UK competition regulators have introduced new measures to enhance the efficiency and effectiveness of merger investigations. This initiative aligns with a government directive aimed at fostering economic growth. The Competition and Markets Authority (CMA) has been tasked with focusing on improving the "pace," "predictability," "proportionality," and "process" in its evaluation of mergers, promising swift and significant changes.
Matthew Sinclair, Senior Director and head of CCIA’s London office, expressed support for the CMA's announcement. He stated, “The CMA’s announcement is a welcome commitment to give businesses the predictability and flexibility needed to innovate and invest. Many merger deals are good news for startups and consumers, and unwarranted investigations deter deals and the funding startups need.”
Sinclair further emphasized that the regulator should exercise caution with its exceptional powers under the new digital markets regime. He added, “Hopefully the Government’s strategic steer will add a fifth ‘P’ to Sarah Cardell’s list: avoiding ‘premature’ intervention in dynamic new markets such as AI.”
The draft strategic steer issued on Thursday outlines the government's priorities for this initiative.
