CMA Launches Review of Market Remedies to Alleviate Business Burden
The Competition and Markets Authority (CMA) is initiating a review of numerous market remedies across various sectors, including financial services, travel, and energy. This move aims to assess the continued necessity of these remedies and reduce the compliance burden on thousands of businesses.
Understanding Market Remedies
Market remedies are interventions introduced to address competition issues uncovered during market assessments. While these measures are crucial for maintaining fair competition, they also require financial and logistical commitments from businesses. Therefore, it is essential that these remedies remain relevant and effective.
Focused Review Process
The CMA will not include remedies that have demonstrated ongoing effectiveness, such as regulations ensuring transparency for families seeking funeral services and reforms aimed at helping households and small enterprises secure better deals on costly energy tariffs.
However, a significant portion—33 market remedies, representing approximately 60% of those currently in place—will be scrutinised for their relevance in modern markets. Potential changes could hinge on new legislation or technological developments that have transformed consumer purchasing behaviour.
Specific Areas of Consideration
The review particularly questions long-standing remedies, such as those governing the marketing strategies of large travel firms, which were established over ten years ago when booking travel primarily took place in physical stores. Eliminating these outdated requirements could lead to considerable savings for these businesses. Similarly, major banks might benefit from removing rules regarding the provision of payment transaction histories, which are now easily accessible online.
Official Statements
Sarah Cardell, the Chief Executive of the CMA, commented on the necessity of this review, stating, “Remedies are vital for protecting consumers and ensuring fair competition, but they also place demands on businesses. This review will ensure that only remedies that deliver genuine impact remain in place.” Cardell emphasised the importance of removing unnecessary obstacles to foster a more conducive environment for business and investment in the UK.
Next Steps for Stakeholders
A consultation period will run until Monday, 2 March 2026, allowing for input from various stakeholders. For more details on the remedies undergoing review, stakeholders can visit the CMA’s consultation page. Additionally, the CMA has recently initiated a separate consultation concerning merger remedies.
Background
This review comes amid increasing scrutiny of business regulations in the UK, as companies seek to adapt to ever-evolving market dynamics. The CMA’s efforts align with its mission to promote competition and consumer welfare while responding to the practical needs of the business community.
Source: official statements, news agencies, and public reports.
https://www.gov.uk/government/news/cma-regulatory-review-aims-to-ease-the-burden-on-businesses
