a fixed amount, exceed 1% of the turnover of the undertaking;
(b) in the case of an amount calculated by reference to a daily rate, for each day exceed 5% of the daily turnover of the undertaking;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day. ”
(8) Omit subsections (4) and (5).
(9) In subsection (6), in paragraph (a)—
(a) for “notice under section 112” substitute “provisional penalty notice under section 112(A1)”;
(b) for “subsection (9)” substitute “section 40ZE(5)”.
(10) After subsection (7) insert—
“(7A) The Secretary of State may by regulations amend subsection (3)(a) and (b) by substituting for either or both of the sums for the time being specified in those paragraphs such other sum or sums as the Secretary of State considers appropriate. ”
(11) In subsection (8), for “an order under subsection (3)” substitute “regulations undersubsection (7A)”.
(12) Omit subsection (9).
(13) At the end insert—
“(10) The Secretary of State may by regulations make provision for determining the turnover and daily turnover of an undertaking for the purposes of this section.
(11) Regulations under subsection (10) may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as an undertaking’s turnover or daily turnover;
(b) the date, or dates, by reference to which an undertaking’s turnover, or daily turnover, is to be determined.
(12) Regulations under subsection (10) may, in particular, make provision enabling the CMA to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of subsection (11) ). ”
10 (1) Section 40B (statement of policy on penalties) is amended as follows.
(2) In subsection (1)—
(a) for “use of its powers” substitute “exercise of functions”;
(b) for “40A” substitute “40ZE”.
(3) In subsection (2), for “40A” substitute “40ZE”.
(4) In subsection (4), for “such persons” substitute “the Secretary of State and such other persons”.
(5) After subsection (5) insert—
“(5A) A statement or revised statement of policy may not be published under this section without the approval of the Secretary of State. ”
(6) Omit subsection (6).
11 (1) Section 42 (offences) is amended as follows.
(2) For the heading substitute “Obstruction”.
(3) After subsection (7) insert—
“(8) A person is not guilty of an offence under subsection (5) or (7) by reason of any act or omission in relation to which the CMA has proceeded against the person under section 40ZE (1) . ”
12 In section 43 (destroying or falsifying documents), after subsection (1) insert—
“(1A) A person is not guilty of an offence under subsection (1) by reason of any act or omission in relation to which the CMA has proceeded against the person under section 40ZE (1) . ”
13 In section 44 (false or misleading information), after subsection (2) insert—
“(2A) A person is not guilty of an offence under this section by reason of any act or omission in relation to which the CMA has proceeded against the person under section 40ZE (1) . ”
14 In Part 3 of EA 2002 (mergers), Chapter 5 (supplementary: investigation powers) is amended as follows.
15 (1) Section 110 (enforcement of powers under section 109: general) is amended as follows.
(2) In the heading, for “general” substitute “imposition of penalties”.
(3) For subsection (1) substitute—
“(1) The CMA may impose a penalty on a person in accordance with section 111 where the CMA considers that—
(a) the person has, without reasonable excuse, failed to comply with any requirement of a notice under section 109;
(b) the person has, without reasonable excuse, obstructed or delayed another person in the exercise of the other person’s powers under section 109(6);
(c) the person has, without reasonable excuse, altered, suppressed or destroyed any document which the person has been required to produce by a notice under section 109.
(1A) The appropriate authority may impose a penalty on a person in accordance with section 111 where the authority considers that—
(a) the person has, without reasonable excuse, supplied information that is false or misleading in a material respect to the authority in connection with any of the authority’s functions under this Part;
(b) the person has, without reasonable excuse, supplied information that is false or misleading in a material respect to another person knowing that the information was to be used for the purpose of supplying information to the authority in connection with any function of the authority under this Part.
(1B) In this section, and in sections 111 to 117, “ the appropriate authority ” means—
(a) the CMA;
(b) the Secretary of State;
(c) OFCOM.
(1C) But the appropriate authority may not proceed against a person under this section in relation to an act or omission which constitutes an offence under section 116A or 117 if the person has, by reason of that act or omission, been found guilty of that offence. ”.
(4) In subsection (2), for “subsection (1)” substitute “subsection (1)(a)”.
(5) Omit subsections (3) to (8).
(6) For subsection (9) substitute—
“(9) In deciding whether and, if so, how to proceed under subsection (1) or (1A) or section 39(4) or 51(4) (including that enactment as applied by section 65(3))—
(a) the CMA must have regard to the statement of policy which was most recently published under section 116 at the time when the act or omission concerned occurred;
(b) OFCOM must have regard to the statement of policy which was most recently published under section 392 of the Communications Act 2003 (penalties imposed by OFCOM) at the time when the act or omission concerned occurred. ”
16 (1) Section 110A (restriction on powers to impose penalties under section 110) is amended as follows.
(2) In subsection (1)—
(a) for “110(1) or (3)” substitute “110(1)(a)or(b)”;
(b) for “4” substitute “ten”.
(3) In subsection (2), for “the failure or (as the case may be) the obstruction or delay” substitute “the act or omission giving rise to the penalty”.
17 (1) Section 111 (penalties) is amended as follows.
(2) In the heading, at the end insert “: amount”.
(3) In subsection (1)—
(a) for “(3)” substitute “(1A)”;
(b) for “the CMA” substitute “the appropriate authority”.
(4) In subsection (2) for “110(1)” substitute “110(1)(a)”.
(5) In subsection (3), for “section 110(3)” substitute “any of section 110(1)(b),(c)or(1A)”.
(6) In subsection (4)—
(a) for the words before paragraph (a) substitute “A penalty imposed under section 110(1)or(1A)on a person who does not own or control an enterprise must not—”;
(b) in paragraph (a), for “such amount as the Secretary of State may by order specify” substitute “£30,000”;
(c) in paragraph (b), for “such amount per day as the Secretary of State may so specify” substitute “£15,000 per day”;
(d) in paragraph (c) omit “as the Secretary of State may so specify”.
(7) After subsection (4) insert—
“(4A) A penalty imposed under section 110 (1) or (1A) on any other person must not—
(a) in the case of a fixed amount, exceed 1% of the total value of the turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person;
(b) in the case of an amount calculated by reference to a daily rate, for each day exceed 5% of the total value of the daily turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day. ”
(8) In subsection (5), in paragraph (a)—
(a) for “notice under section 112” substitute “provisional penalty notice under section 112(A1)”;
(b) in paragraph (b), in the words before sub-paragraph (i), for “the CMA” substitute “the appropriate authority”.
(9) Omit subsections (6) and (7).
(10) Before subsection (8) insert—
“(7A) The Secretary of State may by regulations amend subsection (4)(a) and (b) by substituting for either or both of the sums for the time being specified in those paragraphs such other sum or sums as the Secretary of State considers appropriate. ”
(11) In subsection (8)—
(a) for “an order under subsection (4) or (6)” substitute “regulations undersubsection (7A)”;
(b) after “the CMA” insert “, OFCOM”.
(12) After subsection (8) insert—
“(9) The Secretary of State may by regulations make provision for determining, for the purposes of this section—
(a) when an enterprise is to be treated as being controlled by a person;
(b) the turnover and daily turnover (both in and outside the United Kingdom) of an enterprise.
(10) Regulations under subsection (9) (b) may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising an enterprise’s turnover or daily turnover;
(b) the date, or dates, by reference to which an enterprise’s turnover, or daily turnover, is to be determined.
(11) Regulations under subsection (9) may, in particular, make provision enabling the appropriate authority to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of subsection (10) ). ”
18 (1) Section 112 (penalties: main procedural requirements) is amended as follows.
(2) Before subsection (1) insert—
“(A1) Before the appropriate authority imposes a penalty under section 110 (1) or (1A) , the authority must give the person concerned a provisional penalty notice.
(A2) A provisional penalty notice must—
(a) contain a draft of the final penalty notice the appropriate authority is minded to give to the person under subsection (1),
(b) invite the making of representations by the person to the authority about the proposed final penalty notice, and
(c) specify the means by which, and the time by which, such representations must be made.
(A3) The appropriate authority must have regard to any representations received in accordance with a provisional penalty notice before imposing a penalty under section 110 (1) or (1A) (and accordingly may not impose such a penalty before the time for the person concerned to make representations to the authority in accordance with that notice has expired). ”
(3) In subsection (1)—
(a) for “(3)” substitute “(1A)”;
(b) for “the CMA shall give notice of the penalty” substitute “the appropriate authority must give the person concerned a final penalty notice”.
(4) In subsection (2)—
(a) in the words before paragraph (a), after “The” insert “final penalty”;
(b) in paragraph (a), for “the CMA” substitute “the appropriate authority”;
(c) in paragraph (d), for “failure (or as the case may be) the obstruction or delay which the CMA” substitute “act or omission in question which the appropriate authority”;
(d) in paragraph (e), for “the CMA” substitute “the appropriate authority”;
(e) in paragraph (f), for “the CMA” substitute “the appropriate authority”.
(5) In subsection (3), for “the CMA” substitute “the appropriate authority”.
(6) After subsection (3) insert—
“(3A) A provisional penalty notice is given by serving a copy of the notice on the person on whom the appropriate authority is minded to impose the penalty. ”
(7) In subsection (4), in the words before paragraph (a), for “notice under this section” substitute “final penalty notice”.
19 (1) Section 113 (payment and interest by instalments) is amended as follows.
(2) In subsection (3), for “the CMA” substitute “the appropriate authority”.
(3) In subsection (4), for “the CMA” substitute “the appropriate authority”.
20 (1) Section 114 (appeals in relation to penalties) is amended as follows.
(2) In subsection (1), for “(3)” substitute “(1A)”
(3) In subsection (4), in the words before paragraph (a), for “the CMA” substitute “the appropriate authority”.
(4) In subsection (5), in paragraph (c), for “the CMA” substitute “the appropriate authority”.
(5) After subsection (5) insert—
“(5A) In the case of a penalty imposed on a person by the CMA or OFCOM, in considering what is appropriate for the purposes of subsection (5) the Competition Appeal Tribunal must have regard to the relevant guidance. ”
(6) In subsection (7), in paragraph (b), for “the CMA” substitute “the appropriate authority”.
(7) In subsection (12)—
(a) the words from ““the appropriate court”” to the end become paragraph (a);
(b) after that paragraph insert—
“(b) “ the relevant guidance ” means—
(i) in the case of a penalty imposed on a person by the CMA, the statement of policy which was most recently published under section 116 at the time when the act or omission concerned occurred;
(ii) in the case of a penalty imposed on a person by OFCOM, the statement of policy which was most recently published under section 392 of the Communications Act 2003 (penalties imposed by OFCOM) at the time when the act or omission concerned occurred. ”
21 (1) Section 115 (recovery of penalties) is amended as follows.
(2) In the words before paragraph (a), for “(3)” substitute “(1A)”.
(3) In the words after paragraph (b), for “the CMA” in both places it occurs substitute “the appropriate authority”.
22 (1) Section 116 (statement of policy) is amended as follows.
(2) For subsection (1) substitute—
“(1) The CMA must prepare and publish a statement of policy in relation to—
(a) the imposition of penalties under section 110, and
(b) the enforcement of notices under section 109. ”
(3) In subsection (2), for “(3)” substitute “(1A)”.
(4) In subsection (4), for “such” substitute “the Secretary of State and such other”.
(5) After subsection (4) insert—
“(5) A statement or revised statement of policy may not be published under this section without the approval of the Secretary of State. ”
23 After section 116 insert—
(1) A person (“ P ”) commits an offence if the person intentionally alters, suppresses or destroys any document which P has been required to produce by a notice under section 109.
(2) But P does not commit an offence under subsection (1) by reason of any act or omission if the CMA has proceeded against P under section 110 (1) or (1A) in relation to that act or omission.
(3) A person who commits an offence under subsection (1) is liable—
(a) on summary conviction, to a fine not exceeding the statutory maximum;
(b) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.
(4) In this section—
(a) the reference to the production of a document includes a reference to the production of a legible and intelligible copy of information recorded otherwise than in legible form;
(b) the reference to suppressing a document includes a reference to destroying the means of reproducing information recorded otherwise than in legible form. ”
24 (1) Section 117 (false or misleading information) is amended as follows.
(2) In sub-paragraph (1), in paragraph (a) for “the CMA, OFCOM or the Secretary of State” substitute “the appropriate authority”.
(3) In sub-paragraph (2), in the words after paragraph (b), for “the CMA, OFCOM or the Secretary of State” substitute “the appropriate authority”.
(4) After subsection (2) insert—
“(2A) A person does not commit an offence under subsection (1) or (2) by reason of any act or omission if the appropriate authority has proceeded against the person under section 110 (1) or (1A) in relation to that act or omission. ”
25 In section 120 (review of decisions under Part 3), in subsection (2), in paragraph (a), for “(3)” substitute “(1A)”.
26 In Part 4 of EA 2002 (market studies and market investigations), Chapter 4 (supplementary: investigation powers) is amended as follows.
27 (1) Section 174A (enforcement of powers under section 174: general) is amended as follows.
(2) In the heading, for “general” substitute “imposition of penalties”.
(3) For subsection (1) substitute—
“(1) The CMA may impose a penalty on a person in accordance with section 174D where the CMA considers that—
(a) the person has, without reasonable excuse, failed to comply with any requirement of a notice under section 174;
(b) the person has, without reasonable excuse, obstructed or delayed another person in the exercise of the other person’s powers under section 174(7);
(c) the person has, without reasonable excuse, altered, suppressed or destroyed any document which the person has been required to produce by a notice under section 174.
(1A) The relevant authority may impose a penalty on a person in accordance with section 174D where the authority considers that—
(a) the person has, without reasonable excuse, supplied information that is false or misleading in a material respect to the authority in connection with any of the authority’s functions under this Part;
(b) the person has, without reasonable excuse, supplied information that is false or misleading in a material respect to another person knowing that the information was to be used for the purpose of supplying information to the authority in connection with any function of the authority under this Part.
(1B) In this section, and in sections 174B to 174D, “ the relevant authority ” means—
(a) the CMA;
(b) the Secretary of State;
(c) the appropriate Minister (so far as the Minister is not the Secretary of State acting alone).
(1C) But the relevant authority may not proceed against a person under this section in relation to an act or omission which constitutes an offence under section 116A or 117 as applied by section 180 if the person has, by reason of that act or omission, been found guilty of that offence. ”
(4) In subsection (2), for “subsection (1)” substitute “subsection (1)(a)”.
(5) Omit subsections (3) to (7).
(6) In subsection (8)—
(a) for “(3)” substitute “(1A)”;
(b) for “failure concerned or (as the case may be) the obstruction or delay” substitute “act or omission”.
(7) After subsection (9) insert—
“(10) Sections 112 to 115 apply in relation to a penalty imposed under section 174A (1) or (1A) as they apply in relation to a penalty imposed under section 110 (1) or (1A) , with the following modifications—
(a) any reference in those provisions to the appropriate authority is to be read as a reference to the relevant authority within the meaning of this section;
(b) section 114 (5A) is to be read as if the words “or OFCOM” were omitted;
(c) section 114(12) is to be read as if, for paragraph (b) , there were substituted—
“(b) “ relevant guidance ” means the statement of policy which was most recently published under section 174E at the time when the act or omission concerned occurred. ” ”
28 (1) Section 174B (restriction on powers to impose penalties under section 174A) is amended as follows.
(2) In subsection (1)—
(a) for “174A(1) or (3)” substitute “174A(1)(a)or(b)”;
(b) for “4” substitute “ten”.
(3) In subsection (2), for “the failure or (as the case may be) the obstruction or delay” substitute “the act or omission giving rise to the penalty”.
29 (1) Section 174D (penalties) is amended as follows.
(2) In the heading, at the end insert “: amount”.
(3) In subsection (1)—
(a) for “(3)” substitute “(1A)”;
(b) for “the CMA” insert “the relevant authority”.
(4) In subsection (2), in the words before paragraph (a), for “174A(1)” substitute “174A(1)(a)”.
(5) In subsection (3), for “section 174A(3)” substitute “any of section 174A(1)(b),(c)or(1A)”.
(6) In subsection (4)—
(a) for the words before paragraph (a) substitute “A penalty imposed under section 174A(1)or(1A)on a person who does not own or control an enterprise must not—”;
(b) in paragraph (a), for “such amount as the Secretary of State may by order specify” substitute “£30,000”;
(c) in paragraph (b), for “such amount per day as the Secretary of State may so specify” substitute “£15,000 per day”;
(d) in paragraph (c) omit “as the Secretary of State may so specify”.
(7) After subsection (4) insert—
“(4A) A penalty imposed under section 174A (1) or (1A) on any other person must not—
(a) in the case of a fixed amount, exceed 1% of the total value of the turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person;
(b) in the case of an amount calculated by reference to a daily rate, for each day exceed 5% of the total value of the daily turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day. ”
(8) Omit subsections (5) and (6).
(9) Before subsection (7) insert—
“(6A) The Secretary of State may by regulations amend subsection (4)(a) and (b) by substituting for either or both of the sums for the time being specified in those paragraphs such other sum or sums as the Secretary of State considers appropriate. ”
(10) In subsection (7), in the words before paragraph (a), for “an order under subsection (4) or (5)” substitute “regulations undersubsection (6A)”.
(11) In subsection (8), in paragraph (a)—
(a) for “notice under section 112” substitute “provisional penalty notice under section 112(A1)”;
(b) for “subsection (10)” substitute “section 174A(10)”.
(12) Omit subsection (10).
(13) After subsection (10) insert—
“(11) The Secretary of State may by regulations make provision for determining, for the purposes of this section—
(a) when an enterprise is to be treated as being controlled by a person;
(b) the turnover and daily turnover (both in and outside the United Kingdom) of an enterprise.
(12) Regulations under subsection (11) (b) may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising an enterprise’s turnover or daily turnover;
(b) the date, or dates, by reference to which an enterprise’s turnover, or daily turnover, is to be determined.
(13) Regulations under subsection (11) may, in particular, make provision enabling the relevant authority to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of subsection (12) ). ”
30 (1) Section 174E (statement of policy on penalties) is amended as follows.
(2) For subsection (1) substitute—
“(1) The CMA must prepare and publish a statement of policy in relation to—
(a) the imposition of penalties under section 174A, and
(b) the enforcement of notices under section 174. ”
(3) In subsection (2), for “(3)” substitute “(1A)”.
(4) In subsection (4), for “such” substitute “the Secretary of State and such other”.
(5) After subsection (4) insert—
“(5) A statement or revised statement of policy may not be published under this section without the approval of the Secretary of State. ”
31 In section 179 (review of decisions under Part 4), in subsection (2), in paragraph (a), for “(3)” substitute “(1A)”.
32 (1) Section 180 (offences) is amended as follows.
(2) In subsection (1), after “Sections” insert “116A(intentional destruction etc of documents),”.
(3) For subsection (2) substitute—
“(1A) For the purposes of subsection (1), section 116A has effect as if—
(a) references to section 109 were references to section 174;
(b) the reference to section 110 (1) or (1A) were a reference to section 174A (1) or (1A) .
(1B) For the purposes of subsection (1), section 117 has effect as if—
(a) references to “the appropriate authority” were to “the relevant authority” within the meaning of section 174A;
(b) the reference to section 110 (1) or (1A) were a reference to section 174A (1) or (1A) . ”
33 In section 183 (interpretation: Part 4), in subsection (1), at the appropriate place insert—
““ enterprise ” means the activities, or part of the activities, of a business; ”.
34 In section 184 (index of defined expressions: Part 4), at the appropriate place in the table insert—
| “Enterprise | Section 183(1) ”. |
Section 143(2)
1 In Part 1 of CA 1998 (competition), Chapter 3 (investigation and enforcement) is amended as follows.
2 In section 31A (commitments), after subsection (2) insert—
“(2A) But the CMA may not accept commitments from a person unless it has provided the person with information about the possible consequences of failing to adhere to the commitments. ”
3 In section 31E (enforcement of commitments), after subsection (3) insert—
“(4) In deciding whether and, if so, how to proceed under this section, the CMA must have regard to the statement of policy which was most recently published by it under section 35C at the time of the failure to adhere to the commitments. ”
4 In the italic heading before section 32, at the end insert “: directions and interim measures”.
5 In section 34 (enforcement of directions), after subsection (3) insert—
“(4) In deciding whether and, if so, how to proceed under this section, the CMA must have regard to the statement of policy which was most recently published by it under section 35C at the time of the failure to comply with the direction. ”
6 After section 35 insert—
(1) The CMA may, in accordance with section 35B , impose a penalty on a person—
(a) from whom the CMA has accepted commitments under section 31A (and who has not been released from those commitments), or
(b) to whom the CMA has given a direction under section 32, 33 or 35,
where the CMA considers that the person has, without reasonable excuse, failed to adhere to the commitments or comply with the direction.
(2) In deciding whether and, if so, how to proceed under subsection (1) the CMA must have regard to the statement of policy which was most recently published under section 35C at the time of the failure to adhere or comply.
(1) A penalty under section 35A (1) is to be such amount as the CMA considers appropriate.
(2) The amount must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) A penalty imposed under section 35A (1) on a person who is not an undertaking must not—
(a) in the case of a fixed amount, exceed £30,000;
(b) in the case of an amount calculated by reference to a daily rate, exceed £15,000 per day;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day.
(4) A penalty imposed under section 35A (1) on a person who is an undertaking must not—
(a) in the case of a fixed amount, exceed 5% of the total value of the turnover of the undertaking;
(b) in the case of an amount calculated by reference to a daily rate, for each day exceed 5% of the total value of the daily turnover of the undertaking;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day.
(5) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the service on the person concerned of the provisional penalty notice under section 112 (A1) of the Enterprise Act 2002 (as applied by subsection (6) ), and
(b) unless the CMA determines an earlier date (whether before or after the penalty is imposed), the amount payable ceases to accumulate at the beginning of the day on which the person adheres to the commitments or complies with the direction (as the case may be) referred to in section 35A (1) .
(6) Sections 112 to 115 of the Enterprise Act 2002 apply in relation to a penalty imposed under section 35A (1) as they apply in relation to a penalty imposed under section 110 (1) or (1A) of that Act, with the following modifications—
(a) any reference in those provisions to the appropriate authority is to be read as a reference to the CMA only;
(b) section 114 (5A) is to be read as if the words “In the case of a penalty imposed on a person by the CMA or OFCOM,” were omitted;
(c) section 114(12) is to be read as if, for paragraph (b), there were substituted—
“(b) “ relevant guidance ” means the statement of policy which was most recently published under section 35C at the time when the act or omission concerned occurred. ”
(7) The Secretary of State may by regulations amend subsection (3) (a) and (b) by substituting for either or both of the sums for the time being specified in those paragraphs such other sum or sums as the Secretary of State considers appropriate.
(8) Before making regulations under subsection (7) the Secretary of State must consult—
(a) the CMA, and
(b) such other persons as the Secretary of State considers appropriate.
(9) The Secretary of State may by regulations make provision for determining the turnover and daily turnover of an undertaking for the purposes of subsection (4) .
(10) Regulations under subsection (9) may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising an undertaking’s turnover or daily turnover;
(b) the date, or dates, by reference to which an undertaking’s turnover, or daily turnover, is to be determined.
(11) Regulations under subsection (9) may, in particular, make provision enabling the CMA to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of subsection (10) ).
(1) The CMA must prepare and publish a statement of policy in relation to the exercise of functions under sections 31E, 34 and 35A .
(2) The statement must, in particular, include a statement about the considerations relevant to the determination of the nature and amount of any penalty imposed under section 35A (1) .
(3) The CMA may revise its statement of policy and, where it does so, it must publish the revised statement.
(4) The CMA must consult the Secretary of State and such other persons as it considers appropriate when preparing or revising its statement of policy.
(5) If the proposed statement of policy or revision relates to a matter in respect of which a regulator exercises concurrent jurisdiction, those consulted must include that regulator.
(6) A statement or revised statement of policy may not be published under this section without the approval of the Secretary of State.
7 In Part 3 of EA 2002 (mergers), Chapter 4 (enforcement) is amended as follows.
8 (1) Section 34C (functions to be exercised by CMA groups) is amended as follows.
(2) In subsection (1)(e), for “94A” substitute “94AA”.
(3) In subsection (3)(e), for “and 94” substitute “, 94 and94AA”.
9 (1) Section 89 (subject-matter of undertakings) is amended as follows.
(2) In the heading, at the start insert “Acceptance and”.
(3) Before subsection (1) insert—
“(A1) An appropriate authority may not accept an enforcement undertaking from a person unless it has provided the person with information about the possible consequences of failing to comply with the undertaking. ”
(4) After subsection (2) insert—
“(3) In this section, “ appropriate authority ” has the same meaning as in section 94AA . ”
10 In section 94 (rights to enforce undertakings and orders), after subsection (9) insert—
“(10) In deciding whether and, if so, how to proceed under this section, the CMA must have regard to the statement of policy which was most recently published by it under section 94B at the time of the failure to comply with the undertaking or (as the case may be) order. ”
11 For section 94A substitute—
(1) The appropriate authority may, in accordance with section 94AB , impose a penalty on a person—
(a) from whom the authority has accepted an enforcement undertaking, or
(b) to whom an enforcement order is addressed,
where the authority considers that the person has, without reasonable excuse, failed to comply with the undertaking or order.
(2) In this section and in section 94AB , “ the appropriate authority ” means—
(a) in relation to an enforcement undertaking or enforcement order made by the Secretary of State under Schedule 7, the Secretary of State;
(b) in relation to any other enforcement undertaking or enforcement order, the CMA.
(3) In deciding whether and, if so, how to proceed under subsection (1) the CMA must have regard to the statement of policy which was most recently published under section 94B at the time of the failure to comply.
(1) A penalty under section 94AA (1) is to be such amount as the appropriate authority considers appropriate.
(2) The amount must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) A penalty imposed under section 94AA (1) on a person who does not own or control an enterprise must not—
(a) in the case of a fixed amount, exceed £30,000;
(b) in the case of an amount calculated by reference to a daily rate, exceed £15,000 per day;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day.
(4) A penalty imposed under section 94AA (1) on any other person must not—
(a) in the case of a fixed amount, exceed 5% of the total value of the turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person on whom it is imposed;
(b) in the case of an amount calculated by reference to a daily rate, for each day exceed 5% of the total value of the daily turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person on whom it is imposed;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day.
(5) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the service on the person concerned of the provisional penalty notice under section 112 (A1) (as applied by subsection (6) ), and
(b) unless the CMA determines an earlier date (whether before or after the penalty is imposed), the amount payable ceases to accumulate at the beginning of the day on which the person complies with the enforcement undertaking or enforcement order.
(6) Sections 112 to 115 apply in relation to a penalty imposed under section 94AA (1) as they apply in relation to a penalty imposed under section 110 (1) or (1A) , with the following modifications—
(a) any reference in those provisions to the appropriate authority is to be read as a reference to the appropriate authority within the meaning of this section (see section 94AA (2) );
(b) section 114 (5A) is to be read as if the words “or OFCOM” were omitted;
(c) section 114(12) is to be read as if, for paragraph (b), there were substituted—
“(b) “ relevant guidance ” means the statement of policy which was most recently published under section 94B at the time when the act or omission concerned occurred. ”
(7) The Secretary of State may by regulations amend subsection (3) (a) and (b) by substituting for either or both of the sums for the time being specified in those paragraphs such other sum or sums as the Secretary of State considers appropriate.
(8) Before making regulations under subsection (7) the Secretary of State must consult—
(a) the CMA, and
(b) such other persons as the Secretary of State considers appropriate.
(9) The Secretary of State may by regulations make provision for determining, for the purposes of this section—
(a) when an enterprise is to be treated as being controlled by a person;
(b) the turnover and daily turnover (both in and outside the United Kingdom) of an enterprise.
(10) Regulations under subsection (9) (b) may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising an enterprise’s turnover or daily turnover;
(b) the date, or dates, by reference to which an enterprise’s turnover, or daily turnover, is to be determined.
(11) Regulations under subsection (9) may, in particular, make provision enabling the appropriate authority to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of subsection (10) ). ”
12 (1) Section 94B (statement of policy in relation to powers under sections 94 and 94A) is amended as follows.
(2) In the heading—
(a) for “powers” substitute “functions”.
(b) for “94A” substitute “94AA”.
(3) In subsection (1)—
(a) in the words before paragraph (a), for “use of its powers” substitute “exercise of functions”;
(b) in paragraph (a) omit “, insofar as they relate to interim measures”;
(c) in paragraph (b), for “94A” substitute “94AA”.
(4) In subsection (2), for “94A” substitute “94AA”.
(5) Omit subsection (6).
13 In section 120 (review of decisions under Part 3), in subsection (2), in paragraph (a), for “94A(1)” substitute “94AA(1)”.
14 In Part 4 of EA 2002 (market studies and market investigations), Chapter 3 (enforcement) is amended as follows.
15 (1) Section 133A (functions to be exercised by CMA groups) is amended as follows.
(2) In subsection (1)(i), for “section 167” substitute “sections 167 and167A”.
(3) In subsection (2)(e), for “section 167” substitute “sections 167 and167A”.
16 After section 161 insert—
(1) The relevant authority may not accept an enforcement undertaking from a person unless it has provided the person with information about the possible consequences of failing to comply with the undertaking.
(2) In subsection (1) , “ the relevant authority ” means—
(a) in the case of a restricted PI reference or a full PI reference, the Secretary of State;
(b) in any other case, the CMA. ”
17 In section 167 (rights to enforce undertakings and orders under this Part), after subsection (9) insert—
“(10) In deciding whether and, if so, how to proceed under this section, the CMA must have regard to the statement of policy which was most recently published by it under section 167C at the time of the failure to comply with the undertaking or (as the case may be) order. ”
18 After section 167 insert—
(1) The relevant authority may, in accordance with section 167B , impose a penalty on a person—
(a) from whom the authority has accepted an enforcement undertaking, or
(b) to whom an enforcement order is addressed,
where the authority considers that the person has, without reasonable excuse, failed to comply with the undertaking or order.
(2) In this section and in section 167B , “ the relevant authority ” means—
(a) in the case of a restricted PI reference or a full PI reference, the Secretary of State;
(b) in any other case, the CMA.
(3) In deciding whether and, if so, how to proceed under subsection (1) the CMA must have regard to the statement of policy which was most recently published under section 167C at the time of the failure to comply.
(1) A penalty under section 167A (1) is to be such amount as the relevant authority considers appropriate.
(2) The amount must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(3) A penalty imposed under section 167A (1) on a person who does not own or control an enterprise must not—
(a) in the case of a fixed amount, exceed £30,000;
(b) in the case of an amount calculated by reference to a daily rate, exceed £15,000 per day;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day.
(4) A penalty imposed under section 167A (1) on any other person must not—
(a) in the case of a fixed amount, exceed 5% of the total value of the turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person on whom it is imposed;
(b) in the case of an amount calculated by reference to a daily rate, for each day exceed 5% of the total value of the daily turnover (both in and outside the United Kingdom) of the enterprises owned or controlled by the person on whom it is imposed;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, exceed such fixed amount and such amount per day.
(5) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the service on the person concerned of the provisional penalty notice under section 112 (A1) (as applied by subsection (6) ), and
(b) unless the CMA determines an earlier date (whether before or after the penalty is imposed), the amount payable ceases to accumulate at the beginning of the day on which the person complies with the enforcement undertaking or enforcement order.
(6) Sections 112 to 115 apply in relation to a penalty imposed under section 167A (1) as they apply in relation to a penalty imposed under section 110 (1) or (1A) , with the following modifications—
(a) any reference in those provisions to the appropriate authority is to be read as a reference to the relevant authority within the meaning of this section (see section 167A (2) );
(b) section 114 (5A) is to be read as if the words “or OFCOM” were omitted;
(c) section 114(12) is to be read as if, for paragraph (b), there were substituted—
“(b) “ relevant guidance ” means the statement of policy which was most recently published under section 167C at the time when the act or omission concerned occurred. ”
(7) The Secretary of State may by regulations amend subsection (3) (a) and (b) by substituting for either or both of the sums for the time being specified in those paragraphs such other sum or sums as the Secretary of State considers appropriate.
(8) Before making regulations under subsection (7) the Secretary of State must consult—
(a) the CMA, and
(b) such other persons as the Secretary of State considers appropriate.
(9) The Secretary of State may by regulations make provision for determining, for the purposes of this section—
(a) when an enterprise is to be treated as being controlled by a person;
(b) the turnover and daily turnover (both in and outside the United Kingdom) of an enterprise.
(10) Regulations under subsection (9) (b) may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising an enterprise’s turnover or daily turnover;
(b) the date, or dates, by reference to which an enterprise’s turnover, or daily turnover, is to be determined.
(11) Regulations under subsection (9) may, in particular, make provision enabling the relevant authority to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of subsection (10) ).
(1) The CMA must prepare and publish a statement of policy in relation to the exercise of functions under sections 167 and 167A .
(2) The CMA must, in particular, include a statement about the considerations relevant to the determination of the amount of any penalty imposed under section 167A .
(3) The CMA may revise its statement of policy and, where it does so, it must publish the revised statement.
(4) The CMA must consult the Secretary of State and such other persons as it considers appropriate when preparing or revising its statement of policy.
(5) A statement or revised statement of policy may not be published under this section without the approval of the Secretary of State. ”
19 In section 179 (review of decisions under Part 4), in subsection (2), in paragraph (a), after “section” insert “167A(1)or”.
Section 143(3)
1 In the Civil Aviation Act 2012, Chapter 2 of Part 1 (regulation of operators of dominant airports: competition) is amended as follows.
2 (1) Section 60 (functions of the CAA under Part 4 of EA 2002) is amended as follows.
(2) In subsection (2), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (3), in paragraph (a), after “166” insert “,167C”.
3 In section 61 (functions of the CAA under Part 4 of EA 2002: supplementary), in subsection (8), for “or 171” substitute “,167C, 171 or 174E”.
4 (1) Section 62 (functions of the CAA under CA 1998) is amended as follows.
(2) In subsection (2), in the words after paragraph (b), after “31D(1) to (6)” insert “,35C”.
(3) In subsection (4), after “31D(1) to (6)” insert “,35C”.
5 In section 63 (functions of the CAA under CA 1998: supplementary), in subsection (1), after “31D(1) to (6)” insert “,35C”.
6 (1) Section 86 of the Transport Act 2000 (functions of the CAA with respect to competition) is amended as follows.
(2) In subsection (2), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (3), in the words before paragraph (a), after “31D(1) to (6)” insert “,35C”.
(4) In subsection (4)—
(a) in paragraph (a), after “166” insert “,167C”;
(b) in paragraph (b), after “31D(1) to (6)” insert “,35C”.
(5) In subsection (7), in paragraph (b), after “31D(1) to (6)” insert “,35C”.
7 The Financial Services and Markets Act 2000 is amended as follows.
8 (1) Section 234I (functions of the FCA under Part 4 of EA 2002) is amended as follows.
(2) In the list in subsection (3)—
(a) after the entry for section 166 of EA 2002 insert—
“section 167C (statement of policy in relation to functions under sections 167 and 167A ); ”;
(b) after the entry for section 171 of EA 2002 insert—
“section 174E (statement of policy on penalties). ”
(3) In subsection (5), in paragraph (a) for “or 171” substitute “,167C, 171 or 174E”.
9 (1) Section 234J (functions of the FCA under CA 1998) is amended as follows.
(2) In subsection (3) after the entry for section 31D(1) to (6) of CA 1998 insert—
“section 35C (statement of policy in relation to functions under sections 31E, 34 and 35A ); ”.
(3) In subsection (5), in paragraph (a), after “31D(1) to (6)” insert “,35C”.
10 (1) Article 29 of the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I. 21))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition) is amended as follows.
(2) In paragraph (2), in the words before sub-paragraph (a), after “166” insert “,167C”.
(3) In paragraph (3), in the words before sub-paragraph (a)—
(a) after “31D(1) to (6)” insert “,35C”;
(b) after “38(1) to (6)” insert “, 40B(1) to (4)”.
(4) In paragraph (4), in sub-paragraph (a), after “166” insert “,167C”.
(5) In paragraph (5)—
(a) after “31D(1) to (6)” insert “,35C”;
(b) after “38(1) to (6)” insert “, 40B(1) to (4)”.
(6) In paragraph (9), in sub-paragraph (b)—
(a) after “31D(1) to (6)” insert “,35C”;
(b) after “38(1) to (6)” insert “, 40B(1) to (4)”.
(7) Omit paragraph (10).
11 (1) Article 23 of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I. 2))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition) is amended as follows.
(2) In paragraph (2A), in the words before sub-paragraph (a), after “166” insert “,167C”.
(3) In paragraph (2B), in sub-paragraph (a), after “166” insert “,167C”.
(4) In paragraph (3), in the words before sub-paragraph (a), after “31D(1) to (6)” insert “,35C”.
(5) In paragraph (3A), after “31D(1) to (6)” insert “,35C”.
(6) In paragraph (6), in sub-paragraph (b), after “31D(1) to (6)” insert “,35C”.
(7) Omit paragraph (7).
12 (1) Article 46 of the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I. 1))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition) is amended as follows.
(2) In paragraph (2A), in the words before sub-paragraph (a), after “166” insert “,167C”.
(3) In paragraph (2B), in sub-paragraph (a), after “166” insert “,167C”.
(4) In paragraph (3), in the words before sub-paragraph (a), after “31D(1) to (6)” insert “,35C”.
(5) In paragraph (3A), after “31D(1) to (6)” insert “,35C”.
(6) In paragraph (6), in sub-paragraph (b), after “31D(1) to (6)” insert “,35C”.
(7) Omit paragraph (6A).
13 The Communications Act 2003 is amended as follows.
14 (1) Section 370 (functions of OFCOM under Part 4 of EA 2002) is amended as follows.
(2) In subsection (2), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (3), in paragraph (a), after “166” insert “,167C”.
(4) Omit subsection (10).
15 (1) Section 371 (functions of OFCOM under CA 1998) is amended as follows.
(2) In subsection (2), in the words before paragraph (a), after “31D(1) to (6)” insert “,35C”.
(3) In subsection (3), in paragraph (a), after “31D(1) to (6)” insert “,35C”.
16 (1) Section 392 (penalties imposed by OFCOM) is amended as follows.
(2) In subsection (1), after “the Competition Act 1998 (c. 41)” insert “and Part 4 of the Enterprise Act 2002”.
(3) In subsection (6), after “the Competition Act 1998 (c. 41)” insert “and Part 4 of the Enterprise Act 2002”.
17 (1) Section 43 of the Electricity Act 1989 (functions of Ofgem with respect to competition) is amended as follows.
(2) In subsection (2A), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (2B), in paragraph (a), after “166” insert “,167C”.
(4) In subsection (3), in the words before paragraph (a), after “31D(1) to (6)” insert “,35C”.
(5) In subsection (3A), after “31D(1) to (6)” insert “,35C”.
(6) In subsection (6), in paragraph (b), after “31D(1) to (6)” insert “,35C”.
(7) Omit subsection (6A).
18 (1) Section 36A of the Gas Act 1986 (functions of Ofgem with respect to competition) is amended as follows.
(2) In subsection (2A), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (2B), in paragraph (a), after “166” insert “,167C”.
(4) In subsection (3), in the words before paragraph (a), after “31D(1) to (6)” insert “,35C”.
(5) In subsection (3A), after “31D(1) to (6)” insert “,35C”.
(6) In subsection (7), in paragraph (b), after “31D(1) to (6)” insert “,35C”.
(7) Omit subsection (8).
19 (1) Section 67 of the Railways Act 1993 (functions of the ORR with respect to competition) is amended as follows.
(2) In subsection (2A), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (2B), in paragraph (a), after “166” insert “,167C”.
(4) In subsection (3), in the words before paragraph (a), after “31D(1) to (6)” insert “,35C”.
(5) In subsection (3A), after “31D(1) to (6)” insert “,35C”.
(6) In subsection (8), in paragraph (b), after “31D(1) to (6)” insert “,35C”.
(7) Omit subsection (9).
20 The Financial Services (Banking Reform) Act 2013 is amended as follows.
21 (1) Section 59 (functions of the Payment Systems Regulator under Part 4 of EA 2002) is amended as follows.
(2) In the list in subsection (3)—
(a) after the entry for section 166 of EA 2002 insert—
“section 167C (statement of policy in relation to functions under sections 167 and 167A ); ”;
(b) after the entry for section 171 of EA 2002 insert—
“section 174E (statement of policy on penalties). ”
(3) In subsection (5), in paragraph (a), for “or 171” substitute “,167C, 171 or 174E”.
22 (1) Section 61 (functions of the Payment Systems Regulator under CA 1998) is amended as follows.
(2) In subsection (3), after the entry for section 31D(1) to (6) of CA 1998 insert—
“section 35C (statement of policy in relation to functions under sections 31E, 34 and 35A ); ”.
(3) In subsection (5), in paragraph (a), after “31D(1) to (6)” insert “,35C”.
23 (1) Section 31 of the Water Industry Act 1991 (functions of Ofwat with respect to competition) is amended as follows.
(2) In subsection (2A), in the words before paragraph (a), after “166” insert “,167C”.
(3) In subsection (3), in the words before paragraph (a), after “31D(1) to (6)” insert “,35C”.
(4) In subsection (4), in paragraph (a), after “166” insert “,167C”.
(5) In subsection (4A), after “31D(1) to (6)” insert “,35C”.
(6) In subsection (8), in paragraph (b), after “31D(1) to (6)” insert “,35C”.
(7) Omit subsection (8A).
Section 144
1 In Part 3 of EA 2002 (mergers), in Chapter 5 (supplementary), for section 126 (service of documents) substitute—
(1) This section applies in relation to any document required or authorised under this Part to be served on a person by the CMA, OFCOM or the Secretary of State.
(2) The document may be served by—
(a) delivering it to the person,
(b) leaving it at the person’s proper address,
(c) sending it by post to the person at that address, or
(d) sending it to the person by email to their email address.
(3) A document may be served on a body corporate by giving it to any officer of that body.
(4) A document may be served on a partnership by giving it to any partner or a person who has the control or management of the partnership business.
(5) A document may be served on an unincorporated body or association (other than a partnership) by giving it to any member of the governing body of the association.
(6) A person’s proper address is—
(a) in a case where the person has specified an address as one at which the person, or someone acting on the person’s behalf, will accept service of documents, that address;
(b) in any other case, the address determined in accordance with subsection (7) .
(7) A person’s “proper address” is (if subsection (6) (a) does not apply)—
(a) in the case of a body corporate, its registered or principal office;
(b) in the case of a partnership, the principal office of the partnership;
(c) in the case of an unincorporated body or association, the principal office of the body or association;
(d) in a case where none of paragraphs (a) to (c) apply, any address at which the CMA, OFCOM or the Secretary of State believes, on reasonable grounds, that the document will come to the attention of the person.
(8) A person’s email address is—
(a) any email address published for the time being by that person as an address for contacting that person, or
(b) if there is no such published address, any email address by means of which the CMA, OFCOM or the Secretary of State believes, on reasonable grounds, that the document will come to the attention of that person.
(9) In the case of—
(a) a body corporate registered outside the United Kingdom,
(b) a partnership carrying on business outside the United Kingdom, or
(c) any other body with offices outside the United Kingdom,
references to its principal office include references to its principal office in the United Kingdom or, if it has no principal office in the United Kingdom, any place in the United Kingdom where it carries on business or conducts activities.
(10) In this section “ officer ”, in relation to any body corporate, means a director, manager, secretary or other similar officer of the body.
(11) This section does not limit any other lawful means of serving a document on a person. ”
2 In Part 1 of CA 1998, in Chapter 3 (investigation and enforcement), after section 44 insert—
Section 126 of the Enterprise Act 2002 (service of documents) applies to the giving of notices under this Chapter as it applies to the service of documents under Part 3 of that Act. ”
3 In section 61(4) of the Financial Services (Banking Reform) Act 2013 (functions of the Payment Systems Regulator under CA 1998), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
4 In section 62(4) of the Civil Aviation Act 2012 (functions of the Civil Aviation Authority under CA 1998), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
5 In section 371(3) of the Communications Act 2002 (functions of OFCOM under CA 1998), in the words before paragraph (a), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
6 In section 86(4)(b) of the Transport Act 2000 (functions of the Civil Aviation Authority with respect to competition), after “and 54” insert “but including references in provisions of the Enterprise Act 2002 applied by that Part”.
7 In section 234J(4) of the Financial Services and Markets Act 2000 (functions of the FCA under CA 1998), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
8 In section 67(3A) of the Railways Act 1993 (functions of the Office of Rail and Road with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
9 In section 31(4A) of the Water Industry Act 1991 (functions of Ofwat with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
10 In section 43(3A) of the Electricity Act 1989 (functions of Ofgem with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
11 In section 36A(3A) of the Gas Act 1986 (functions of Ofgem with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
12 In Article 29(5) of the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I. 21))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
13 In Article 23(3A) of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I. 2))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
14 In Article 46(3A) of the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I. 1))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition), after “Part 1 of the Competition Act 1998” insert “(including references in provisions of the Enterprise Act 2002 applied by that Part)”.
15 In Chapter 3 of Part 1 of CA 1998 (investigation and enforcement), after section 44A (inserted byparagraph 2) insert—
(1) This section applies to the exercise of the CMA’s power to give a person a notice under section 26 or 40ZD.
(2) The power is exercisable so as to—
(a) give the notice to a person who is outside the United Kingdom (subject to subsections (3) and (4) );
(b) require the production of a specified document, or the provision of specified information, held outside the United Kingdom.
(3) The CMA’s power to give a notice under section 26 to a person outside the United Kingdom by virtue of subsection (2) (a) is exercisable only if—
(a) the person’s activities are being investigated as part of an investigation under section 25, or
(b) the person has a UK connection.
(4) The CMA’s power to give a notice under section 40ZD to a person outside the United Kingdom by virtue of subsection (2) (a) is exercisable only if—
(a) the person is bound by transferred EU anti-trust commitments (within the meaning of section 40ZA), or
(b) the person is subject to a transferred EU anti-trust direction (within the meaning of that section).
(5) For the purposes of subsection (3) (b) , a person has a UK connection if the person—
(a) is a United Kingdom national;
(b) is an individual who is habitually resident in the United Kingdom;
(c) is a body incorporated under the law of any part of the United Kingdom;
(d) carries on business in the United Kingdom.
(6) In subsection (5) (a) “ United Kingdom national ” means—
(a) a British citizen, a British overseas territories citizen, a British National (Overseas) or a British Overseas citizen;
(b) a person who is a British subject under the British Nationality Act 1981;
(c) a British protected person within the meaning of that Act.
(7) Nothing in this section is to be taken to limit any other power of the CMA to give a notice under section 26 or 40ZD to a person outside the United Kingdom. ”
16 In Chapter 5 of Part 3 of EA 2002 (mergers: supplementary: investigation powers), after section 109A insert—
(1) This section applies to the exercise of the CMA’s power to give a person a notice under section 109(2) or (3).
(2) The power is exercisable so as to—
(a) give the notice to a person who is outside the United Kingdom (subject to subsection (3) );
(b) require the production of documents, or the supply of information, held outside the United Kingdom.
(3) The CMA’s power to give a notice under section 109(2) or (3) to a person outside the United Kingdom by virtue of subsection (2) (a) is exercisable only if—
(a) the person is, or was, part of, or involved with or carrying on, an enterprise which has or may have ceased, or may cease, to be a distinct enterprise in circumstances where a reference has been, or may be, made under section 22, 33, 45, 62, 62B or 68C, or a foreign state intervention notice has been given under section 70A(1), in relation to the enterprise, or
(b) the person has a UK connection.
(4) For the purposes of subsection (3) (b) , a person has a UK connection if the person—
(a) is a United Kingdom national;
(b) is an individual who is habitually resident in the United Kingdom;
(c) is a body incorporated under the law of any part of the United Kingdom;
(d) carries on business in the United Kingdom.
(5) Nothing in this section is to be taken to limit any other power of the CMA to give a notice under section 109(2) or (3) to a person outside the United Kingdom. ”
17 In Chapter 4 of Part 4 of EA 2002 (market studies and market investigations: supplementary: investigation powers), after section 174 insert—
(1) This section applies to the exercise of the CMA’s power to give a person a notice under section 174(4) or (5).
(2) The power is exercisable so as to—
(a) give the notice to a person who is outside the United Kingdom (subject to subsection (3) );
(b) require the production of documents, or the supply of information, held outside the United Kingdom.
(3) The CMA’s power to give a notice under section 174(4) or (5) to a person outside the United Kingdom by virtue of subsection (2) (a) is exercisable only if the person—
(a) is a United Kingdom national;
(b) is an individual who is habitually resident in the United Kingdom;
(c) is a body incorporated under the law of any part of the United Kingdom;
(d) carries on business in the United Kingdom.
(4) In subsection (3) (a) “ United Kingdom national ” has the same meaning as in Part 3 (see section 129(1)).
(5) Nothing in this section is to be taken to limit any other power of the CMA to give a notice under section 174(4) or (5) to a person outside the United Kingdom. ”
Section 145
1 (1) In Part 4 of CA 1998 (supplemental and transitional), section 71 (regulations, orders and rules) is amended as follows.
(2) In subsection (4)—
(a) in the words before paragraph (a), for “No order is to be made” substitute “An order made”;
(b) for the words after paragraph (e) substitute “is subject to the affirmative procedure”.
(3) After subsection (4) insert—
“(4A) Regulations made under section 35B (7) or 40A (7A) are subject to the affirmative procedure. ”
(4) In subsection (5)—
(a) in paragraph (a), after “(4)” insert “or(4A)”;
(b) for the words after paragraph (b) substitute “is subject to the negative procedure”.
(5) After subsection (5) insert—
“(6) Any provision that may be made by order or regulations under this Act subject to the negative procedure may instead be made by order or regulations subject to the affirmative procedure.
(7) Where orders or regulations under this Act are subject to “the affirmative procedure”, the orders or regulations may not be made unless a draft of the statutory instrument containing them has been laid before, and approved by a resolution of, each House of Parliament.
(8) Where orders or regulations under this Act are subject to “the negative procedure”, the statutory instrument containing them is subject to annulment in pursuance of a resolution of either House of Parliament. ”
2 (1) In Part 3 of EA 2002 (mergers), section 124 (orders and regulations under Part 3) is amended as follows.
(2) In subsection (4) omit “, 94A(6)”.
(3) In subsection (5)—
(a) omit “Regulations made by the Secretary of State under section 68A or”;
(b) after “section 65(3)),” insert “59(6A)(a),”;
(c) omit “, 94A(3) or (6), 111(4) or (6)”;
(d) for “shall be subject to annulment in pursuance of a resolution of either House of Parliament” substitute “is subject to the negative procedure”;
(4) After subsection (5) insert—
“(5A) Regulations made under section 68A, 94AB (9) or 111 (9) are subject to the negative procedure. ”
(5) In subsection (6)—
(a) for “No order shall be made” substitute “An order made”;
(b) for “section 59(6A)” substitute “section 59(6A)(b)”;
(c) for “unless a draft of it has been laid before, and approved by a resolution of, each House of Parliament” substitute “is subject to the affirmative procedure”.
(6) For subsection (6A) substitute—
“(6A) Regulations made under section 70G , 94AB (7) or 111 (7A) , or paragraph 15 of Schedule 6B , are subject to the affirmative procedure.
(6B) Any provision that may be made by order or regulations under this Part subject to the negative procedure may instead be made by order or regulations subject to the affirmative procedure. ”
(7) After subsection (10) insert—
“(11) Where orders or regulations under this Part are subject to “the affirmative procedure”, the orders or regulations may not be made unless a draft of the statutory instrument containing them has been laid before, and approved by a resolution of, each House of Parliament.
(12) Where orders or regulations under this Act are subject to “the negative procedure”, the statutory instrument containing them is subject to annulment in pursuance of a resolution of either House of Parliament. ”
3 (1) In Part 4 of EA 2002 (market studies and market investigations), section 181 (orders under Part 4) is amended as follows.
(2) In the heading, after “Orders” insert “and regulations”.
(3) In subsection (1), after “order” insert “or regulations”.
(4) In subsection (2), after “order” insert “or regulations”.
(5) In subsection (4)—
(a) omit “174D(4) or (5)”;
(b) for “section 174D” substitute “section 174A(10)”;
(c) for “shall be subject to annulment in pursuance of a resolution of either House of Parliament” substitute “is subject to the negative procedure”.
(6) After subsection (4) insert—
“(4A) Regulations made under section 167B (9) or 174D (11) are subject to the negative procedure. ”
(7) In subsection (5)—
(a) for “No order shall be made” substitute “An order made”;
(b) for “unless a draft of it has been laid before, and approved by a resolution of, each House of Parliament” substitute “is subject to the affirmative procedure”.
(8) After subsection (5)—
“(5A) Regulations made under paragraph (b) of the definition of “qualifying remedial action” in section 161B (3) , or under section 167B (7) or 174D (6A) , are subject to the affirmative procedure.
(5B) Any provision that may be made by order or regulations under this Part subject to the negative procedure may instead be made by order or regulations subject to the affirmative procedure. ”
(9) In subsection (10), for “174D” substitute “174A(10)”.
(10) After subsection (10) insert—
“(11) Where orders or regulations under this Part are subject to “the affirmative procedure”, the orders or regulations may not be made unless a draft of the statutory instrument containing them has been laid before, and approved by a resolution of, each House of Parliament.
(12) Where orders or regulations under this Act are subject to “the negative procedure”, the statutory instrument containing them is subject to annulment in pursuance of a resolution of either House of Parliament. ”
Section 150
| Enactment | Authorised enforcers | Information about transitional etc provision |
|---|---|---|
| 1. Acts of Parliament | ||
| Accommodation Agencies Act 1953 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Section 40 of the Administration of Justice Act 1970 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Sections 4, 5 and 7 of the Cancer Act 1939 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Sections 60, 61 and 63 of the Charities Act 1992 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Section 7(1) and (2) of the Children and Young Persons Act 1933 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Section 4 of the Children and Young Persons (Protection from Tobacco) Act 1991 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
In relation to Scotland, see Article 2 of the Tobacco and Primary Medical Services (Scotland) Act 2010 (Ancillary Provisions) Order 2010 ( S.S.I. 2010/77) for provision about the application of the section in connection with its repeal |
| Sections 319, 321, 322, 325, 368F, 368G and 368H of the Communications Act 2003 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Part 41 of the Companies Act 2006 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Consumer Credit Act 1974 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Parts 1 and 2 and Chapter 5 of Part 3 of, and Schedules 2 and 3 and Part 3 of Schedule 5 to, the Consumer Rights Act 2015 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Sections 107, 198 and 297A of the Copyright Designs and Patents Act 1988 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Chapter 1 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Chapter 2 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Chapter 3 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 | (1)
The following public designated enforcers— (a)
the CMA; (b)
every local weights and measures authority in Great Britain; (c)
the Department for the Economy in Northern Ireland. |
|
| Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Estate Agents Act 1979 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Hallmarking Act 1973 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Malicious Communications Act 1988 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Misrepresentation Act 1967 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of provisions of the Act in connection with the coming into force of CRA 2015 |
| Sections 13 and 16 of the National Lottery Act 1993 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Section 4 of the Prices Act 1974 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Protection from Harassment Act 1997 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Sections 75 and 76 of the Road Traffic Act 1988 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Sale of Goods Act 1979 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of provisions of the Act in connection with the coming into force of CRA 2015 |
| Supply of Goods (Implied Terms) Act 1973 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of provisions of the Act in connection with the coming into force of CRA 2015 |
| Supply of Goods and Services Act 1982 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of provisions of the Act in connection with the coming into force of CRA 2015 |
| Tobacco Advertising and Promotion Act 2002 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Section 12 of the Torts (Interference with Goods) Act 1977 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Trade Descriptions Act 1968 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See Schedule 3 to the Consumer Protection from Unfair Trading Regulations 2008 ( S.I. 2008/1277) for provision about the application of provisions of the Act that have been repealed |
| Section 92 of the Trade Marks Act 1994 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Unfair Contract Terms Act 1977 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of provisions of the Act in connection with the coming into force of CRA 2015 |
| Sections 21 to 23, 25, 28, 30, 31, 32, 50(5) and (6) of the Weights and Measures Act 1985 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See Article 21 of the Weights and Measures (Packaged Goods) Regulations 2006 ( S.I. 2006/659) for provision about the application of provisions of the Act that have been repealed |
| 2. Secondary legislation | ||
| Regulations 19(1) and (2) of the Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015 ( S.I. 2015/542) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Breaching of Limits on Ticket Sales Regulations 2018 ( S.I. 2018/735) | (1)
CMA |
|
| Regulations 2, 4, 13, 15 and 18 of the Business Protection from Misleading Marketing Regulations 2008 ( S.I. 2008/1276) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Civil Aviation (Access to Air Travel for Disabled Persons and Persons with Reduced Mobility) Regulations 2014 ( S.I. 2014/2833) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See regulation 8 of the Consumer Protection (Enforcement) (Amendment etc.) Regulations 2020 ( S.I. 2020/484) for provision about the application of regulations that have been revoked |
|
Civil Aviation (Denied Boarding, Compensation and Assistance) Regulations 2005 ( S.I. 2005/975 ) |
(1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Part 6 of the Company, Limited Liability Partnership and Business (Names and Trading Disclosures) Regulations 2015 ( S.I. 2015/17), and any other provision of the Regulations having effect for the purposes of Part 6 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 ( S.I. 2013/3134) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Consumer Protection from Unfair Trading Regulations 2008 ( S.I. 2008/1277) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulations 4 and 6A to 10 of the Consumer Rights (Payment Surcharges) Regulations 2012 ( S.I. 2012/3110) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulations 6, 7, 8, 9 and 11 of the Electronic Commerce (EC Directive) Regulations 2002 ( S.I. 2002/2013) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Financial Services (Distance Marketing) Regulations 2004 ( S.I. 2004/2095) and rules corresponding to any provisions of those Regulations made by the Financial Conduct Authority or a designated professional body within the meaning of section 326(2) of the Financial Services and Markets Act 2000 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Chapters 1 and 2 of Part 14 of the Human Medicines Regulations 2012 ( S.I. 2012/1916) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Merchant Shipping (Passengers’ Rights) Regulations 2013 ( S.I. 2013/425) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Operation of Air Services (Pricing etc.) Regulations 2013 ( S.I. 2013/486) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See regulation 8 of the Consumer Protection (Enforcement) (Amendment etc.) Regulations 2020 ( S.I. 2020/484) for provision about the application of regulations that have been revoked |
| Package Travel and Linked Travel Arrangements Regulations 2018 ( S.I. 2018/634) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Parts 2 and 3 and regulations 18, 19, 20(1), 20(3) to 20(5), 21 to 25, 27(2) and 27(3) of, and Schedules 1 to 6 to, the Payment Accounts Regulations 2015 ( S.I. 2015/2038) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Price Marking Order 2004 ( S.I. 2004/102) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulations 19 to 26, 30 and 32 of the Privacy and Electronic Communications (EC Directive) Regulations 2003 ( S.I. 2003/2426) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Provision of Services Regulations 2009 ( S.I. 2009/2999) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Rail Passengers’ Rights and Obligations Regulations 2010 ( S.I. 2010/1504) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Rights of Passengers in Bus and Coach Transport (Exemptions and Enforcement) Regulations 2013 ( S.I. 2013/1865) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Timeshare, Holiday Products, Resale and Exchange Contracts Regulations 2010 ( S.I 2010/2960) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Rules made under sections 137A, 137R and 137T of the Financial Services and Markets Act 2000 which give effect to Articles 10, 11, 13 to 18 and 21 to 23, Chapter 10 and Annexes I and II of Directive 2014/17/EUof the European Parliament and of the Council of 4 February 2014 on credit agreements for consumers relating to residential immovable property | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| 3. Northern Ireland legislation | ||
| Articles 131 to 135 and 168 of the Betting, Gaming, Lotteries and Amusements (Northern Ireland) Order 1985 ( S.I. 1985/1204 (N.I. 11)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Bus and Coach Passengers Rights and Obligations (Designation and Enforcement) Regulations (Northern Ireland) 2014 ( S.R. (N.I.) 2014 No 180) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Bus and Coach Passenger Rights and Obligations (Designation of Terminals, Tour Operators and Enforcement) Regulations (Northern Ireland) 2014 ( S.R. (N.I.) 2014 No 186) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Article 5 of the Children and Young Persons (Protection from Tobacco) (Northern Ireland) Order 1991 ( S.I. 1991/2872 (N.I. 25)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Articles 3 and 4 of the Health and Personal Social Services (Northern Ireland) Order 1978 ( S.I. 1978/1907 (N.I. 26)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Malicious Communications (Northern Ireland) Order 1988 ( S.I. 1988/1849 (N.I. 18)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Misrepresentation Act (Northern Ireland) 1967 | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Price Marking Order (Northern Ireland) 2004 ( S.R. (N.I.) 2004 No 368) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Protection from Harassment (Northern Ireland) Order 1997 ( S.I. 1997/1180 (N.I. 9)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Rail Passengers Rights and Obligations (Designation and Enforcement) Regulations (Northern Ireland) 2017 ( S.R. (N.I.) 2017 No. 84) | (1)
All private designated enforcers. (2)
All public designated enforcers. |
|
| Articles 83 and 84 of the Road Traffic (Northern Ireland) Order 1995 ( S.I. 1995/2994 (N.I. 18)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
|
| Article 19(1) to (6), 20, 22, 25(2) and 32(5) of the Weights and Measures (Northern Ireland) Order 1981 ( S.I. 1981/231 (N.I. 10)) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See regulation 21 of the Weights and Measures (Packaged Goods) Regulations (Northern Ireland) 2006 ( S.R. (N.I.) 2011 No 331) for provision about the application of Articles at have been revoked |
| 4. Assimilated direct legislation | ||
| Regulation (EC) No 261/2004of the European Parliament and of the Council of 11 February 2004 establishing common rules on compensation and assistance to air passengers in the event of denied boarding and of cancellation or long delay of flights | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulation (EC) No 1107/2006of the European Parliament and of the Council of 5 July 2006 concerning the rights of disabled persons and persons with reduced mobility when travelling by air | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulation (EC) No 1371/2007of the European Parliament and of the Council of 23 October 2007 on rail passengers’ rights and obligations | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Article 23 of Regulation (EC) No 1008/2008of the European Parliament and of the Council of 24 September 2008 on common rules for the operation of air services in the Community | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulation (EU) No 1177/2010of the European Parliament and of the Council of 24 November 2010 concerning the rights of passengers when travelling by sea and inland waterway and amending Regulation (EC) No 2006/2004 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Regulation (EU) No 181/2011of the European Parliament and of the Council of 16 February 2011 concerning the rights of passengers in bus and coach transport and amending Regulation (EC) No 2006/2004 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| Article 10(4) of Regulation (EU) 2015/751of the European Parliament and of the Council of 29 April 2015 on interchange fees for card-based payment transactions | (1)
All public designated enforcers. (2)
All private designated enforcers. |
|
| 5. Saved legislation | ||
| Cancellation of Contracts made in a Consumer’s Home or Place of Work etc. Regulations 2008 ( S.I. 2008/1816) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See regulation 2(b) of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 ( S.I. 2013/3134) for provision about the application of the Regulations in connection with their revocation |
| Consumer Protection (Distance Selling) Regulations 2000 ( S.I. 2000/2334) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See regulation 2(b) of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 ( S.I. 2013/3134) for provision about the application of the Regulations in connection with their revocation |
| Package Travel, Package Holidays and Package Tours regulations 1992 ( S.I. 1992/3288) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See regulation 37(2) of the Package Travel and Linked Travel Arrangements Regulations 2018 ( S.I. 2018/634) for provision about the application of the Regulations in connection with their revocation |
| Regulation 15 of the Pyrotechnic Articles (Safety) Regulations 2010 ( S.I. 2010/1554) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See regulation 75(2) of the Pyrotechnic Articles (Safety) Regulations 2015 ( S.I. 2015/1553) for provision about the application of the regulation in connection with its revocation |
| Regulation 15 of the Sale and Supply of Goods to Consumers Regulations 2002 ( S.I. 2002/3045) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of the regulation in connection with its revocation |
| Tobacco Products (Manufacture, Presentation and Sale) (Safety) Regulations 2002 ( S.I. 2002/3041) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
See regulations 55 and 56 of the Tobacco and Related Products Regulations 2016 ( S.I. 2016/507) for provision about the application of the Regulations in connection with their revocation |
| Unfair Terms in Consumer Contracts Regulations 1999 ( S.I. 1999/2083) | (1)
All public designated enforcers. (2)
All private designated enforcers. |
See Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 ( S.I. 2015/1630) for provision about the application of the Regulations in connection with their revocation) |
| 6. Other subordinate legislation | ||
| Any other subordinate legislation (not otherwise listed in this Schedule) so far as made under an enactment so listed | (1)
All public designated enforcers. (2)
All private designated enforcers. |
| Obligation or rule of law | Authorised enforcers |
|---|---|
| Breach of contract for the supply of goods, services or digital content (whether or not breach is waived) | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
| Breach of duty of care owed to consumer under law of tort | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
| Breach of duty of care owed to consumer under law of delict | (1)
All public designated enforcers, other than— (a)
the Department of Health in Northern Ireland; (b)
the Department for Infrastructure in Northern Ireland; (c)
an enforcement authority within the meaning of section 120(15) of the Communications Act 2003 (regulation of premium rate services); (d)
the Maritime and Coastguard Agency; (e)
the Office for the Traffic Commissioner; (f)
the Secretary of State. (2)
All private designated enforcers. |
| Any rule of law in Scotland which provides comparable protection to section 13 of the Supply of Goods and Services Act 1982 | (1)
All public designated enforcers. (2)
All private designated enforcers. |
Section 150
| Enactment | Extent |
|---|---|
| 1. Acts of Parliament | |
| Consumer Credit Act 1974 | The whole Act |
| Consumer Rights Act 2015 | Parts 1 and 2 |
| Chapter 5 of Part 3 | |
| Schedules 2 and 3 | |
| Part 3 of Schedule 5 | |
| Digital Markets, Competition and Consumers Act 2024 | Chapters 1, 2 and 3 of Part 4 |
| Sale of Goods Act 1979 | Sections 1 to 10 |
| Section 11 (other than subsection (4)) | |
| Sections 16 to 19 | |
| Sections 20A and 20B | |
| Sections 21 to 28 | |
| Section 29 (other than subsection (3)) | |
| Section 34 | |
| Section 37 | |
| Part 5 | |
| Sections 49 and 50 | |
| Section 57 | |
| Sections 60 to 62 | |
| 2. Secondary legislation and assimilated direct legislation | |
| Business Protection from Misleading Marketing Regulations 2008 | Regulations 2, 4, 13, 15 and 18 |
| Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 | All regulations |
| Consumer Protection from Unfair Trading Regulations 2008 | All regulations |
| Consumer Rights (Payment Surcharges) Regulations 2012 | Regulations 4 and 6A to 10 |
| Electronic Commerce (EC Directive) Regulations 2002 | Regulations 6, 7, 8, 9 and 11 |
| Regulation (EU) 2015/751of the European Parliament and of the Council of 29 April 2015 on interchange fees for card-based payment transactions | Article 10(4) |
| Package Travel and Linked Travel Arrangements Regulations 2018 | All regulations |
| Price Marking Order 2004 | The whole Order |
| Price Marking Order (Northern Ireland) 2004 ( S.R. (N.I.) 2004 No 368) | The whole Order |
| Provision of Services Regulations 2009 | All regulations |
| Timeshare, Holiday Products, Resale and Exchange Contracts Regulations 2010 | All regulations |
| 3. Saved legislation | |
| Sale of Goods Act 1979 | The whole Act, so far as it continues to apply by virtue of the saving made by Article 6(1) of the Consumer Rights Act (Commencement No 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 |
| Supply of Goods and Services Act 1982 | The whole Act, so far as it continues to apply by virtue of the saving made by Article 6(1) of the Consumer Rights Act (Commencement No 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 |
| Supply of Goods (Implied Terms Act) 1973 | The whole Act, so far as it continues to apply by virtue of the saving made by Article 6(1) of the Consumer Rights Act (Commencement No 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 |
| Unfair Contract Terms Act 1977 | The whole Act, so far as it continues to apply by virtue of the saving made by Article 6(1) of the Consumer Rights Act (Commencement No 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 |
| Cancellation of Contracts made in a Consumer’s Home or Place of Work etc Regulations 2008 ( S.I. 2008/1816) | All regulations (see regulation 2(b) of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 ( S.I. 2013/3134) for provision about the application of the Regulations in connection with contracts entered into before 13th June 2014). |
| Consumer Protection (Distance Selling) Regulations 2000 ( S.I. 2000/2334) | All regulations (see regulation 2(a) of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 for provision about the application of the Regulations in connection with contracts entered into before 13th June 2014). |
| Package Travel, Package Holidays and Package Tours Regulations 1992 ( S.I. 1992/3288) | All regulations (see regulation 37(2) of the Package Travel and Linked Travel Arrangements Regulations 2018 ( S.I. 2018/634) for provision about the application of the Regulations in connection with their revocation) |
| Sale and Supply of Goods to Consumers Regulations 2002 ( S.I. 2002/3045) | Regulation 15 (see Article 6(3) of the Consumer Rights Act 2015 (Commencement No 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 for provision about the application of the Regulation in connection with its revocation) |
| Unfair Terms in Consumer Contracts Regulations 1999 ( S.I. 1999/2083) | All regulations (see Article 6(4) of the Consumer Rights Act 2015 (Commencement No 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 for provision about the application of the Regulations in connection with their revocation) |
| 4. Other subordinate legislation | |
| Any other subordinate legislation (not otherwise listed in this Schedule) so far as made under an enactment so listed | The entirety of the legislation. |
Section 208
1 Schedule 5 to CRA 2015 (investigatory powers) is amended as follows.
2 (1) Paragraph 15 is amended in accordance with sub-paragraphs(2)and(3).
(2) In sub-paragraph(3)—
(a) in the opening words for “may” substitute “must”;
(b) after paragraph (b) insert—
“(c) the circumstances in which a monetary penalty may be payable under this Part of this Schedule in relation to non-compliance with the notice. ”
(3) After paragraph 16 insert—
16A (1) This paragraph applies where—
(a) an enforcer or an officer of an enforcer has given a notice to a person (“ the respondent ”) under paragraph 14, and
(b) the enforcer considers that the respondent has, without reasonable excuse, failed to comply with the notice.
(2) The enforcer or an officer of the enforcer may make an application under this paragraph to the court.
(3) If the court finds that the respondent has, without reasonable excuse, failed to comply with the notice, the court may make an order that requires the respondent to pay a monetary penalty to the enforcer.
(4) The amount of the penalty must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(5) The penalty must not exceed—
(a) in the case of a fixed amount, £30,000 or, if higher, 1% of the total value of the turnover (if any) of the respondent;
(b) in the case of an amount calculated by reference to a daily rate, £15,000 per day or, if higher, 5% of the total value of the daily turnover (if any) of the respondent;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, such fixed amount and such amount per day.
(6) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the notification date, and
(b) unless the court determines an earlier date (whether before or after the order imposing the penalty is made), the amount payable ceases to accumulate on the day on which the requirements of the notice under paragraph 14 are complied with.
(7) An order under this paragraph, or a notice accompanying service of the order, must state—
(a) the amount of the penalty (including whether it is a fixed amount, an amount calculated by reference to a daily rate or both a fixed amount and an amount calculated by reference to a daily rate);
(b) the grounds on which the penalty is imposed together with any other factors that the court considers justify the giving of the penalty or its amount;
(c) in the case of an amount calculated by reference to a daily rate, the day on which the amount first starts to accumulate and the day or days on which it might cease to accumulate;
(d) how the penalty is to be paid to the enforcer;
(e) the date or dates, no earlier than the end of 28 days beginning with the date of service of the order on the respondent, by which the penalty or (as the case may be) different portions of it are required to be paid;
(f) that the penalty or (as the case may be) different portions of it may be paid earlier than the date or dates by which it or they are required to be paid;
(g) that the respondent has the right to apply under sub-paragraph (8) , and the rights available to the respondent to appeal against the order, and the main details of those rights.
(8) The respondent may, within 14 days of the date on which an order under this paragraph is served on the respondent, apply to the court for it to specify a different date or dates by which the penalty, or portions of it, are to be paid.
(9) An application by an enforcer or officer of an enforcer under this paragraph—
(a) may be made in addition to, or instead of, an application under paragraph 16, and
(b) where made in addition to an application under paragraph 16, may be combined with the application under that paragraph.
(10) In addition to any right of appeal on a point of law, a person liable to pay a penalty by virtue of an order under this paragraph may appeal in respect of the amount of the penalty.
(11) Where an appeal is brought in respect of a penalty imposed by virtue of an order under this paragraph, the penalty is not payable until the appeal is determined or withdrawn, unless the court dealing with the appeal orders otherwise.
(12) Sub-paragraphs (4) and (5) of paragraph 16 apply to an order under this paragraph as they apply to an order under that paragraph.
(13) In the application of this paragraph to Scotland, the references in sub-paragraphs (7) and (8) to an order being served include service of an extract order in execution of or diligence on the order.
(14) In this paragraph, other than in sub-paragraph (11) —
“ the court ” has the same meaning as in paragraph 16;
“ the notification date ”, in relation to an order under this paragraph, means the date on which notice of the application for the order is given to the respondent.
16B (1) This paragraph applies where—
(a) the CMA has given a notice to a person (“ the respondent ”) under paragraph 14, and
(b) the CMA has reasonable grounds to believe that the respondent has failed to comply with the notice.
(2) The CMA may give to the respondent a notice under this paragraph (a “provisional enforcement notice”).
(3) A provisional enforcement notice must—
(a) set out the grounds on which it is given, including the respondent’s acts or omissions giving rise to the giving of the notice;
(b) specify such actions as the CMA considers appropriate to be taken by the respondent for the purposes of securing compliance with the notice under paragraph 14;
(c) invite the respondent to make representations to the CMA about the matters set out in the notice;
(d) specify the means by which, and the time by which, such representations must be made.
(4) The means specified under sub-paragraph (3) (d) for making representations must include arrangements for them to be made orally if the respondent chooses to make representations in that way.
(5) If the CMA is considering the imposition of a monetary penalty on the respondent (see paragraph 16C ), the provisional enforcement notice must also state—
(a) that the CMA is considering imposing a monetary penalty;
(b) the proposed amount of the penalty (including whether the penalty would be a fixed amount, an amount calculated by reference to a daily rate or both a fixed amount and an amount calculated by reference to a daily rate);
(c) any further factors (in addition to those provided under sub-paragraph (3) (a) ) which the CMA considers justify the imposition of the proposed penalty and its amount or amounts.
16C (1) This paragraph applies where—
(a) the CMA has given to the respondent a provisional enforcement notice under paragraph 16B in respect of a notice given to the respondent under paragraph 14,
(b) the time for the respondent to make representations to the CMA in accordance with the provisional enforcement notice has expired, and
(c) after considering such representations (if any), the CMA is satisfied that the respondent has failed to comply with the notice given under paragraph 14.
(2) The CMA may by notice (a “final enforcement notice”) impose on the respondent a requirement to do either or both of the following—
(a) a requirement to pay a monetary penalty;
(b) a requirement to comply with such directions as the CMA considers appropriate for the purpose of securing the respondent’s compliance with the notice under paragraph 14.
(3) A requirement under sub-paragraph (2) (a) to pay a monetary penalty may be imposed only if the CMA is satisfied that the respondent’s failure in question is without reasonable excuse.
(4) The amount of a monetary penalty must be—
(a) a fixed amount,
(b) an amount calculated by reference to a daily rate, or
(c) a combination of a fixed amount and an amount calculated by reference to a daily rate.
(5) The penalty must not exceed—
(a) in the case of a fixed amount, £30,000 or, if higher, 1% of the total value of the turnover (if any) of the respondent;
(b) in the case of an amount calculated by reference to a daily rate, £15,000 per day or, if higher, 5% of the total value of the daily turnover (if any) of the respondent;
(c) in the case of a fixed amount and an amount calculated by reference to a daily rate, such fixed amount and such amount per day.
(6) In imposing a penalty by reference to a daily rate—
(a) no account is to be taken of any days before the date on which the provisional enforcement notice mentioned in sub-paragraph (1) (a) was given to the respondent, and
(b) unless the CMA determines an earlier date, the amount payable ceases to accumulate on the day on which the requirements of the notice under paragraph 14 are complied with.
(7) A final enforcement notice that imposes a penalty on the respondent must state—
(a) the amount of the penalty (including whether it is a fixed amount, an amount calculated by reference to a daily rate or both a fixed amount and an amount calculated by reference to a daily rate);
(b) the grounds on which the penalty is imposed together with any other factors that the CMA considers justify the giving of the penalty or its amount;
(c) in the case of an amount calculated by reference to a daily rate, the day on which the amount first starts to accumulate and the day or days on which it might cease to accumulate;
(d) how the penalty is to be paid to the CMA;
(e) the date or dates, no earlier than the end of 28 days beginning with the date of service of the notice on the respondent, by which the penalty or (as the case may be) different portions of it are required to be paid;
(f) that the penalty or (as the case may be) different portions of it may be paid earlier than the date or dates by which it or they are required to be paid;
(g) that the respondent has the right to apply under sub-paragraph (8) , or to appeal under paragraph 16D , and the main details of those rights.
(8) The respondent may, within 14 days of the date of service of the notice, apply to the CMA for it to specify a different date or dates by which the penalty, or different portions of it, are to be paid.
(9) In deciding whether, and if so how, to proceed under this paragraph the CMA must have regard to the statement of policy most recently published under paragraph 16F at the time of the act or omission giving rise to the penalty.
(10) The CMA may publish a notice given under this paragraph in such manner as it considers appropriate.
(11) Sections 191 to 196 of the Digital Markets, Competition and Consumers Act 2024 apply to a direction given in a notice under this paragraph as if the direction were an enforcement direction for the purposes of those sections.
16D (1) A person to whom a final enforcement notice is given may appeal to the appropriate court against—
(a) a decision to impose a monetary penalty by virtue of the notice,
(b) the nature or amount of any such penalty, or
(c) the giving of directions by virtue of the notice.
(2) The grounds for an appeal under sub-paragraph (1) (a) or (b) are that—
(a) the decision to impose a monetary penalty was based on an error of fact,
(b) the decision was wrong in law,
(c) the amount of the penalty is unreasonable, or
(d) the decision was unreasonable or wrong for any other reason.
(3) The grounds for an appeal under sub-paragraph (1) (c) are that—
(a) the decision to give the directions was based on an error of fact,
(b) the decision was wrong in law,
(c) the nature of the directions is unreasonable, or
(d) the decision was unreasonable or wrong for any other reason.
(4) On an appeal under this paragraph the appropriate court may quash, confirm or vary the final enforcement notice.
(5) An appeal under this paragraph must be brought before the end of the period of 28 days beginning with the day on which the final enforcement notice was given to the person seeking to bring the appeal.
(6) The appropriate court may extend the period mentioned in sub-paragraph (5) for bringing an appeal.
(7) Where an appeal is brought under this paragraph, the penalty is not payable until the appeal is determined or withdrawn, unless the appropriate court orders otherwise.
(8) In this paragraph “ the appropriate court ” means—
(a) in relation to England and Wales or Northern Ireland, the High Court, and
(b) in relation to Scotland, the Outer House of the Court of Session.
16E (1) This paragraph applies where a penalty imposed by a final enforcement notice given under paragraph 16C , or any part of such a penalty, has not been paid by the date on which it is required to be paid and—
(a) an appeal under paragraph 16D has not been brought before the end of the period mentioned in sub-paragraph (5) of that paragraph, or
(b) any such appeal that was brought has been determined, withdrawn or otherwise disposed of.
(2) The CMA may recover from the person on whom the penalty was imposed any of the penalty and any interest which has not been paid.
(3) Any such penalty and interest may be recovered summarily (or, in Scotland, recovered) as a civil debt by the CMA.
16F (1) The CMA must prepare and publish a statement of policy in relation to the use of its power to impose penalties under paragraph 16C .
(2) The statement must include a statement about the considerations relevant to the determination of—
(a) whether to impose a penalty under that paragraph, and
(b) the nature and amount of any such penalty.
(3) The CMA may revise its statement of policy and, where it does so, must publish the revised statement.
(4) In preparing or revising its statement of policy the CMA must consult—
(a) the Secretary of State, and
(b) such other persons as the CMA considers appropriate.
(5) A statement of policy, or revised statement, may not be published under this paragraph without the approval of the Secretary of State.
16G (1) If the whole or any portion of a penalty is not paid by the date by which it is required to be paid, the unpaid balance from time to time carries interest at the statutory rate.
(2) Where an application has been made under paragraph 16A (8) or 16C (8) , the penalty is not required to be paid until the application has been determined, withdrawn or otherwise disposed of.
(3) If a portion of a penalty has not been paid by the date required for it, the enforcer to whom it is payable may, where it considers it appropriate to do so, require so much of the penalty as has not already been paid (and is capable of being paid immediately) to be paid immediately.
(4) Where on an appeal under paragraph 16D the appropriate court substitutes a penalty of a different nature or of a lesser amount, the court may require the payment of interest at the statutory rate on the substituted penalty from whatever date it considers appropriate (which may include a date before the determination of the appeal).
(5) In the case of a monetary penalty imposed on a firm, the penalty is to be paid out of the assets or funds of the firm.
(6) Sums received from a person towards payment of a monetary penalty must be paid—
(a) in the case of a penalty imposed by an order of the Court of Session or the Sheriff, into the Scottish Consolidated Fund;
(b) in the case of a penalty imposed by an order of a court in Northern Ireland, into the Consolidated Fund of Northern Ireland;
(c) in any other case, into the Consolidated Fund of the United Kingdom.
(7) In this paragraph—
“ penalty ” means a penalty imposed under paragraph 16A or 16C ;
“ statutory rate ” means the rate for the time being specified in section 17 of the Judgments Act 1838.
16H (1) References to “turnover” of a person in paragraphs 16A and 16C include—
(a) turnover both in and outside the United Kingdom;
(b) where the person controls another person, the turnover of that other person;
(c) where the person is controlled by another person, the turnover of that other person.
(2) The Secretary of State may by regulations—
(a) make provision for determining when a person is to be treated as controlled by another person for the purposes of sub-paragraph (1) ;
(b) make provision for determining the turnover of a person for those purposes.
(3) Regulations under this paragraph may, in particular, make provision as to—
(a) the amounts which are, or which are not, to be treated as comprising a person’s turnover or daily turnover;
(b) the date or dates by references to which a person’s turnover or daily turnover is to be determined.
(4) Regulations under this paragraph may include provision enabling the court (within the meaning of paragraph 16A ) or the CMA to determine matters of a description specified in the regulations (including any of the matters mentioned in paragraphs (a) and (b) of sub-paragraph (3) ).
(5) Regulations under this paragraph are to be made by statutory instrument.
(6) A statutory instrument containing regulations under this paragraph is subject to annulment in pursuance of a resolution of either House of Parliament.
16I (1) The Secretary of State may by regulations amend the following provisions of this Schedule for the purpose of substituting a different monetary amount for an amount of fixed or daily penalty for the time being specified—
(a) paragraph 16A (5) (a) and (b) ;
(b) paragraph 16C (5) (a) and (b) .
(2) Before making regulations under this paragraph the Secretary of State must consult such persons as the Secretary of State considers appropriate.
(3) Regulations under this paragraph are to be made by statutory instrument.
(4) Regulations under this paragraph may not be made unless a draft of the statutory instrument containing them has been laid before, and approved by a resolution of, each House of Parliament.
16J (1) The CMA may not make an application under paragraph 16A in respect of a person’s failure to comply with a notice under paragraph 14 if the CMA has given to the person a final enforcement notice under paragraph 16C in respect of that failure.
(2) The CMA may not give a person a final enforcement notice under paragraph 16C in respect of a failure to comply with a notice under paragraph 14 if—
(a) the CMA has made an application under paragraph 16A against the person in respect of that failure, and
(b) the application has been determined by the court (within the meaning of that paragraph). ”
3 After paragraph 17 insert—
17A (1) This paragraph applies to the exercise of a power of an enforcer to give a person a notice under paragraph 14.
(2) The power is exercisable so as to—
(a) give the notice to a person who is outside the United Kingdom;
(b) require the provision of information held outside the United Kingdom.
(3) Sub-paragraph (4) applies where—
(a) an enforcer proposes to give a notice to a person outside the United Kingdom by virtue of sub-paragraph (2) (a) , and
(b) the enforcer does not consider that the person is a potential enforcement subject.
(4) Where this sub-paragraph applies, the power to give the notice is exercisable only if the person has a UK connection.
(5) A person has a UK connection if the person—
(a) is a United Kingdom national,
(b) is an individual who is habitually resident in the United Kingdom,
(c) is a firm established in the United Kingdom, or
(d) carries on business in the United Kingdom or by any means directs activities in the course of carrying on a business to consumers in the United Kingdom.
(6) For the purposes of sub-paragraph (3) (b) a person (P) is a “ potential enforcement subject ”, in relation to a notice given by an enforcer to P by virtue of this paragraph, if the notice is given for the purposes of enabling the enforcer—
(a) to exercise, or consider whether to exercise, a function mentioned in paragraph 13(2), (3), (7)(a) or (9)(b) in relation to P;
(b) to ascertain whether P has breached any legislation mentioned in paragraph 13(4);
(c) to ascertain whether P has complied with, or is complying with, an injunction or interdict mentioned in paragraph 13(7)(b);
(d) to determine whether to make an order of a kind mentioned in paragraph 13(9)(a) in respect of, or in relation to, P.
(7) In sub-paragraph (5) (a) “ United Kingdom national ” means—
(a) a British citizen, a British overseas territories citizen, a British National (Overseas) or a British Overseas citizen;
(b) a person who is a British subject under the British Nationality Act 1981;
(c) a British protection person within the meaning of that Act.
(8) For the purposes of sub-paragraph (5) (c) , a firm is “established in the United Kingdom” if—
(a) it is incorporated or formed under the law of a part of the United Kingdom, or
(b) it is administered under arrangements governed by the law of a part of the United Kingdom.
(9) References in this paragraph to an enforcer include an officer of an enforcer. ”
4 After paragraph 17A (inserted by paragraph 3 above) insert—
17B (1) This paragraph applies in relation to a notice given to a person under this Part of this Schedule.
(2) The notice may be given by—
(a) delivering it to the person,
(b) leaving it at the person’s proper address,
(c) sending it by post to the person at that address, or
(d) sending it to the person by email to the person’s email address.
(3) A notice to a body corporate may be given in accordance with sub-paragraph (2) to any officer of that body.
(4) A notice to a partnership may be given in accordance with sub-paragraph (2) to any partner or a person who has the control or management of the partnership business.
(5) A notice to a firm other than a body corporate or a partnership may be given in accordance with sub-paragraph (2) to any member of the governing body of the firm.
(6) A person’s proper address is—
(a) in a case where the person has specified an address as one at which the person, or someone acting on the person’s behalf, will accept service of notices or other documents, that address;
(b) in any other case, the address determined in accordance with sub-paragraph (7) .
(7) A person’s proper address is (if sub-paragraph (6) (a) does not apply)—
(a) in the case of a body corporate, its registered or principal office;
(b) in the case of a partnership, the principal office of the partnership;
(c) in the case of a firm other than a body corporate or a partnership, the principal office of the firm;
(d) in a case where none of paragraphs (a) to (c) apply, any address by means of which the enforcer or officer giving the notice believes, on reasonable grounds, that the notice will come to the attention of the person.
(8) A person’s email address is—
(a) any email address published for the time being by that person as an address for contacting that person, or
(b) if there is no such published address, any email address by means of which the enforcer or officer giving the notice believes, on reasonable grounds, that the notice will come to the attention of that person.
(9) In the case of—
(a) a body corporate registered outside the United Kingdom,
(b) a partnership carrying on business outside the United Kingdom, or
(c) any other type of firm with offices outside the United Kingdom,
references to its principal office include references to its principal office in the United Kingdom or, if it has no principal office in the United Kingdom, any place in the United Kingdom where it carries on business or conducts activities.
(10) In this paragraph “ officer ”, in relation to a body corporate, means any director, manager, secretary or other similar officer of the body.
(11) This paragraph does not limit other lawful means of giving notice. ”
5 In paragraph 32—
(a) in sub-paragraph (2), in the words before paragraph (a), after “on” insert “, or accessible from,”;
(b) in sub-paragraph (5)—
(i) after “documents on” insert “, or accessible from,”, and
(ii) after “with” insert “, or access to them would otherwise be restricted,”.
6 In paragraph 8, after the definition of “enforcement order” insert—
““ firm ” means any entity, whether or not a legal person, that is not an individual and includes a body corporate, a corporation sole and a partnership or other unincorporated association; ”.
Section 214
1 In section 3 of the Estate Agents Act 1979 (orders prohibiting unfit persons from doing estate agency work), in subsection (1)—
(a) in paragraph (ba) for “section 217, 218 or 219 of the Enterprise Act 2002” substitute “section156,159,163or185of the Digital Markets, Competition and Consumers Act 2024”;
(b) in paragraph (bb) for “section 217 of the Enterprise Act 2002” substitute “section156of the Digital Markets, Competition and Consumers Act 2024”;
(c) after paragraph (bb) insert—
“(bc) has failed to comply with a requirement imposed by a final infringement notice given under section 182 of that Act in relation to estate agency work; or ”.
2 (1) Schedule 15D to the Companies Act 1985 is amended as follows.
(2) In paragraph 20—
(a) for “Part 8 of the Enterprise Act 2002” substitute “Chapter 3 or 4 of the Digital Markets, Competition and Consumers Act 2024”;
(b) for “that Part” substitute “that Chapter”.
(3) In paragraph 27 for “section 230(2) of the Enterprise Act 2002” substitute “section171(2)of the Digital Markets, Competition and Consumers Act 2024”.
3 EA 2002 is amended as follows.
4 Omit Part 8 (including Schedule 13).
5 In section 238 (information), in subsection (1), in paragraph (a) for “, 7 or 8” substitute “or 7”.
6 In section 243 (overseas disclosures), in subsection (3)(a) for the words from “designated” to the end substitute “a private designated enforcer for the purposes of Chapter3ofPart 3of the Digital Markets, Competition and Consumers Act 2024”.
7 In Schedule 14 (provisions about disclosure of information) at the appropriate place insert—
8 In Schedule 15 (enactments conferring functions) at the appropriate place insert—
9 (1) The Companies Act 2006 is amended as follows.
(2) In Part 2 of Schedule 2—
(a) in paragraph 28—
(i) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(ii) for “that Part” substitute “that Chapter”;
(b) in paragraph 36 for the words after “under” to the end substitute “section171(2)of the Digital Markets, Competition and Consumers Act 2024”.
(3) In Schedule 11A—
(a) in paragraph 42, for the words after “under” to the end substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024 (enforcement of consumer protection law)”;
(b) in paragraph 51 for the words after “under” to the end substitute “section171(2)of the Digital Markets, Competition and Consumers Act 2024 (notice of intention to prosecute etc)”.
10 In Schedule 3 to the Regulatory Enforcement and Sanctions Act 2008, at the appropriate place insert—
11 (1) Schedule 5 to CRA 2015 (investigatory powers) is amended as follows.
(2) In paragraph 2—
(a) in sub-paragraph (1), omit paragraph (b);
(b) in sub-paragraph (2) for paragraph (b) substitute—
“(b) an authorised enforcer for the purposes of that Part (see paragraph 20(7)). ”
(3) Omit paragraph 4 (including the heading before it).
(4) In paragraph 5 for the words from “which—” to the end substitute “which is a public designated enforcer for the purposes of Chapter 3 of Part 3 of the Digital Markets, Competition and Consumers Act 2024 (see section 151 (1) of that Act), but for this purpose does not include—
(a) the Competition and Markets Authority,
(b) a local weights and measures authority in Great Britain, or
(c) the Department for the Economy in Northern Ireland. ”
(5) In paragraph 8—
(a) omit the definition of “Schedule 13 infringement”;
(b) in the definition of “enforcement order” for “section 217 of the Enterprise Act 2002” substitute “section 156of the Digital Markets, Competition and Consumers Act 2024”;
(c) in the definition of “interim enforcement order” for “section 218” substitute “section 159”;
(d) in the definition of “interim online interface order” for “section 218ZC” substitute “section 162”;
(e) in the definition of “online interface order” for “section 218ZB” substitute “section 161”.
(6) In paragraph 13—
(a) in sub-paragraph (2)—
(i) in paragraph (a) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(ii) in paragraph (b) after “under” insert “Chapter 3 of”;
(iii) in paragraph (e) for the words from “section 217(9),” to the end substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(b) in sub-paragraph (3)—
(i) in the opening words, for “Britain,” substitute “Britain or”and omit “or a Schedule 13 enforcer other than the Competition and Markets Authority”;
(ii) in paragraph (a) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(iii) in paragraph (c) for “section 217(9) or 218(10) of the Enterprise Act 2002” substitute “section 156(2)(b)orsection 159(2)(b)of the Digital Markets, Competition and Consumers Act 2024”;
(iv) in paragraph (d) for “section 219” substitute “section 163”;
(c) in sub-paragraph (10) for the words from “which—” to the end substitute “which is a private designated enforcer for the purposes of Chapter3ofPart 3of the Digital Markets, Competition and Consumers Act 2024 (seesection 151(2)of that Act)”.
(7) In the heading to Part 4 (before paragraph 19), for “Schedule 13” substitute “authorised”.
(8) In the heading before paragraph 20, for “Schedule 13” substitute “authorised”.
(9) In paragraph 20—
(a) in sub-paragraph (1) for “a Schedule 13” substitute “an authorised”;
(b) in sub-paragraph (2)—
(i) for “a Schedule 13”, where it first occurs, substitute “an authorised”;
(ii) for the words from “Part 8” to the end substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(c) in sub-paragraph (3)—
(i) in the opening words, for “Schedule 13” substitute “authorised”;
(ii) in paragraph (a), for “Schedule 13” substitute “relevant”;
(iii) in paragraph (c), for “section 217(9) or 218(10) of the Enterprise Act 2002” substitute “section 156(2)(b)orsection 159(2)(b)of the Digital Markets, Competition and Consumers Act 2024”;
(iv) in paragraph (d), for “section 219” substitute “section 163”;
(d) in sub-paragraph (3A)—
(i) in the opening words, for “A Schedule 13” substitute “An authorised”;
(ii) in paragraph (b) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(e) in sub-paragraph (4)—
(i) in the opening words, for “A Schedule 13” substitute “An authorised”;
(ii) in paragraph (b) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(f) in sub-paragraph (5)—
(i) in the opening words, for “A Schedule 13” substitute “An authorised”;
(ii) in paragraph (a) for “Schedule 13” substitute “relevant”;
(iii) in paragraph (b) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(g) in sub-paragraph (6)—
(i) for “A Schedule 13” substitute “An authorised”;
(ii) for “Part 8 of the Enterprise Act 2002” substitute “Chapter3or4ofPart 3of the Digital Markets, Competition and Consumers Act 2024”;
(h) after sub-paragraph (6) insert—
“(7) Each of the following is an “ authorised enforcer ” for the purposes of this Part of this Schedule—
(a) the Competition and Markets Authority;
(b) the Civil Aviation Authority;
(c) the Financial Conduct Authority;
(d) the Secretary of State;
(e) the Department of Health in Northern Ireland;
(f) the Office of Communications;
(g) the Department for the Economy in Northern Ireland;
(h) every local weights and measures authority in Great Britain;
(i) an enforcement authority within the meaning of section 120(15) of the Communications Act 2003;
(j) the Information Commissioner;
(k) the Department for Infrastructure in Northern Ireland;
(l) the Maritime and Coastguard Agency;
(m) the Office of Rail and Road;
(n) the Office for the Traffic Commissioner.
(8) In this paragraph “ relevant infringement ” means an act or omission which is a relevant infringement for the purposes of Chapter 3 of Part 3 of the Digital Markets, Competition and Consumers Act 2024 by virtue of contravening an enactment listed in paragraph 20A of this Schedule. ”
(10) After paragraph 20 insert—
20A The enactments referred to in paragraph 20(8) are the following—
Sections 9 to 11 of the Supply of Goods (Implied Terms) Act 1973, to the extent that those sections continue to apply to a contract for a trader to supply goods to a consumer by virtue of the saving made, in connection with their amendment by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
The Consumer Credit Act 1974 and secondary legislation made under that Act excluding requirements relating to consumer hire agreements.
Sections 6(2), 7(1), 7(2), 20(2), 21 and 27(2) of the Unfair Contract Terms Act 1977, to the extent that those sections remain in force, or continue to apply to a consumer contract, by virtue of the saving made, in connection with their repeal or disapplication by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
Sections 13 to 15, 15B, 20 and 32 of the Sale of Goods Act 1979, to the extent that those sections continue to apply to a contract for a trader to supply goods to a consumer by virtue of the saving made, in connection with their amendment by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
Sections 48A to 48F of the Sale of Goods Act 1979, to the extent that those sections remain in force by virtue of the saving made, in connection with their repeal by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
Sections 3 to 5, 11C to 11E and 13 of the Supply of Goods and Services Act 1982, and any rule of law in Scotland which provides comparable protection to section 13, to the extent that those sections continue to apply to a contract for a trader to supply goods or, in the case of section 13, a contract for a trader to supply a service, to a consumer by virtue of the saving made, in connection with their amendment by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
Sections 11M to 11S of the Supply of Goods and Services Act 1982 to the extent that those sections remain in force by virtue of the saving made, in connection with their repeal by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
The Package Travel, Package Holidays and Package Tours Regulations 1992, to the extent that those Regulations remain in force by virtue of the saving made, in connection with their revocation, by regulation 37(2) of the Package Travel and Linked Travel Arrangements Regulations 2018.
The Unfair Terms in Consumer Contracts Regulations 1999, to the extent that those Regulations remain in force by virtue of the saving made, in connection with their revocation by this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
Rules made under sections 137A, 137R and 137T of the Financial Services and Markets Act 2000 which give effect to Articles 10, 11, 13 to 18 and 21 to 23, Chapter 10 and Annexes I and II of Directive 2014/17/EU of the European Parliament and of the Council of 4 February 2014 on credit agreements for consumers relating to residential immovable property.
The Consumer Protection (Distance Selling) Regulations 2000, to the extent that those Regulations remain in force for contracts entered into prior to their disapplication by virtue of regulation 2(a) of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013.
Sections 319, 321, 322, 325, 368F, 368G and 368H of the Communications Act 2003.
Regulations 6, 7, 8, 9 and 11 of the Electronic Commerce (EC Directive) Regulations 2002.
Regulation 15 of the Sale and Supply of Goods to Consumers Regulations 2002, to the extent that regulation 15 remains in force by virtue of the saving made, in connection with its revocation by the this Act, by Article 6 of the Consumer Rights Act 2015 (Commencement No. 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015.
Regulations 19 to 26, 30 and 32 of the Privacy and Electronic Communications (EC Directive) Regulations 2003.
The Price Marking Order 2004.
Regulation (EC) No 261/2004 of the European Parliament and of the Council of 11 February 2004 establishing common rules on compensation and assistance to air passengers in the event of denied boarding and of cancellation or long delay of flights.
The Financial Services (Distance Marketing) Regulations 2004 and rules corresponding to any provisions of those Regulations made by the Financial Conduct Authority or a designated professional body within the meaning of section 326(2) of the Financial Services and Markets Act 2000.
The Price Marking Order (Northern Ireland) 2004.
The Civil Aviation (Denied Boarding, Compensation and Assistance) Regulations 2005.
Regulation (EC) No 1107/2006 of the European Parliament and of the Council of 5 July 2006 concerning the rights of disabled persons and persons with reduced mobility when travelling by air.
Regulation (EC) No 1371/2007 of the European Parliament and of the Council of 23 October 2007 on rail passengers’ rights and obligations.
Regulations 2, 4, 13, 15 and 18 of the Business Protection from Misleading Marketing Regulations 2008.
The Consumer Protection from Unfair Trading Regulations 2008.
The Cancellation of Contracts made in a Consumer’s Home or Place of Work etc. Regulations 2008, to the extent that those Regulations remain in force for contracts entered into prior to their disapplication by regulation 2(b) of the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013.
Article 23 of Regulation (EC) No 1008/2008 of the European Parliament and of the Council of 24 September 2008 on common rules for the operation of air services in the Community.
The Provision of Services Regulations 2009.
The Rail Passengers’ Rights and Obligations Regulations 2010.
Regulation (EU) No 1177/2010 of the European Parliament and of the Council of 24 November 2010 concerning the rights of passengers when travelling by sea and inland waterway.
The Timeshare, Holiday Products, Resale and Exchange Contracts Regulations 2010.
Regulation (EU) No 181/2011 of the European Parliament and of the Council of 16 February 2011 concerning the rights of passengers in bus and coach transport and amending Regulation (EC) No 2006/2004 .
Chapters 1 and 2 of Part 14 of the Human Medicines Regulations 2012.
Regulations 4 and 6A to 10 of the Consumer Rights (Payment Surcharges) Regulations 2012.
The Merchant Shipping (Passengers’ Rights) Regulations 2013.
The Operation of Air Services in the Community (Pricing etc.) Regulations 2013.
The Rights of Passengers in Bus and Coach Transport (Exemptions and Enforcement) Regulations 2013.
The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013.
The Bus and Coach Passengers Rights and Obligations (Designation and Enforcement) Regulations (Northern Ireland) 2014.
The Bus and Coach Passengers Rights and Obligations (Designation of Terminals, Tour Operators and Enforcement) Regulations (Northern Ireland) 2014.
The Civil Aviation (Access to Air Travel for Disabled Persons and Persons with Reduced Mobility) Regulations 2014.
Regulation 19(1) and (2) of the Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015.
Sections 2, 3, 5, 9 to 15, 19, 23, 24, 28 to 32, 36(3) and (4), 37, 38, 42, 50, 54, 58, 59, 61 to 64, 67 to 70, 72 to 74 of, and Schedules 2 and 3 and Part 3 of Schedule 5 to, this Act.
Article 10(4) of Regulation (EU) 2015/751 of the European Parliament and of the Council of 29 April 2015 on interchange fees for card-based payment transactions.
Parts 2 and 3 and regulations 18, 19, 20(1), 20(3) to 20(5), 21 to 25, 27(2) and 27(3) of, and Schedules 1 to 6 to, the Payment Accounts Regulations 2015.
The Rail Passengers Rights and Obligations (Designation and Enforcement) Regulations (Northern Ireland) 2017.
The Package Travel and Linked Travel Arrangements Regulations 2018.
Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”
(11) In paragraph 32, in sub-paragraph (3)—
(a) in paragraph (b)—
(i) for “a Schedule 13 enforcer” substitute “an authorised enforcer”;
(ii) for “Schedule 13 infringement” substitute “relevant infringement (as defined by paragraph 20(8))”;
(b) in paragraph (c) for “a Schedule 13 enforcer” substitute “an authorised enforcer”.
(12) In paragraph 41, in sub-paragraph (4)—
(a) in the opening words, for “a Schedule 13 enforcer” substitute “an authorised enforcer for the purposes of Part 4 of this Schedule (see paragraph 20(7))”;
(b) in paragraph (a) for “Schedule 13 infringement” substitute “relevant infringement (as defined by paragraph 20(8))”.
(13) In paragraph 45, in sub-paragraph (1), for paragraph (a) substitute—
“(a) Chapter 3 of Part 3 of the Digital Markets, Competition and Consumers Act 2024, ”.
Section 215
1 Inthis Schedule—
“ commencement date” means the date on whichsection 153comes into force;
“ continuing conduct” means an act or omission of a person that—
takes place before the commencement date, and
is repeated, or continues to take place, on or after that date;
“ enforcement action”—
in relation to the new law, means proceedings or other steps taken by virtue of a power conferred under the new law, and
in relation to the old law, means proceedings or other steps taken by virtue of a power conferred under the old law;
“ the new law” meansChapters 3and4ofPart 3(and any provisions of law relating to those Chapters, including Schedule 5 to CRA 2015 as amended by this Act);
“ the old law” means—
Part 8 of EA 2002, as that Part had effect immediately before the commencement date, and
any provisions of law (including in particular Schedule 5 to CRA 2015) relating to Part 8 of EA 2002, as those provisions had effect immediately before the commencement date.
2 (1) The old law continues to apply—
(a) in respect of conduct of a person that takes place before the commencement date;
(b) for the purposes of the taking of enforcement action relating to a breach of an order made by, or undertaking given to, the court under the old law;
(c) in a case where proceedings before a court under the old law have been started against a person before the commencement date, for the purposes of the continuation and completion of those proceedings (including any appeals relating to the proceedings).
(2) Insub-paragraph (1)(c)the reference to proceedings being started against a person is a reference to an application being made against the person under section 215 or 218ZA of EA 2002.
(3) This paragraph is subject to—
(a) paragraph 3, which makes rules for cases involving continuing conduct, and
(b) paragraph 4, which makes rules for cases involving breach of undertakings given to enforcers.
3 (1) This paragraphapplies where conduct of a person is continuing conduct.
(2) The new law applies in respect of the person’s post-commencement conduct.
(3) The new law also applies in respect of the person’s pre-commencement conduct for the purposes of enabling the taking of enforcement action under Chapter 3 or 4 ofPart 3in relation to that conduct.
(4) Where the new law applies by virtue ofsub-paragraph (3), a requirement under Chapter 3 or (as the case may be) Chapter 4 may be imposed on a person in respect of the relevant infringement in relation to which the enforcement action is taken only if a requirement of a corresponding kind could have been imposed on the person under the old law (and accordingly a monetary penalty, in particular, may not be imposed on the person).
(5) In applying the new law in accordance withthis paragraphin respect of a person’s post-commencement conduct, regard may be had to, and findings of fact or law may be made in respect of, the person’s pre-commencement conduct so far as necessary or appropriate for the purposes of determining any matter that falls to be determined in the application of the new law.
(6) Inthis paragraph—
“ post commencement conduct” means so much of a person’s continuing conduct as takes place on or after the commencement date;
“ pre-commencement conduct” means so much of a person’s continuing conduct as takes place before the commencement date.
4 (1) This paragraphapplies where an enforcer has accepted an undertaking from a person under the old law.
(2) Enforcement action in respect of a person’s breach of the undertaking, whether the breach takes place before, on or after the commencement date, may be taken only under the old law.
(3) Sub-paragraph(4)applies where a breach of the undertaking—
(a) takes place (to any extent) on or after the commencement date, and
(b) it appears to an enforcer that the act or omission comprising the breach, so far as taking place on or after that date—
(i) is also a commercial practice which constitutes a relevant infringement under the new law, or
(ii) is carried out by a person who is an accessory under the new law to such a commercial practice.
(4) Enforcement action in respect of the act or omission may be taken—
(a) under the new law, or
(b) if the act or omission would also be a domestic or Schedule 13 infringement for the purposes of the old law, under the old law.
(5) It is for the enforcer concerned to determine whether to take enforcement action under the new law or the old law in accordance with sub-paragraph(4).
(6) A breach of an undertaking that first takes place before the commencement date is to be treated for the purposes of this paragraph as also taking place on or after that date if the act or omission comprising the breach is repeated or continued on or after that date.
5 (1) The amendments made byparagraph 2(3)ofSchedule 17(which insert new paragraphs16Ato16Jinto Schedule 5 to CRA 2015) have effect only in relation to an information notice given on or after the commencement date.
(2) Insub-paragraph (1)“ information notice” means a notice given under paragraph 14 of Schedule 5 to CRA 2015.
6 Nothing inthis Schedulelimits the power undersection 339(5)to make further transitional and saving provision in connection with the coming into force of the new law.
Section 225
1 Claiming to be a signatory to a code of conduct when the trader is not.
2 Claiming that a code of conduct has an endorsement from a public or private body which it does not have.
3 Displaying a trust mark, quality mark or equivalent without having obtained the necessary authorisation.
4 Claiming that a trader, a trader’s commercial practice, or a product has been approved, endorsed or authorised by a public or private body when—
(a) the claim is false, or
(b) the terms of the approval, endorsement or authorisation have not been, or are not being, complied with.
5 (1) Making an invitation to purchase products at a specified price where—
(a) the trader has reasonable grounds for believing that it will not be possible for the trader to offer those products, or equivalent products, for supply at that price, in reasonable quantities, for a reasonable period of time (or to procure another trader to do so), and
(b) the trader does not disclose that fact.
(2) In sub-paragraph(1), the references to reasonable quantities and a reasonable period of time are references to what is reasonable having regard to—
(a) the nature of the product,
(b) the extent of advertising for the product, and
(c) the price offered for the product.
6 Making an invitation to purchase products at a specified price and then—
(a) refusing to show the advertised item to consumers,
(b) refusing to take orders for it or deliver it within a reasonable time, or
(c) demonstrating a defective sample of it,
with the intention of promoting a different product.
7 Falsely stating that a product will only be available for a limited time, or that it will only be available on particular terms for a limited time, in order to elicit an immediate decision and deprive consumers of sufficient opportunity or time to make an informed choice.
8 Undertaking to provide an after-sales service to consumers and then making such service available only in a language which is different to the language used in communication with the consumer for, or prior to, the transaction without clearly disclosing this to the consumer before the consumer committed to the transaction.
9 Falsely claiming or creating the false impression that an after-sales service is available, including falsely claiming that it is available in, or accessible from, any particular country or location.
10 Stating or otherwise creating the impression that a product can be legally sold when it cannot.
11 Presenting rights given to consumers by law as a distinctive feature of the trader’s offer.
12 Using editorial content in the media to promote a product where a trader has paid for the promotion without making that clear in the content or by images or sounds clearly identifiable by the consumer.
13 (1) Submitting, or commissioning another person to submit or write—
(a) a fake consumer review, or
(b) a consumer review that conceals the fact it has been incentivised.
(2) Publishing consumer reviews, or consumer review information, in a misleading way.
(3) Publishing consumer reviews, or consumer review information, without taking such reasonable and proportionate steps as are necessary for the purposes of—
(a) preventing the publication of—
(i) fake consumer reviews,
(ii) consumer reviews that conceal the fact they have been incentivised, or
(iii) consumer review information that is false or misleading, and
(b) removing any such reviews or information from publication.
(4) Offering services to traders—
(a) for the doing of anything covered by sub-paragraph (1) or (2);
(b) for the facilitating of anything covered by sub-paragraph (1) or (2) to be done.
(5) For the purposes of this paragraph—
(a) “ consumer review” means a review of a product, a trader or any other matter relevant to a transactional decision;
(b) “ fake consumer review” means a consumer review that purports to be, but is not, based on a person’s genuine experience;
(c) a consumer review conceals the fact it has been incentivised if—
(i) a person has been commissioned to submit or write the review, and
(ii) that fact is not made apparent (whether through the contents of the review or otherwise);
(d) “ consumer review information” means information that is derived from, or is influenced by, consumer reviews;
(e) a person “submits” a review or information if they supply it with a view to publication;
(f) “ writing” includes creating by any means;
(g) “ commissioning” includes incentivising by any means (and “commissioned” is to be read accordingly);
(h) “ publishing” includes disseminating, or otherwise making available, by any means;
(i) publishing in a “ misleading way” includes (for example)—
(i) failing to publish, or removing from publication, negative consumer reviews whilst publishing positive ones (or vice versa);
(ii) giving greater prominence to positive consumer reviews over negative ones (or vice versa);
(iii) omitting information that is relevant to the circumstances in which a consumer review has been written (including that a person has been commissioned to write the review).
14 Making a materially inaccurate claim concerning the nature and extent of the risk to the personal security or safety of the consumer, a member of the consumer’s family or anyone living in the consumer’s home, if the consumer does not purchase the product.
15 Promoting a product similar to a product made by a particular manufacturer in such a manner as deliberately to mislead the consumer into believing that the product is made by that same manufacturer when it is not.
16 (1) Establishing, operating or promoting a pyramid promotional scheme.
(2) In sub-paragraph(1), a pyramid promotional scheme means a scheme where a consumer gives consideration for the opportunity to receive compensation that is derived primarily from the introduction of other consumers into the scheme rather than from the supply or consumption of products.
17 Claiming that the trader is about to cease trading or move premises when the trader is not.
18 Claiming that products are able to facilitate winning in games of chance.
19 (1) Falsely claiming that a product is able to—
(a) prevent or treat disease or a malformation,
(b) restore, correct or modify a physiological function, or
(c) modify a person’s appearance.
(2) For the purposes of sub-paragraph(1), “ disease” includes any injury, ailment or adverse condition, whether of body or mind.
20 Providing (including passing on) materially inaccurate information about market conditions or about the availability of the product with the intention of inducing the consumer to acquire the product under conditions that are less favourable than normal market conditions.
21 Claiming to offer a competition or prize promotion without awarding the prizes described or a reasonable equivalent.
22 Creating the false impression that the consumer has already won, will win, or will on doing a particular act win, a prize or other equivalent benefit, when in fact either—
(a) there is no prize or other equivalent benefit, or
(b) taking any action in relation to claiming the prize or other equivalent benefit requires the consumer to pay money or incur a cost.
23 Describing a product as “gratis”, “free”, “without charge” or similar if the consumer has to pay anything other than the unavoidable cost of responding to the commercial practice and collecting or paying for delivery of the item.
24 Including in marketing material an invoice or similar document seeking payment which gives the consumer the impression that the consumer has already ordered the marketed product when the consumer has not.
25 Falsely claiming or creating the false impression that the trader is not acting for purposes relating to the trader’s business or falsely representing oneself as a consumer.
26 Creating the impression that the consumer cannot leave the premises until a contract is formed.
27 Ignoring a request from a consumer to leave or not return to the consumer’s home except in circumstances and to the extent justified to enforce a contractual obligation.
28 Making persistent and unwanted solicitations by any means, other than by attending at the consumer’s home, except in circumstances and to the extent justified to enforce a contractual obligation.
29 Requiring a consumer who wishes to claim on an insurance policy to produce documents which could not reasonably be considered relevant as to whether the claim was valid, or failing systematically to respond to correspondence, in order to dissuade a consumer from exercising the consumer’s contractual rights.
30 Including in an advertisement a direct appeal to children to buy advertised products or persuade their parents or other adults to buy advertised products for them.
31 Supplying products to a consumer that have not been requested by the consumer and demanding that the consumer—
(a) pays for the products,
(b) returns the products, or
(c) safely stores the products.
32 Explicitly telling a consumer that if the consumer does not buy the product, the trader’s job or livelihood will be at risk.
Section 251
1 In section 40(3A) of the Administration of Justice Act 1970 (punishment for unlawful harassment of debtors), for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
2 In section 12(3) of the Trade Descriptions Act 1968 (false representations as to royal approval or award, etc.) for the words from “and” to “2008” substitute “has the same meaning as inChapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024 and, for the purposes of this section, a commercial practice is unfair if it would be unfair for the purposes of that Chapter”.
3 In section 1 of the Hallmarking Act 1973 (prohibited descriptions of unhallmarked articles)—
(a) in subsection (4C) for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”;
(b) in subsection (4D) for the words from “satisfying” to “action)” substitute “an unfair commercial practice involving a misleading action for the purposes of that Chapter”.
4 In paragraph 1 of Schedule 1 to the Prescription and Limitation (Scotland) Act 1973 for paragraph (af) substitute—
“(af) to any obligation arising by virtue of rights of redress under Chapter 1 of Part 4 of the Digital Markets, Competition and Consumers Act 2024; ”.
5 In paragraph 17 of Schedule 15D to the Companies Act 1985 (disclosures), omit sub-paragraph (k).
6 (1) The Copyright, Designs and Patents Act 1988 is amended as follows.
(2) In section 114A(2)(bb) (forfeiture of infringing copies, etc.: England and Wales or Northern Ireland) for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(3) In section 114B(15) (forfeiture of infringing copies, etc.: Scotland), in paragraph (d) in the definition of “relevant offence”, for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(4) In section 204A(2)(bb) (forfeiture of illicit recordings: England and Wales or Northern Ireland), for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(5) In section 204B(15) (forfeiture of illicit recordings: Scotland), in paragraph (d) in the definition of “relevant offence” for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(6) In section 297C(2)(bb) (forfeiture of unauthorised decoders: England and Wales or Northern Ireland) for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(7) In section 297D(15) (forfeiture of unauthorised decoders: Scotland), in paragraph (d) in the definition of “relevant offence” for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
7 (1) The Trade Marks Act 1994 is amended as follows.
(2) In section 91 (power of commissioners for revenue and customs to disclose information), for paragraph (d) substitute—
“(d) Chapter 1 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”
(3) In section 97(8)(d) (forfeiture; England and Wales or Northern Ireland) for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(4) In section 98(14) (forfeiture; Scotland), in paragraph (d) in the definition of “relevant offence” for “the Consumer Protection from Unfair Trading Regulations 2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
8 In EA 2002—
(a) in Schedule 14 (provisions about disclosure of information) at the appropriate place insert—
“Chapter 1 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”;
(b) in Schedule 15 (enactments conferring functions) at the appropriate place insert—
“Chapter 1 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”
9 In paragraph 23 of Schedule 4 to the Licensing Act 2003 (personal licence: relevant offences), for the words from “regulation” to “2008” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
10 In paragraph 25 of Part 2 of Schedule 2 to the Companies Act 2006 (specified descriptions of disclosures), omit paragraph (j).
11 In Schedule 3 to the Regulatory Enforcement and Sanctions Act 2008 (enactments specified for the purposes of Part 1), at the appropriate place insert—
12 (1) Schedule 5 to the CRA 2015 (investigatory powers: enforcer’s legislation) is amended as follows.
(2) In paragraph 10—
(a) omit “regulation 19(1) or (1A) of the Consumer Protection from Unfair Trading Regulations 2008 ( SI 2008/1277);”;
(b) at the appropriate place insert—
(3) In paragraph 18(b) for “the Consumer Protection from Unfair Trading Regulations 2008 ( SI 2008/1277)” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
13 (1) The Online Safety Act 2023 is amended as follows.
(2) In section 59(6) (“illegal content” etc) for “the Consumer Protection from Unfair Trading Regulations 2008 ( SI 2008/1277)” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(3) In section 74(3) (interpretation of Chapter)—
(a) in paragraph (b) for “the Consumer Protection from Unfair Trading Regulations 2008 ( S.I. 2008/1277)” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”;
(b) in paragraph (c) for “those Regulations (see regulation 19 of those Regulations)” substitute “that Chapter (see section231of that Act).
(4) In section 218(3)(b) (power to amend section 40) for “the Consumer Protection from Unfair Trading Regulations 2008 ( SI 2008/1277)” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
(5) In section 222(6)(b) (power to amend Schedule 7) for “the Consumer Protection from Unfair Trading Regulations 2008 ( SI 2008/1277)” substitute “Chapter 1ofPart 4of the Digital Markets, Competition and Consumers Act 2024”.
Section 255
1 (1) A contract between an electricity supplier and a consumer for the supply of electricity to any premises.
(2) A contract between a gas supplier and a consumer for the supply of gas to any premises.
(3) A contract between a heat supplier and a consumer for the supply of heating, cooling or hot water by means of a relevant heat network.
(4) In England and Wales, a contract between a licensed water supplier, or licensed sewerage supplier, and a consumer for the supply of water or sewerage services.
(5) In Scotland, a contract between a licensed water supplier, or licensed sewerage supplier, and a consumer for the supply of water or sewerage services.
(6) In Northern Ireland—
(a) a contract between a water undertaker and a consumer for the supply of water pursuant to Article 94 of the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I. 21));
(b) a contract between a sewerage undertaker and a consumer for the supply of sewerage services pursuant to Chapter 3 of Part 6 of that Order.
(7) In this paragraph—
“ electricity supplier” means a person who is authorised to supply electricity—
by a licence under Part 1 of the Electricity Act 1989 or Part 2 of the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I. 1)),
by virtue of an exemption granted under the Electricity (Class Exemptions from the Requirement for a Licence) Order 2001 ( S.I. 2001/3270), or
by virtue of an exemption granted under the Electricity (Class Exemptions from the Requirement for a Licence) Order (Northern Ireland) 2013 ( S.I. 2013/93 (N.I. 1));
“ gas supplier” means a person who is authorised to supply gas—
by a licence under Part 1 of the Gas Act 1986 or Part 2 of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I. 2)), or
by virtue of the exemption in paragraph 1 of Schedule 2A to the Gas Act 1986;
“ heat supplier” means a person who is authorised to supply heating, cooling or hot water by an authorisation conferred under regulations made under Chapter 1 of Part 8 of the Energy Act 2023;
“ licensed sewerage supplier” means—
in relation to England and Wales, a sewerage licensee within the meaning of the Water Industry Act 1991;
in relation to Scotland, a person supplying sewerage services under a sewerage services licence within the meaning of the Water Services etc. (Scotland) Act 2005 (asp 3);
“ licensed water supplier” means—
in relation to England and Wales, a water supply licensee within the meaning of the Water Industry Act 1991;
in relation to Scotland, a person supplying water under a water services licence within the meaning of the Water Services etc. (Scotland) Act 2005;
“ relevant heat network” has the same meaning as in Chapter 1 of Part 8 of the Energy Act 2023;
“ sewerage undertaker” and “ water undertaker” have the same meanings as in the Water and Sewerage Services (Northern Ireland) Order 2006.
2 A contract for services of a banking, credit, insurance, personal pension, investment or payment nature.
3 (1) A contract for the supply of goods, services or digital content where the supply—
(a) is made for purposes relating to the prevention, diagnosis or treatment of illness, or otherwise relating to a person’s physical or mental health, and
(b) is—
(i) made under, or in connection with, a prescription or directions given by a prescriber, or
(ii) of a medicinal product which is administered by a prescriber.
(2) In sub-paragraph (1)—
“ illness” means physical or mental illness;
“ medicinal product” has the meaning given by regulation 2(1) of the Human Medicines Regulations 2012 ( S.I. 2012/ 1916);
“ prescriber”—
in relation to a prescription or directions given, or a medicinal product administered, in England, has the meaning given by regulation 2(1) of the National Health Service (Pharmaceutical and Local Pharmaceutical Services) Regulations 2013 ( S.I. 2013/349);
in relation to a prescription or directions given, or a medicinal product administered, in Wales, has the meaning given by regulation 2 of the National Health Service (Pharmaceutical Services) (Wales) Regulations 2020 ( S.I 2020/1073 (W. 241);
in relation to a prescription or directions given, or a medicinal product administered, in Scotland, has the meaning given by regulation 2 of the National Health Service (Pharmaceutical Services) (Scotland) Regulations 2009 ( S.S.I. 2009/183) but as if that definition included “a dentist”;
in relation to a prescription or directions given, or a medicinal product administered in Northern Ireland, has the meaning given by the Pharmaceutical Services Regulations (Northern Ireland) 1997 ( S.R. (N.I.) 1997 No. 381).
4 (1) A contract for the supply of goods, services or digital content by a health care professional or a person included in a relevant list in circumstances where—
(a) the supply of goods, services or digital content is under arrangements for the supply of services as part of the health service, and
(b) the goods, services or digital content are, at least in some circumstances, supplied under such arrangements free of charge or on prescription.
(2) In sub-paragraph (1)—
“ health care professional” means a member of a profession which is regulated by—
a body mentioned in section 25(3) of the National Health Service Reform and Health Care Professions Act 2002 but as if subsection (3A) of that section were omitted;
Social Care Wales;
the Scottish Social Services Council;
the Northern Ireland Social Care Council;
“ health service” means the health service or system of health care continued under—
section 1(1) of the National Health Service Act 2006;
section 1(1) of the National Health Service (Wales) Act 2006;
section 1(1) of the National Health Service (Scotland) Act 1978;
section 2(1) of the Health and Social Care (Reform) Act (Northern Ireland) 2009;
“ relevant list” means—
in relation to arrangements which are part of the health service in England—
a relevant list for the purposes of the National Health Service (Pharmaceutical and Local Pharmaceutical Services) Regulations 2013 ( S.I. 2013/349) (see regulation 2(1));
a list maintained under those Regulations;
in relation to arrangements which are part of the health service in Wales—
a relevant list for the purposes of the National Health Service (Pharmaceutical Services) (Wales) Regulations 2020 ( S.I 2020/1073 (W. 241);
a list maintained under those Regulations;
in relation to arrangements which are part of the health service in Scotland—
the pharmaceutical list prepared under regulation 5 of the National Health Service (Pharmaceutical Services) (Scotland) Regulations 2009 ( S.S.I. 2009/183);
the provisional pharmaceutical list prepared under regulation 8 of those Regulations;
the primary medical services performers list prepared under regulation 4 of the National Health Service (Primary Medical Services Performers List) (Scotland) Regulations 2004 ( S.S.I. 2004/114);
the dental list prepared under regulation 4 of the National Health Service (General Dental Services) (Scotland) Regulations ( S.S.I 2010/208);
in relation to arrangements which are part of the health service in Northern Ireland, the pharmaceutical list prepared under regulation 6 of the Pharmaceutical Services Regulations (Northern Ireland) 1997 ( S.R. (N.I.) 1997 No. 381).
5 A contract for the supply of goods, services or digital content by a person who is bound, in relation to that supply, by a general condition set by OFCOM under section 45 of the Communications Act 2003.
6 (1) A contract for the supply of a premium rate service by a person who is bound, in relation to the supply of that service, by conditions set by OFCOM under section 120 of the Communications Act 2003.
(2) In sub-paragraph (1), “ ” has the meaning given by section 120(7) of the Communications Act 2003.
7 In paragraphs5and6, “ OFCOM” means the Office of Communications.
8 A contract under which accommodation is rented for residential purposes.
9 (1) A contract between a trader whose business is a micro-entity and a consumer for the supply of foodstuffs, beverages or other goods intended for current consumption in the household where the condition in sub-paragraph(2)or(3)is met.
(2) The condition is that the foodstuffs, beverages or other goods—
(a) are to be supplied by way of a frequent or regular delivery to the consumer’s home, residence or workplace, and
(b) are not to be delivered wholly or mainly by a third party.
(3) The condition is that the foodstuffs, beverages or other goods are to be supplied by way of the consumer collecting the goods from the trader’s business premises.
(4) For the purposes of sub-paragraph(1), a business is a micro-entity in each financial year, other than its first financial year, that the condition in sub-paragraph(5)or(6)is met in relation to the business.
(5) The condition in this sub-paragraph is met if—
(a) the business is carried on by a company, and
(b) the company qualified as a micro-entity in accordance with section 384A of the Companies Act 2006 in relation to the preceding financial year.
(6) The condition in this sub-paragraph is met if—
(a) the business is not carried on by a company, but
(b) if the business had been carried on by a company, the company would have qualified as a micro-entity in accordance with that section in relation to the preceding financial year.
(7) In the first financial year of a business, the business is a micro-entity for the purposes of sub-paragraph(1)if (and for so long as) the person carrying on the business believes on reasonable grounds that the person will qualify as a micro-entity in accordance with section 384A of the Companies Act 2006 in relation to that financial year (or would do so if the person were a company).
(8) For the purposes of sub-paragraph(2)(b)goods are delivered by a third party if they are delivered by a person acting for purposes relating to a business other than the trader’s business.
(9) In this paragraph—
“ company” has the same meaning as in the Companies Act 2006 (see section 1 of that Act);
“ financial year”—
in relation to a business which is carried on by a company, means the company’s financial year in accordance with sections 390 to 392 of that Act;
in relation to a business which is not carried on by a company, means a year, beginning on 6 April and ending on the following 5 April;
“ first financial year”—
in relation to a business which is carried on by a company, means the company’s first financial year in accordance with sections 390 to 392 of the Companies Act 2006;
in relation to a business which is not carried on by a company, means the first financial year in which the business begins trading.
10 A package travel contract within the meaning of the Package Travel and Linked Travel Arrangements Regulation 2018 ( S.I. 2018/634).
11 A contract which is a regulated contract within the meaning of the Timeshare, Holiday Products Resale and Exchange Contracts 2010 ( S.I. 2010/2960).
12 (1) A contract for the supply of goods, services or digital content for, or in connection with, the provision of childcare by a relevant childcare provider.
(2) In relation to the provision of childcare in England and Wales, a “ relevant childcare provider” means—
(a) a person who—
(i) in relation to England, is registered, or required to be registered, under Part 3 of the Childcare Act 2006 in relation to the childcare provided;
(ii) in relation to England, is not required to register under that Part in relation to the childcare provided because the childcare is excepted from the definition of “childcare” in section 18 of that Act;
(iii) in relation to England, is not required to register under that Part in relation to the childcare provided as a result of Article 2 of the Childcare (Exemptions from Registration) Order 2008 ( S.I. 2008/979) by reference to the circumstances specified in Article 3, 5 or 8 of that Order;
(iv) in relation to Wales, is registered, or required to be registered, under Part 2 of the Children and Family (Wales) Measure 2010 (nawm 1);
(v) in relation to Wales, is not required to register under that Part because the person is not acting as a child minder, or is not providing day care, for the purposes of that Part by virtue of an Order made under section 19 of that Measure;
(b) the governing body of a maintained school;
(c) the proprietor of an Academy school or an Alternative provision Academy;
(d) the proprietor of a school that is approved under section 342 of the Education Act 1996 (non-maintained special schools);
(e) the proprietor of any educational institution not falling within paragraph(c)that is registered under section 95 of the Education and Skills Act 2008 (register of independent educational institutions).
(3) In relation to the provision of childcare in Scotland, a “ relevant childcare provider” means—
(a) a person who—
(i) is registered, or required to be registered, under Part 5 of the Public Services Reform (Scotland) Act 2010 (asp 8)in relation to the childcare provided;
(ii) is not required to register under that Part in relation to the childcare provided because that childcare is excepted from the definition of a care service by Schedule 12 to that Act or by regulations made under that Schedule;
(b) an education authority acting in its role as manager of a public school;
(c) the proprietor of an independent school;
(d) the managers of a grant-aided school.
(4) In relation to the provision of childcare in Northern Ireland, a “ relevant childcare provider” means—
(a) a person who—
(i) is registered, or required to be registered, under Part 11 of the Children (Northern Ireland) Order 1995 ( S.I. 1995/755 (N.I. 2));
(ii) is not required to register under that Part in relation to the childcare provided because the person is not acting as a childminder when carrying out that childcare by virtue of Article 119 of that Order, or is not providing day care for children when carrying out that childcare by virtue of Article 120 of that Order;
(iii) is not required to register under that Part in relation to the childcare provided because of an exemption under Article 121 of that Order;
(b) the Board of Governors of a grant-aided school;
(c) the proprietor of an independent school.
(5) In this paragraph—
“ Academy school” has the meaning given by section 1A of the Academies Act 2010;
“ Alternative provision Academy” has the meaning given by section 1C of the Academies Act 2010;
“ Board of Governors” has the same meaning as in the Education and Libraries (Northern Ireland) Order 1986 ( S.I. 1986/594 (N.I. 3));
“ child” means a person under the age of 18;
“ childcare” means any form of care for a child, including—
education for a child, and
any other supervised activity for a child;
“ education authority” has the meaning given by section 135(1) of the Education (Scotland) Act 1980;
“ governing body”, in relation to a maintained school, means the governing body referred to in relation to the school in section 19 of the Education Act 2002;
“ grant-aided school”—
in relation to Scotland, has the meaning given by section 135(1) of the Education (Scotland) Act 1980;
in relation to Northern Ireland, has the meaning given by Article 2(2) of the of the Education and Libraries (Northern Ireland) Order 1986;
“ independent school”—
in relation to Scotland, has the meaning given by section 135(1) of the Education (Scotland) Act 1980;
in relation to Northern Ireland, has the meaning given by Article 2(2) of the of the Education and Libraries (Northern Ireland) Order 1986;
“ maintained school” means—
a community, foundation or voluntary school (within the meaning of the School Standards and Framework Act 1998);
a community or foundation special school (within the meaning of that Act);
a maintained nursery school (as defined by section 22(9) of that Act);
“ proprietor”—
in relation to a maintained school, has the meaning given by section 579(1) of the Education Act 1996;
in relation to an educational institution registered under section 95 of the Education and Skills Act 2008, has the meaning given by section 138(1) of that Act;
in relation to an independent school in Scotland, has the meaning given by section 135(1) of the Education (Scotland) Act 1980;
in relation to an independent school in Northern Ireland, has the meaning given by Article 2(2) of the of the Education and Libraries (Northern Ireland) Order 1986;
“ public school” has the meaning given by section 135(1) of the Education (Scotland) Act 1980.
13 (1) In England and Wales and Scotland, a contract for—
(a) gambling, within the meaning of the Gambling Act 2005;
(b) participating in the National Lottery, within the meaning of the National Lottery etc. Act 1993.
(2) In Northern Ireland, a contract for betting, gaming or participating in a lawful lottery within the meaning of the Betting, Gaming, Lotteries and Amusements (Northern Ireland) Order 1985 ( S.I. 1985/1204 (N.I. 11)).
Section 256
1 The information referred to in section256(1)(a)is as follows.
2 If section254(2)applies to the contract—
(a) that the contract will continue, or continue for a fixed term, unless the consumer takes steps to bring the contract to an end, or to an earlier end,
(b) that until the contract comes to an end the consumer will continue to incur liabilities under the contract, and
(c) any minimum period that must elapse before the consumer can bring the contract to an end.
3 If section254(3)applies to the contract—
(a) that the consumer will be charged, or charged at a higher rate, for the supply of goods, services or digital content unless the consumer takes steps to bring the contract to an end before liability for any charge, or higher charge, is incurred by the consumer, and
(b) the date on which the consumer will become liable for the first charge, or first higher charge.
4 The frequency with which the consumer will become liable for payments under the contract and the minimum amount that the consumer will become liable for on each occasion, or how that amount is to be calculated if the amount cannot reasonably be calculated in advance.
5 If different to the information referred to in paragraph4, the amount that the consumer would become liable for each month if payments under the contract fell due monthly.
6 The minimum total amount for which the consumer will become liable under the contract.
7 Whether the contract provides for—
(a) any changes to the frequency or the amount of payments that the consumer will become liable for under the contract, or
(b) any option under the contract for the trader to change the frequency or amount of those payments,
and if it does, the detail of those changes or that option.
8 The steps that the consumer must take to bring the contract to an end including any address (including a website or email address) or other contact details the consumer may need in order to take those steps.
9 The amount of notice that the consumer must give to bring the contract to an end.
10 The period within which reminder notices in relation to the contract will be given in accordance with section259(3).
11 A summary of—
(a) the consumer’s right to cancel the contract during the initial cooling-off period (or if the consumer may lose that right, that information), and
(b) any right the consumer has to cancel during a renewal cooling-off period,
and the fact that further details about the rights are set out in the full pre-contract information.
12 The information referred to in section256(1)(b)is as follows.
13 The information set out in Part 1 of this Schedule.
14 The main characteristics of the goods, services or digital content, to the extent appropriate to the medium of communication and to the nature of the goods, services or digital content.
15 (1) The identity of the trader and the identity of any other person on whose behalf the trader is acting.
(2) For the purposes of sub-paragraph(1), “ identity” in relation to a trader, means—
(a) the name of the trader, and
(b) if different, the name under which the trader trades.
16 (1) The business address and, if different, the service address of the trader, and any business email address and business telephone number of the trader.
(2) For the purposes of sub-paragraph(1)and paragraph17—
“ business address”, in relation to a person, means—
where the person is a body corporate, the address of its registered or principal office,
where the person is a firm that is not a body corporate, the address of the principal office of the firm,
in a case where neither paragraphs (a) or (b) apply, the address of the person’s principal place of business;
“ business email address”, in relation to a person, means any email address used by the trader for conducting business;
“ business telephone number”, in relation to a person, means any telephone number used by the trader for conducting business;
“ service address”, in relation to a person, means the address at which the person will accept service of documents.
17 In relation to any other person on whose behalf the trader is acting—
(a) the person’s business address, business email address and business telephone number (if the person has such addresses or such a number), and
(b) if different to the person’s business address, the person’s service address.
18 All additional delivery charges and any other costs or, where those charges cannot reasonably be calculated in advance, the fact that such additional charges may be payable.
19 The arrangements for payment, delivery, performance, and the time by which the trader undertakes to deliver the goods, to perform the services or to supply the digital content.
20 The trader’s complaint handling policy.
21 The following information about the consumer’s right to cancel the subscription contract during the initial cooling-off period—
(a) when that period begins and ends;
(b) how the consumer may exercise the right;
(c) if the consumer may lose the right, the circumstances under which that will happen;
(d) the consequences of the consumer exercising the right, including—
(i) any refund the consumer may be entitled to,
(ii) any reason that refund might be diminished, and
(iii) in respect of a contract for the supply of goods, whether the consumer will be responsible for returning those goods to the trader, including the likely cost of returning the goods if they cannot normally be returned by post.
22 The following information about any right the consumer has to cancel the subscription contract during a renewal cooling-off period—
(a) when the first renewal cooling-off period will begin and end;
(b) whether there will be further renewal cooling-off periods and, if so, when each will begin and end;
(c) how the consumer may exercise the right;
(d) if the consumer may lose that right, the circumstances under which that will happen;
(e) the consequences of the consumer exercising the right, including—
(i) any refund the consumer may be entitled to,
(ii) any reason that refund might be diminished,
(iii) in respect of a contract for the supply of goods, whether the consumer will be responsible for returning those goods to the trader.
23 A reminder of the statutory rights of the consumer under Part 1 of the Consumer Rights Act 2015.
24 (1) The existence and conditions of after-sale customer assistance, after-sales services and commercial guarantees.
(2) In sub-paragraph(1), “ commercial guarantee”, in relation to a contract, means any undertaking by the trader or producer to the consumer (in addition to the trader’s duty to supply goods that are in conformity with the contract) to reimburse the price paid or to replace, repair or service goods in any way if they do not meet the specifications or any other requirements not related to conformity set out in the guarantee statement or in the relevant advertising available at the time of the contract or before it is entered into.
25 (1) The existence of relevant codes of conduct and how copies of them can be obtained.
(2) In sub-paragraph(1), “ code of conduct” has the meaning it has insection 249.
26 The existence and the conditions of deposits or other financial guarantees to be paid or provided by the consumer at the request of the trader.
27 (1) The functionality, including applicable technical protection measures, of digital content and any relevant compatibility of digital content with hardware and software that the trader is aware of or can reasonably be expected to have been aware of.
(2) In sub-paragraph(1), “ functionality”, in relation to digital content, includes region coding, restrictions incorporated for the purposes of digital rights management, and other technical restrictions.
28 The possibility of having recourse to an out-of-court complaint and redress mechanism, to which the trader is subject, and the methods for having access to it.
29 The information referred to in section259(1)(a)(information that must be contained in a reminder notice) is as follows.
30 That the consumer will become liable for the renewal payment to which the notice relates unless the consumer takes steps to bring the contract to an end.
31 The date (“the renewal date”) on which the consumer will become liable for the renewal payment and its amount.
32 The amount of the previous renewal payment for which the consumer became liable under the contract (if any).
33 If the renewal payment to which the notice relates is a higher amount than that previous renewal payment, that information and the difference in the amount.
34 If, having not brought the contract to an end before the renewal date, the consumer will become automatically liable for one or more further payments under the contract (ignoring any subsequent renewal payment)—
(a) the frequency with which the consumer will become liable for those payments, and
(b) the minimum amount that the consumer will become liable for on each occasion (or how that amount is to be calculated if it cannot reasonably be calculated in advance).
35 The amount of any payments equivalent to those mentioned in paragraph34for which the consumer became liable after the previous renewal payment.
36 If the payments mentioned in paragraph34are (or may be) of a higher amount than any equivalent payments for which the consumer became liable after the previous renewal payment, that information and the difference in the amount (or the difference in how the amount will be calculated).
37 The minimum total amount for which the consumer will become liable under the contract if the consumer does not bring the contract to an end before the renewal date (ignoring any liability that has arisen, or will arise, before that date), or how that amount is to be calculated if the amount cannot reasonably be calculated in advance.
38 The date on which the consumer will become liable for the next renewal payment, or if the consumer will not become liable for any further renewal payment, the date on which the contract will come to an end.
39 The steps that the consumer may take to bring the subscription contract to an end so as to avoid becoming liable for any further payment under the contract, including—
(a) any address (including a website or email address) or other contact details the consumer may need in order to take those steps, and
(b) the date by which any steps must be taken so as to avoid that liability.
Section 284
1 (1) A contract between a consumer and a trader where—
(a) the contract is entered into by the trader in the course of carrying on a regulated financial services activity, and
(b) the trader is authorised to carry on that activity.
(2) Insub-paragraph (1)(a), a regulated financial services activity means—
(a) a regulated activity for the purposes of section 19 of the Financial Services and Markets Act 2000;
(b) a payment service within the meaning of regulation 2(1) of the Payment Services Regulations 2017 ( S.I. 2017/752);
(c) the issue of electronic money.
(3) For the purposes ofsub-paragraph (1)(b), a person is authorised to carry on a regulated financial services activity if—
(a) the person is an authorised person in relation to the activity for the purposes of section 19 of the Financial Services and Markets Act 2000;
(b) the person is exempt from the general prohibition in relation to the activity under section 39(1) of that Act;
(c) the person is a payment service provider and the activity is a payment service for which the person is authorised or registered under Part 2 of the Payment Services Regulations 2017;
(d) the person is an electronic money issuer and the activity is the issue of electronic money for which the person is authorised or registered under Part 2 of the Electronic Money Regulations 2011 ( S.I. 2011/99).
(4) In this paragraph—
“ electronic money” has the meaning given by regulation 2(1) of the Electronic Money Regulations 2011 (and references to the issue of electronic money are to be construed in accordance with those regulations);
“ electronic money issuer” has the meaning given in regulation 2(1) of those Regulations;
“ the general prohibition” has the same meaning as in the Financial Services and Markets Act 2000 (see section 19(2) of that Act);
“ payment service provider” has the meaning given in regulation 2(1) of the Payment Services Regulations 2017.
2 (1) Arrangements for—
(a) the supply of water under a relevant duty to supply water;
(b) the supply of electricity under an electricity supply licence;
(c) the supply of gas under a gas supply licence;
(d) the supply of heating, cooling or hot water by means of a relevant heat network under a heat network authorisation.
(2) In this paragraph—
“ electricity supply licence” means a licence granted under section 6 of the Electricity Act 1989 or Article 10 of the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I.1));
“ gas supply licence” means a licence granted under section 7A(1) of the Gas Act 1986 or Article 8(1)(c) of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I.2));
“ heat network authorisation” means an authorisation conferred under regulations made under section 219 of the Energy Act 2023;
“ relevant duty to supply water” means the duty imposed by—
section 52 of the Water Industry Act 1991;
Article 91 of the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I. 21));
section 6 of the Water (Scotland) Act 1980;
“ relevant heat network” has the same meaning as in Chapter 1 of Part 8 of the Energy Act 2023 (see section 216 of that Act).
3 (1) A contract for the supply of goods, services or digital content by a person who is bound, in relation to that supply, by a general condition set by OFCOM under section 45 of the Communications Act 2003.
(2) In sub-paragraph (1), “ OFCOM” means the Office of Communications.
4 A contract for prepaid passenger transport services.
5 (1) A contract between a consumer and a trader where—
(a) the trader’s turnover in the trader’s last financial year was less than £1,000,000, and
(b) the trader does not enter into consumer savings scheme contracts which result in an account held by a trader for a consumer being credited with funds of more than £120 at any given time.
(2) Where a trader is in their first year of trading, the exclusion in this paragraph applies if the test in sub-paragraph (1)(b) alone is satisfied.
6 A contract between a consumer and a trader where the contract is entered into by a trader in the course of providing childcare vouchers within the meaning given in section 84 of the Income Tax (Earnings and Pensions) Act 2003 for the purposes of a scheme to which section 270A of that Act applies.
7 A package travel contract within the meaning of the Package Travel and Linked Travel Arrangements Regulation 2018 ( S.I. 2018/634).
Section 295
The Commission for Local Administration in England (also known as the Local Government and Social Care Ombudsman) and each Local Commissioner within the meaning of section 23(3) of the Local Government Act 1974
The Consumer Council for Water
The Health Service Commissioner for England
The Legal Ombudsman
The Northern Ireland Public Services Ombudsman
The Office of the Independent Adjudicator for Higher Education (registered company number 04823842) in relation to its functions as the designated operator under section 13 of the Higher Education Act 2004
The Parliamentary Commissioner for Administration
The Pensions Ombudsman
The Public Services Ombudsman for Wales or Ombwdsmon Gwasanaethau Cyhoeddus Cymru
The Scottish Legal Complaints Commission
The Scottish Public Services Ombudsman
An approved estate agents redress scheme
An approved postal operators redress scheme
An approved social housing ombudsman scheme
Approved public communications provider dispute procedures
The Financial Ombudsman Scheme
A qualifying lettings agency work redress scheme
A qualifying property management work redress scheme
A qualifying redress scheme for the gas or electricity sector
1 In this Schedule—
“ approved estate agents redress scheme” means an approved redress scheme within the meaning of section 23A of the Estate Agents Act 1979;
“ approved postal operators redress scheme” means an approved redress scheme for investigating and determining complaints about postal operators (see section 52 of the Postal Services Act 2011);
“ approved public communications provider dispute procedures” means dispute procedures maintained by public communications providers that are approved under section 54 of the Communications Act 2003 for the purposes of section 52(5) of that Act;
“ approved social housing ombudsman scheme” means a scheme which is approved for the purposed of Schedule 2 to the Housing Act 1996;
“ qualifying lettings agency work redress scheme” means a redress scheme which is approved as mentioned in section 83(1)(a), or is a government scheme for the purposes of section 83(1)(b), of the Enterprise and Regulatory Reform Act 2013;
“ qualifying property management work redress scheme” means a redress scheme which is approved as mentioned in section 84(1)(a), or is a government administered redress scheme for the purposes of section 84(1)(b), of the Enterprise and Regulatory Reform Act 2013;
“ qualifying redress scheme for the gas or electricity sector” means a redress scheme which is approved as mentioned in section 47(1)(a), or is administered and designated as mentioned in section 47(1)(b), of the Consumers, Estate Agents and Redress Act 2007.
Section 301
1 (1) The ADR provider provides consumers generally with accessible information about the ADR that it carries out or for which it makes special ADR arrangements.
(2) The information provided should include (among other things) information about—
(a) the kinds of ADR it carries out or for which it makes special ADR arrangements (including the possible outcomes of each kind);
(b) the types of dispute it deals with (whether by carrying out ADR or making special ADR arrangements);
(c) the procedures adopted in relation to ADR carried out by it or for which it makes special ADR arrangements;
(d) any fees or costs payable by either party to a dispute that is referred for ADR.
2 The ADR provider does not unreasonably refuse to carry out ADR or, as the case may be, to make special ADR arrangements, in relation to disputes referred to it.
3 The ADR provider has appropriate knowledge and skills—
(a) for carrying out the ADR that it carries out, in relation to the disputes it deals with, or
(b) for making the special ADR arrangements that it makes.
4 (1) The ADR provider provides accessible means for consumers to refer disputes to it.
(2) The ADR provider or, as the case may be, any other ADR provider with whom it makes special ADR arrangements, ensures there are accessible means for the parties to participate in the ADR carried out in relation to their dispute.
5 (1) The ADR provider or, as the case may be, any other ADR provider with whom it makes special ADR arrangements, adopts and follows fair procedures in carrying out ADR.
(2) The procedures adopted should, in particular, be easy to use, transparent, non-discriminatory and effective.
(3) They should include procedures for securing that each party to a dispute referred for ADR—
(a) has a reasonable opportunity—
(i) to express its point of view in relation to the matters in dispute and the outcome it seeks;
(ii) to consider the views, arguments and evidence put forward by the other party;
(b) is entitled to be represented or assisted by another person (and that it is immaterial whether or not that person is legally qualified).
6 (1) The ADR provider or, as the case may be, any other ADR provider with whom it makes special ADR arrangements, acts independently and impartially before, and while, it carries out ADR.
(2) The action to be taken should include—
(a) following appropriate procedures for identifying, and avoiding, any conflict of interest before carrying out ADR in relation to a dispute;
(b) taking steps to avoid conflicts of interest that may arise before, or while, it carries out ADR in relation to a dispute.
7 (1) The ADR provider or, as the case may be, any other ADR provider with whom it makes special ADR arrangements keeps the parties to a dispute informed about the conduct and progress of any ADR being carried out.
(2) The action to be taken includes notifying the parties promptly in writing of the outcome of the ADR and, where applicable, of the grounds on which any decision has been reached.
8 The following provisions have effect for the interpretation or application ofthis Schedule.
9 The accreditation criteria only apply to the ADR provider so far as it is reasonable to regard them as applicable—
(a) in relation to ADR of a kind that is carried out by the ADR provider or, as the case may be, by any other ADR provider with whom the ADR provider makes special ADR arrangements, or
(b) in relation to activities of the ADR provider in, or in connection with, making special ADR arrangements.
10 “ Procedures”, in relation to ADR, means any rules, requirements or practices relating to the carrying out of ADR, including—
(a) any time limits for referring disputes for ADR;
(b) any conditions or other requirements to be met by either (or both) of the parties before, or while, ADR is being carried out;
11 “ Dispute” means a consumer contract dispute.
Section 309
1 (1) Section 14 of the Prescription and Limitation (Scotland) Act 1973 (computation of prescriptive periods) is amended as follows.
(2) In the following places, for “relevant consumer dispute” or “relevant dispute” substitute “consumer contract dispute”—
(a) subsection (1D);
(b) subsection (1F);
(c) subsection (1G) (in each place where it occurs).
(3) In subsection (1D)—
(a) after “ this Act is” (in the opening words) insert “, in a case where ADR is carried out in respect of the dispute,”;
(b) in paragraph (a)—
(i) for “the non-binding ADR procedure” substitute “the ADR”, and
(ii) for “such a procedure” substitute “it”;
(c) in each of paragraphs (b) and (c), for “a non-binding ADR procedure” substitute “the ADR”.
(4) In the following places, for “the non-binding ADR procedure” substitute “the ADR”—
(a) subsection (1E);
(b) subsection (1G)(b) and (f);
(c) subsection (2) (in the definition of “qualifying request”).
(5) In subsections (1F) and (1G), for “a non-binding ADR procedure” substitute “ADR”.
(6) In subsection (2)—
(a) omit the following definitions—
“ADR entity”;
“ADR procedure”;
“consumer”;
“non-binding ADR procedure”;
“relevant consumer dispute”;
“sales contract”;
“service contract”;
“trader”;
(b) before the definition of “holiday” insert the following definitions—
““ ADR ” has the same meaning as in Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024;
“ ADR entity ” means a person who carries out ADR in compliance with section 293 (1) of that Act (which prohibits persons from carrying out ADR unless exempt, accredited, or acting under special ADR arrangements, in accordance with Chapter 4 of Part 4 of that Act);
“ consumer contract dispute ” has the same meaning as in Chapter 4 of Part 4 of that Act. ”
2 (1) Section 33B of the Limitation Act 1980 (extension of time limits because of alternative dispute resolution) is amended as follows.
(2) In the heading, for “cross border or domestic contractual” substitute “consumer contract”.
(3) For subsection (1) substitute—
“(1) In this section—
“ ADR ” has the same meaning as in Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024;
“ ADR entity ” means a person who carries out ADR in compliance with section 293 (1) of that Act (which prohibits persons from carrying out ADR unless exempt, accredited, or acting under special ADR arrangements, in accordance with Chapter 4 of Part 4 of that Act);
“ consumer contract dispute ” has the same meaning as in Chapter 4 of Part 4 of that Act. ”
(4) In the following places, for “relevant dispute” substitute “consumer contract dispute”—
(a) subsection (2)(a) and (b);
(b) subsection (5);
(c) subsection (6);
(d) subsection (7) (in each place where it occurs);
(e) subsection (9).
(5) In the following places, for “a non-binding ADR procedure” substitute “ADR”—
(a) subsection (2)(b);
(b) subsection (6);
(c) subsection (9).
(6) In the following places, for “the non-binding ADR procedure” substitute “the ADR”—
(a) subsection (2)(c);
(b) subsection (3);
(c) subsection (7) (in each place where it occurs);
(d) subsection (8);
(e) subsection (9).
3 (1) Section 1B of the Foreign Limitation Periods Act 1984 (extension of limitation periods because of alternative dispute resolution) is amended as follows.
(2) In the heading, for “cross border or domestic contractual” substitute “consumer contract”.
(3) For subsection (1) substitute—
“(1) In this section—
“ ADR ” has the same meaning as in Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024;
“ ADR entity ” means a person who carries out ADR in compliance with section 293 (1) of that Act (which prohibits persons from carrying out ADR unless exempt, accredited, or acting under special ADR arrangements, in accordance with Chapter 4 of Part 4 of that Act);
“ consumer contract dispute ” has the same meaning as in Chapter 4 of Part 4 of that Act. ”
(4) In the following places, for “relevant dispute” substitute “consumer contract dispute”—
(a) subsection (2)(a) and (b);
(b) subsection (5);
(c) subsection (6) (in each place where it occurs);
(d) subsection (8).
(5) In the following places, for “a non-binding ADR procedure” substitute “ADR”—
(a) subsection (2)(b);
(b) subsection (5);
(c) subsection (8).
(6) In the following places, for “the non-binding ADR procedure” substitute “the ADR”—
(a) subsection (2)(c);
(b) subsection (3);
(c) subsection (6) (in each place where it occurs);
(d) subsection (7);
(e) subsection (8).
4 (1) Article 51B of the Limitation (Northern Ireland) Order 1989 (extension of time limits: non-binding ADR procedure) is amended as follows.
(2) In the heading, for “: Non-binding ADR procedure” substitute “because of alternative dispute resolution in certain consumer contract disputes”.
(3) In paragraphs (1)(a) and (3), for “a non-binding ADR procedure” substitute “ADR”.
(4) In the following places, for “the non-binding ADR procedure” substitute “the ADR”—
(a) paragraph (1)(b) (in each place where it occurs);
(b) paragraph (2);
(c) paragraph (4) (in each place where it occurs).
(5) In paragraph (1)(b)(i), for “that such a procedure” substitute “on which it”.
(6) In the following places, for “relevant dispute” substitute “consumer contract dispute”—
(a) paragraph (1)(a);
(b) paragraph (3);
(c) paragraph (4) (in each place where it occurs).
(7) For paragraph (5) substitute—
“(5) In this Article—
“ ADR ” has the same meaning as in Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024;
“ ADR entity ” means a person who carries out ADR in compliance with section 293 (1) of that Act (which prohibits persons from carrying out ADR unless exempt, accredited, or acting under special ADR arrangements, in accordance with Chapter 4 of Part 4 of that Act);
“ consumer contract dispute ” has the same meaning as in Chapter 4 of Part 4 of that Act;
“ qualifying request ” is a request by a party that another (A) confirm to all parties that A is continuing with the ADR. ”
5 In Schedule 17 to the Financial Services and Markets Act 2000 (ombudsman scheme), omit the following provisions—
(a) in paragraph 1, the definition of “ADR entity”;
(b) paragraph 2(2);
(c) paragraph 14(3A).
6 In EA 2002—
(a) in Schedule 14 (provisions about disclosure of information) at the appropriate place insert—
“Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”;
(b) in Schedule 15 (enactments conferring functions) at the appropriate place insert—
“Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024. ”
7 In Schedule 3 to the Regulatory Enforcement and Sanctions Act 2008 (enactments specified for the purposes of Part 1), at the appropriate place insert—
8 (1) Section 140AA of the Equality Act 2010 (extension of time limits because of alternative dispute resolution) is amended as follows.
(2) In the heading, for “cross border or domestic contractual” substitute “consumer contract”.
(3) For subsection (1) substitute—
“(1) In this section—
“ ADR ” has the same meaning as in Chapter 4 of Part 4 of the Digital Markets, Competition and Consumers Act 2024;
“ ADR entity ” means a person who carries out ADR in compliance with section 293 (1) of that Act (which prohibits persons from carrying out ADR unless exempt, accredited, or acting under special ADR arrangements, in accordance with Chapter 4 of Part 4 of that Act);
“ consumer contract dispute ” has the same meaning as in Chapter 4 of Part 4 of that Act. ”
(4) In each of the following places, for “relevant dispute” substitute “consumer contract dispute”—
(a) subsection (2)(a) and (b);
(b) subsection (5);
(c) subsection (6);
(d) subsection (7) (in each place where it occurs);
(e) subsection (9).
(5) In each of the following places, for “a non-binding ADR procedure” substitute “ADR”—
(a) subsection (2)(b);
(b) subsection (6);
(c) subsection (9).
(6) In each of the following places, for “the non-binding ADR procedure” substitute “the ADR”—
(a) subsection (2)(c);
(b) subsection (3);
(c) subsection (7) (in each place where it occurs);
(d) subsection (8);
(e) subsection (9).
(7) In subsection (8), for “(6)” substitute “(7)”.
9 (1) Schedule 5 to CRA 2015 (investigatory powers etc) is amended as follows.
(2) In the table in paragraph 11 (enforcer’s legislation: legislation mentioned in paragraph 9(1)(b)), at the appropriate place insert—
10 The Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015 ( SI 2015/542) are revoked.
Section 325
1 Chapter 5 of Part 3 of EA 2002 (mergers: supplementary) is amended as follows.
2 In section 110A (restriction on powers to impose penalties under section 110), after subsection (9) insert—
“(10) Where the section 109 power is exercised for the purposes of providing assistance to an overseas regulator (see Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024), the relevant day is the earlier of—
(a) in the case of a penalty imposed by virtue of section 110(1)(a), the day on which the CMA gives notice to the relevant person that—
(i) the information or documents specified or described in the notice under section 109 have been produced or supplied to the satisfaction of the CMA, or
(ii) the relevant person has appeared as a witness in accordance with the requirements of the CMA;
(b) in the case of a penalty imposed by virtue of section 110(1)(b), the day on which the CMA gives notice to the relevant person that the CMA considers the obstruction or delay to have ceased; and
(c) in either case, the day one year on from the day specified in the notice under section 109 for the relevant person to comply with it.
(11) In subsection (10) , “ the relevant person ” means the person given the notice under section 109. ”
3 In section 111 (penalties: amount) (as amended byparagraph 17ofSchedule 10), in subsection (5), in paragraph (b)—
(a) in the words before sub-paragraph (i), after “at the beginning of” insert “the earliest of the following days”;
(b) omit the “or” at the end of sub-paragraph (i);
(c) in sub-paragraph (ii) omit “if earlier”;
(d) after that sub-paragraph insert—
“(iii) in a case where the penalty is imposed in connection with the provision by the CMA of assistance to an overseas regulator (see Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024), the day on which the overseas regulator no longer requires that assistance. ”
4 (1) Section 120 (reviews of decisions under Part 3) is amended as follows.
(2) In subsection (1A), after paragraph (b) insert—
“(c) a decision of the CMA or the Secretary of State for the purposes of Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024 in connection with a request from an overseas regulator (within the meaning of that Chapter) for the CMA to assist the regulator in carrying out functions of the regulator which correspond or are similar to the functions of the CMA under this Part. ”
(3) In subsection (2), in paragraph (b)—
(a) the words after “permitted or required by” become sub-paragraph (i);
(b) after that sub-paragraph insert—
“(ii) Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024 in connection with a request from an overseas regulator (within the meaning of that Chapter) for the CMA to assist the regulator in carrying out functions of the regulator which correspond or are similar to the functions of the CMA under this Part. ”
5 In Part 9 of EA 2002 (information), insection 243E(directions by the Secretary of State relating to overseas disclosures) (inserted bysection 326(2)), after subsection (2) insert—
“(2A) The Secretary of State may not make a direction under this section in relation to a disclosure permitted under section 243A or 243B that relates to assistance provided by a relevant regulator to an overseas regulator by virtue of Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024. ”
6 In Schedule 14 to EA 2002 (specified functions), at the appropriate place insert—
“Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024. ”
7 In Schedule 15 to EA 2002 (enactments conferring functions), at the appropriate place insert—
“Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024. ”
8 CA 1998 is amended as follows.
9 (1) Section 25A (power of CMA to publish notice of investigation) is amended as follows.
(2) In the heading, at the end insert “etc”.
(3) After subsection (1) insert—
“(1A) Where the CMA assists an overseas regulator in carrying out any of its functions which correspond or are similar to the functions of the CMA under this Part (see Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024), the CMA may publish a notice which may, in particular—
(a) state its decision to do so;
(b) identify the overseas regulator concerned;
(c) summarise the matter in respect of which the assistance is to be provided;
(d) identify any undertaking in respect of which the assistance is to be provided;
(e) identify the market which is or was affected by the matter in respect of which the assistance is to be provided. ”
(4) In subsection (2)—
(a) after “subsection (1)” insert “or(1A)”;
(b) for “that subsection” substitute “the subsection concerned”.
10 (1) Section 25B (duty to preserve documents relevant to investigations) (inserted bysection 121) is amended as follows.
(2) In subsection (1)—
(a) the words after “knows or suspects that” become paragraph (a);
(b) after that paragraph insert “, or
(b) the CMA is assisting, or is likely to assist, an overseas regulator in carrying out any of its functions which correspond or are similar to the functions of the CMA under this Part (see Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024). ”;
(3) In subsection (2), at the end insert “or to the provision of such assistance”.
11 In section 40A (penalties: amount), in subsection (7), after paragraph (c) insert—
“(d) in a case where the requirement was imposed in connection with the provision by the CMA of assistance to an overseas regulator (see Chapter 2 of Part 5 of the Digital Markets, Competition and Consumers Act 2024), the day on which the overseas regulator no longer requires that assistance. ”
Section 327
1 (1) The Civil Aviation Act 2012 is amended as follows.
(2) In section 61 (functions of the CAA under Part 4 of the Enterprise Act 2002: supplementary), after subsection (11) insert—
“(12) In making any decision, or otherwise taking action, for the purposes of any relevant 2002 Act functions, the CAA must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
(3) In section 63 (functions of the CAA under the Competition Act 1998: supplementary), after subsection (3) insert—
“(3A) In making any decision, or otherwise taking action, for the purposes of any relevant 1998 Act functions that are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule, the CAA must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
2 In section 86 of the Transport Act 2000 (functions of the CAA with respect to competition) after subsection (7) insert—
“(8) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the CAA must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
3 (1) The Financial Services and Markets Act 2000 is amended as follows.
(2) In section 234I (functions of the FCA under Part 4 of EA 2002), after subsection (8) insert—
“(9) In making any decision, or otherwise taking action, for the purposes of any of its functions that, by virtue of this section, are functions exercisable concurrently with the CMA, the FCA must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
(3) In section 234J (functions of the FCA under CA 1998), after subsection (5) insert—
“(6) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the FCA must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
4 In Article 29 of the Water and Sewerage Services (Northern Ireland) Order 2006 ( S.I. 2006/3336 (N.I. 21))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition), after paragraph (10) insert—
“(11) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this Article, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Authority must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
5 In Article 23 of the Gas (Northern Ireland) Order 1996 ( S.I. 1996/275 (N.I. 2))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition), after paragraph (9) insert—
“(10) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this Article, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Authority must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
6 In Article 46 of the Electricity (Northern Ireland) Order 1992 ( S.I. 1992/231 (N.I. 1))(functions of the Northern Ireland Authority for Utility Regulation with respect to competition), at the end insert—
“(8) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this Article, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Authority must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
7 (1) The Communications Act 2003 is amended as follows.
(2) In section 370 (functions of OFCOM under Part 4 of EA 2002), after subsection (12) insert—
“(13) In making any decision, or otherwise taking action, for the purposes of any of its functions that, by virtue of this section, are functions exercisable concurrently with the CMA, OFCOM must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
(3) In section 371 (functions of OFCOM under CA 1998), after subsection (12) insert—
“(13) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
OFCOM must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
8 In section 36A of the Gas Act 1986 (functions of Ofgem with respect to competition), after subsection (10) insert—
“(11) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Authority must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
9 In section 43 of the Electricity Act 1989 (functions of Ofgem with respect to competition) at the end insert—
“(8) In making any decision, or otherwise taking action, for the purposes of any of its functions that, by virtue of this section—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Authority must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
10 In section 67 of the Railways Act 1993 (functions of the ORR with respect to competition) at the end insert—
“(11) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Office of Rail and Road must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
11 (1) The Financial Services (Banking Reform) Act 2013 is amended as follows.
(2) In section 59 (functions of the Payment Systems Regulator under Part 4 of EA 2002), after subsection (6) insert—
“(7) In making any decision, or otherwise taking action, for the purposes of any of its functions that, by virtue of this section, are functions exercisable concurrently with the CMA, the Payment Systems Regulator must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
(3) In section 61 (functions of the Payment Systems Regulator under CA 1998), after subsection (5) insert—
“(6) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Payment Systems Regulator must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
12 In section 31 of the Water Industry Act 1991 (functions of Ofwat with respect to competition) at the end insert—
“(10) In making any decision, or otherwise taking action, for the purposes of any of its functions that—
(a) by virtue of this section, are functions exercisable concurrently with the CMA, and
(b) in the case of functions under the Competition Act 1998, are functions within Schedule 4A to the Enterprise and Regulatory Reform Act 2013 by virtue of paragraph 5 of that Schedule,
the Authority must have regard to the need for making a decision, or taking action, as soon as reasonably practicable. ”
Section 335
1 The Competition Act 1980 is amended as follows.
2 In section 11B(1) (references under section 11: powers of investigation and penalties), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the date on whichsection 143of the Digital Markets, Competition and Consumers Act 2024 came into force and,”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
3 In section 11C(1) (references under section 11: further supplementary provisions), in the words before paragraph (a)—
(a) after “shall apply” insert “, as it had effect immediately before the date on whichsection 143of the Digital Markets, Competition and Consumers Act 2024 came into force,”; and
(b) for “applies” substitute “applied immediately before that date”.
4 In section 11D(7) (interim orders), in paragraph (d), after “penalties)” insert “as it had effect immediately before the date on whichsection 143of the Digital Markets, Competition and Consumers Act 2024 came into force”.
5 In section 101 of the Telecommunications Act 1984 (general restrictions on disclosure of information), in subsection (3)—
(a) omit paragraph (v);
(b) after paragraph (w) insert—
“(x) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
6 In paragraph 17 of Schedule 15D to the Companies Act 1985 (disclosures), after sub-paragraph (m) insert—
“(n) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
7 In section 74 of the Airports Act 1986 (restriction on disclosure of information), in subsection (3)—
(a) omit paragraph (v);
(b) after paragraph (y) insert—
“(z) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
8 (1) Section 41EB of the Gas Act 1986 (references under section 41E: application of EA 2002) is amended as follows.
(2) In subsection (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (4)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In subsection (5)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After subsection (6) insert—
“(7) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
9 In section 174 of the Water Act 1989 (general restrictions on disclosure of information), in subsection (3)—
(a) omit paragraph (lp);
(b) after paragraph (o) insert—
“(p) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
10 (1) Section 56CB of the Electricity Act 1989 (references under section 56C: application of EA 2002) is amended as follows.
(2) In subsection (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (4)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In subsection (5)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After subsection (6) insert—
“(7) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
11 The Water Industry Act 1991 is amended as follows.
12 (1) Section 14B (references under section 14: powers of investigation) is amended as follows.
(2) In subsection (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (4)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After subsection (5) insert—
“(6) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
13 (1) Section 16B (CMA’s power of veto following report: supplementary) is amended as follows.
(2) In subsection (6), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (9)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After subsection (10) insert—
“(11) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
14 (1) Section 17M (references under section 17K: powers of investigation) is amended as follows.
(2) In subsection (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (4)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After subsection (5) insert—
“(6) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
15 (1) Section 17Q (section 17P: supplementary) is amended as follows.
(2) In subsection (6), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (9)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After subsection (10) insert—
“(11) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
16 In Part 2 of Schedule 15 (enactments etc in respect of which disclosure may be made)—
(a) at the end of the list insert—
“The following provisions of the Digital Markets, Competition and Consumers Act 2024—
(b) omit the entry for subordinate legislation made for the purpose of securing compliance with Directive 2005/29/ECof the European Parliament and of the Council of 11 May 2005 concerning unfair business-to-consumer commercial practices in the internal market.
17 The Railways Act 1993 is amended as follows.
18 (1) Section 13B (references under section 13: application of EA 2002) is amended as follows.
(2) In subsection (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (4)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In subsection (5)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After subsection (6) insert—
“(7) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
19 (1) Section 15C (sections 15A and 15B: supplementary) is amended as follows.
(2) In subsection (2D), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In subsection (2G)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In subsection (2H)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After subsection (4) insert—
“(5) In this section “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
20 In section 145 (general restrictions on disclosure of information), in subsection (3)—
(a) omit paragraph (qu);
(b) after paragraph (v) insert—
“(w) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
21 Schedule 4A (review of access charges by the Office of Rail and Road) is amended as follows.
22 (1) Paragraph 10A (references under paragraph 9: application of EA 2002) is amended as follows.
(2) In sub-paragraph (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In sub-paragraph (4)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In sub-paragraph (5)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After sub-paragraph (6) insert—
“(7) In this paragraph “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
23 (1) Paragraph 15 (paragraphs 13 and 14: supplementary) is amended as follows.
(2) In sub-paragraph (2D), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In sub-paragraph (2G)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In sub-paragraph (2H)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After sub-paragraph (4) insert—
“(5) In this paragraph “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
24 In section 59 of the Coal Industry Act 1994 (information to be kept confidential by the Coal Authority), in subsection (4)—
(a) omit paragraph (q);
(b) after paragraph (t) insert—
“(u) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
25 In section 235 of the Greater London Authority Act 1999 (restrictions on disclosure of information), in subsection (3)—
(a) omit paragraph (ru);
(b) after paragraph (v) insert—
“(w) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
26 In section 105 of the Utilities Act 2000 (general restrictions on disclosure of information), in subsection (6)—
(a) omit paragraph (w);
(b) after paragraph (z1) insert—
“(z2) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
(iii) Chapter 2 of Part 5. ”
27 In Schedule 9 to the Transport Act 2000 (air traffic: information), in paragraph 3(3)—
(a) after paragraph (rh) insert—
“(ri) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
(b) omit paragraph (sa).
28 In section 393 of the Communications Act 2003 (general restrictions on disclosure of information), in subsection (5)—
(a) omit paragraph (q);
(b) after paragraph (s) insert—
“(t) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 1 ;
(ii) Part 3 ;
29 In section 111 of the Wireless Telegraphy Act 2006 (general restrictions), in subsection (6)—
(a) omit paragraph (o);
(b) after paragraph (p) insert—
“(q) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 1 ;
(ii) Part 3 ;
30 In Part 2 of Schedule 2 to the Companies Act 2006 (specified descriptions of disclosures), in section (A) (United Kingdom), in paragraph 25, after paragraph (l) insert—
“(m) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
31 In section 60(9) of the Legal Services Act 2007 (duties of the CMA), in the words before paragraph (a)—
(a) after “apply”, in the first place it occurs, insert “, as they had effect immediately before the date on whichsection 143of the Digital Markets, Competition and Consumers Act 2024 came into force,”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
32 In section 60(6) of the Postal Services Act 2011 (section 59: supplementary), in paragraph (a), after “CMA),” insert “as they had effect immediately before the date on whichsection 143of the Digital Markets, Competition and Consumers Act 2024 came into force,”.
33 In Schedule 6 to the Civil Aviation Act 2012 (restrictions on disclosure of information), in paragraph 4—
(a) in sub-paragraph (3), in the list of relevant statutory provisions, after the entry for “Water Act 2014” insert—
“the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(b) in sub-paragraph (4), omit paragraph (b).
34 The Energy (Northern Ireland) Order 2003 is amended as follows.
35 In Article 63 (general restrictions on disclosure of information), in paragraph (6)—
(a) omit sub-paragraph (w);
(b) after sub-paragraph (x) insert—
“(y) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
36 (1) In Schedule 2 (orders altering licensable activities), paragraph 5 (references under paragraph 3: application of EA 2002) is amended as follows.
(2) In sub-paragraph (1), in the words before paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In sub-paragraph (4)—
(a) after “shall apply” insert “, as it had effect immediately before the relevant date,”;
(b) for “applies” substitute “applied immediately before that date”.
(4) In sub-paragraph (5)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(5) After sub-paragraph (6) insert—
“(7) In this paragraph “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
37 The Water Services etc. (Scotland) Act 2005 (Consequential Provisions and Modifications) Order 2005 is amended as follows.
38 (1) Article 5 (references: powers of investigation) is amended as follows.
(2) In paragraph (1), in the words before sub-paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In paragraph (5)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After paragraph (5) insert—
“(6) In this article “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
39 (1) Article 10 (Article 9: supplementary) is amended as follows.
(2) In paragraph (3), in the words before sub-paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In paragraph (7)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After paragraph (7) insert—
“(8) In this Article “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
40 The Water and Sewerage Services (Northern Ireland) Order 2006 is amended as follows.
41 (1) Article 23 (references under Article 21: powers of investigation) is amended as follows.
(2) In paragraph (1), in the words before sub-paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In paragraph (4)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After paragraph (5) insert—
“(6) In this Article “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
42 (1) Article 27 (CMA’s power of veto following report: supplementary) is amended as follows.
(2) In paragraph (6), in the words before sub-paragraph (a)—
(a) after “shall apply,” insert “as they had effect immediately before the relevant date and”;
(b) for “apply”, in the second place it occurs, substitute “applied immediately before that date”.
(3) In paragraph (9)—
(a) for “have”, in the first place it occurs, substitute “, immediately before the relevant date, had”;
(b) at the end insert “as those provisions had effect immediately before that date”.
(4) After paragraph (10) insert—
“(11) In this Article “ the relevant date ” means the date on which section 143 of the Digital Markets, Competition and Consumers Act 2024 came into force. ”
43 In Article 265 (restrictions on disclosure of information), in paragraph (5)—
(a) omit sub-paragraph (s);
(b) after sub-paragraph (t) insert—
“(u) the following provisions of the Digital Markets, Competition and Consumers Act 2024—
(i) Part 3 ;
44 In Article 3 of the Postal Services (Appeals to the Competition Commission) (Investigations and Extension of Time Limits) Order 2011 (application of sections 109 to 117 of the 2002 Act), in the words before paragraph (a), after “shall apply,” insert “as they had effect immediately before the date on whichsection 143of the Digital Markets, Competition and Consumers Act 2024 came into force and”.
45 In Article 4 of the Postal Services Act 2011 (Disclosure of Information) Order 2012, in the list of prescribed enactments—
(a) omit the entry for the Consumer Protection from Unfair Trading Regulations 2008;
(b) after the entry relating to the Consumer Rights Act 2015 insert—
“the following provisions of the Digital Markets, Competition and Consumers Act 2024—
