Competition Act 1980

Abolition of Price Commission

Abolition of Price Commission

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Control of anti-competitive practices

Anti-competitive practices

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Preliminary investigation by Director of possible anticompetitive practice

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Undertakings in consequence of Director's reports

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Competition references

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Scope of competition references

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Supplementary provisions as to competition references

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Conclusions and reports of the Commission

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Undertakings following report on competition reference

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Orders following report on competition reference

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Further references and investigations

References of public bodies and certain other persons to the Commission

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• (1) The Secretary of State may at any time refer to the CMA any question relating to—

• (a) the efficiency and costs of, or

• (b) the service provided by, ...

• (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

a person falling within subsection (3) below and specified in the reference, including any question whether, in relation to a matter falling within paragraph (a) or (b) above, the person is pursuing a course of conduct which operates against the public interest.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) The persons referred to in subsection (1) above are—

• (a) any body corporate—

• (i) which supplies goods or services by way of business,

• (ii) the affairs of which are managed by its members, and

• (iii) the members of which hold office as such by virtue of their appointment to that or another office by a Minister under any enactment; or

• (aa) any publicly owned railway company, within the meaning of the Railways Act 1993, which supplies network services or station services, within the meaning of Part I of that Act; or

• (b) any person (not falling within paragraph (a) above) who provides in Northern Ireland a bus service within the meaning of section 14 of the Finance Act (Northern Ireland) 1966; or

• (bb) any person who provides a railway passenger service in pursuance of an agreement entered into by Transport for London or any of its subsidiaries (within the meaning of the Greater London Authority Act 1999) by virtue of section 156(2) or (3) of the Greater London Authority Act 1999;

• (c) the National Rivers Authority;

• (ca) Scottish Water;

• (cc) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (d) any board administering a scheme under the Agricultural Marketing Act 1958 or the Agricultural Marketing Act (Northern Ireland) 1964 or the Agricultural Marketing (Northern Ireland) Order 1982; or

• (e) any body corporate with a statutory duty to promote and assist the maintenance and development of the efficient supply of any goods or services by a body falling within paragraphs (a) to (d) above; or

• (f) any subsidiary, within the meaning of section 1159 of the Companies Act 2006, of a body falling within paragraphs (a) to (e) above.

• (4) The Secretary of State may by order exclude from subsection (3)(b) or (bb) above persons of such descriptions as may be specified in the order.

• (5) No question concerning a person falling within subsection (3)(b) or (bb) above or a subsidiary of a body falling within that subsection either of those paragraphs may be referred to the CMA under this section unless it relates to the carriage of passengers by the person or, as the case may be, the subsidiary.

• (6) The Secretary of State may at any time by notice given to the CMA vary a reference under this section.

• (7) On making a reference under this section or on varying such a reference under subsection (6) above the Secretary of State shall arrange for the reference or, as the case may be, the variation to be published in such manner as he considers most suitable for bringing it to the attention of persons who in his opinion would be affected by it or be likely to have an interest in it.

• (8) On a reference under this section the CMA shall investigate and report on any question referred to them but shall exclude from their investigation and report consideration of—

• (a) any question relating to the appropriateness of any financial obligations or guidance as to financial objectives (however expressed) imposed on or given to the person in question by or under any enactment, or otherwise by a Minister; . . .

• (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (9A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (10) A report of the CMA on a reference under this section shall be made to the Secretary of State and shall state, with reasons, the conclusions of the CMA with respect to any question referred to them and, where the CMA conclude that the person specified in the reference is pursuing a course of conduct which operates against the public interest, the report may include recommendations as to what action (if any) should be taken by the person for the purpose of remedying or preventing what the CMA consider are the adverse effects of that course of conduct.

• (10A) The functions of the CMA with respect to a reference under this section (including functions under sections 109 to 115 of the Enterprise Act 2002, as applied by section 11B) are to be carried out on behalf of the CMA by a group constituted for the purpose by the chair of the CMA under Schedule 4 to the Enterprise and Regulatory Reform Act 2013.

• (11) In this section “Minister” includes a Northern Ireland department and the head of such a department.

Orders following report under section 11

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• (1) This section applies where a report of the CMA on a reference under section 11 above concludes that the person specified in the reference is pursuing a course of conduct which operates against the public interest.

• (2) If it appears to the Secretary of State that any other Minister has functions directly relating to the person specified in the reference or, in the case of a reference only concerning the activities of the person in a part of the United Kingdom, functions directly relating to the person in respect of his activities in that part, he shall send a copy of the report of the CMA on the reference to that Minister; and in subsection (3) below “the relevant Minister” means—

• (a) in a case where it appears to the Secretary of State that any Minister (including himself) has such functions, that Minister, and

• (b) in a case where it appears to the Secretary of State that no Minister has such functions, the Secretary of State.

• (3) If—

• (a) the relevant Minister considers it appropriate for the purpose of remedying or preventing what he considers are the adverse effects of the course of conduct specified in the report of the CMA as operating against the public interest, and

• (b) the person specified in the reference does not fall within paragraph (d) of section 11(3) above and is not a subsidiary of a body falling within that paragraph,

he may by order direct the person to prepare within such time, if any, as may be specified in the order a plan for remedying or preventing such of those effects as are so specified; but where there is more than one relevant Minister no such order shall be made except by all the relevant Ministers acting jointly and where none of the relevant Ministers is the Secretary of State no such order shall be made except after consultation with him.

• (4) It shall be the duty of a person to whom a direction is given under subsection (3) above to prepare such a plan as is mentioned in that subsection and to send a copy of that plan to the Minister or Ministers by whom the order containing the direction was made who shall lay it before Parliament; and, in a case where the plan involves the use by a body of its powers in relation to any subsidiary within the meaning of section 1159 of the Companies Act 2006, the plan shall specify the manner in which the body proposes using those powers.

• (5) Whether or not an order has been or may be made under subsection (3) above, the Secretary of State may, if he considers it appropriate for the purpose of remedying or preventing what he considers are the adverse effects of the course of conduct specified in the report of the CMA as operating against the public interest, make an order under this subsection.

• (5A) An order under subsection (5) above may contain anything permitted by Schedule 8 to the Enterprise Act 2002, except paragraphs 8, 13 and 14 of that Schedule.

• (5B) An order under subsection (5) above shall come into force at such time as is determined by or under the order.

• (6) The following provisions of Part 3 of the Enterprise Act 2002 shall apply in relation to orders under subsection (5) above as they apply in relation to orders under paragraph 11 of Schedule 7 to that Act—

• (a) section 86(2) and (3) (enforcement orders: general provisions);

• (b) section 87 (delegated power of directions);

• (c) section 88 (contents of certain enforcement orders);

• (d) section 94(1) to (5), (8) and (9) (rights to enforce orders); and

• (e) Schedule 10 (procedural requirements for orders).

• (7) The Secretary of State shall publish any decision made by him to dispense with the requirements of Schedule 10 to the Enterprise Act 2002 as applied by subsection (6) above; and shall do so in such manner as he considers most suitable for bringing the decision to the attention of persons who in his opinion would be affected by it or be likely to have an interest in it.

Investigations of prices directed by Secretary of State

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Patents and agricultural schemes

Applications by Crown concerning patents

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Agricultural schemes: special provisions

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• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) The Secretary of State shall not—

• (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (c) make or vary a reference under section 11 above,

in a case where the person to whom or to whose conduct or activities the investigation or reference relates falls within section 11(3)(d) above unless he has first consulted the relevant Minister.

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) In this section “the relevant Minister” means—

• (a) in the case of a board administering a scheme under the said Act of 1958, the Minister who would have power to make an order under section 19 of that Act in relation to that board or the board administering that scheme, and

• (b) in the case of a board administering a scheme under the said Act of 1964 or the said Order of 1982, the Department of Agriculture for Northern Ireland.

General provisions about references and investigations

General provisions as to reports

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• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) For the purposes of the law relating to defamation, absolute privilege shall attach to any report of the CMA ... under this Act.

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Laying before Parliament and publication of reports

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• (1) Subject to subsection (2) below, the Secretary of State shall lay a copy of any report made to him under section . . ., 11(10) ... above before each House of Parliament and shall arrange for the report to be published in such manner as appears to him appropriate.

• (2) The Secretary of State shall not lay a copy of a report made to him under section . . . 11(10) above before either House of Parliament unless at least twenty-four hours before doing so he has transmitted to every person specified in the reference a copy of the report in the form in which it is laid (or by virtue of subsection (3) below is treated as being laid) before each House of Parliament.

• (3) If a report made to him under section . . ., 11(10) ... above is presented by command of Her Majesty to either House of Parliament otherwise than at or during the time of a sitting of that House, the presentation of the report shall for the purposes of this section be treated as the laying of a copy of it before that House by the Secretary of State.

• (4) If it appears to the Secretary of State that the publication of any matter in a report made to him under section . . ., 11(10) ... above would be inappropriate , he shall exclude that matter from the copies of the report as laid before Parliament and from the report as published under this section.

• (5) In deciding what is inappropriate for the purposes of subsection (4) the Secretary of State shall have regard to the considerations mentioned in section 244 of the Enterprise Act 2002.

• (6) Any reference in section 12 above to a report of the CMA shall be construed as a reference to the report in the form in which copies of it are laid (or by virtue of subsection (3) of this section are treated as having been laid) before each House of Parliament under this section.

Information and advice about operation of Act

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Restriction on disclosure of information

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• (1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) For the purpose of enabling information obtained under certain enactments to be used for facilitating the performance of functions under this Act, the following amendments shall be made in provisions respecting disclosure of information, namely—

• (a) at the end of paragraph (aa) of the proviso to section 47(2) of the Agricultural Marketing Act 1958 there shall be added the words “or the Competition Act 1980” ;

• (b) at the end of paragraph (aaa) of section 23(2) of the Agricultural Marketing Act (Northern Ireland) Act 1964 there shall be added the words “or the Competition Act 1980” ;

• (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (e) at the end of paragraph (a) of subsection (1) of section 41 of the Restrictive Trade Practices Act 1976 there shall be added the words “or the Competition Act 1980” ; and

• (f) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Grants

Power to make grants to certain bodies

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If the Secretary of State is satisfied that—

• (a) the general advice of any body on matters of interest to users of goods and services would be useful to him in the formulation of policy concerning those matters and

• (b) the body disseminates information of such interest,

he may make a grant to the body on such terms as he thinks fit.

Amendments of Fair Trading Act 1973

Monopoly references by Secretary of State alone

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Disclosure of reports on monopoly references to persons named

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Amendment of s. 137(3) of Fair Trading Act 1973

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In section 137(3) of the Fair Trading Act 1973 (definition of “the supply of services”) there shall be inserted after paragraph (b) the following words:—

and (c) includes the making of arrangements for a person to put or keep on land a caravan (within the meaning of Part I of the Caravan Sites and Control of Development Act 1960) other than arrangements by virtue of which the person may occupy the caravan as his only or main residence.

Modification of provisions about performance of Commission's functions

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Amendments of Restrictive Trade Practices Act 1976

Suspension of declarations under section 1(3) of Restrictive Trade Practices Act 1976 pending appeals

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Suspension of declarations under section 1(3) of Restrictive Trade Practices Act 1976 pending revision of agreements

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Recommendations by services supply associations

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Amendments to s. 19 of Restrictive Trade Practices Act 1976

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Exemption of certain undertakings from Restrictive Trade Practices Acts

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Exemption of copyright agreements from Restrictive Trade Practices Acts

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Supplementary

Orders and regulations

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• (1) Any power of the Secretary of State to make orders ... under this Act shall be exercisable by statutory instrument.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) Any statutory instrument containing ... an order under section . . ., 11(4) , 11D or 12(3) or (5) above , or section 111(4) or (6) or 114(3)(b) or (4)(b) of the Enterprise Act 2002 as applied by section 11B(1)(c) or (f) above, shall be subject to annulment in pursuance of a resolution of either House of Parliament.

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) Any power of the Secretary of State to make an order under this Act —

• (a) may be exercised so as to make different provision for different cases or different purposes; and

• (b) includes power to make such incidental, supplementary, consequential, transitory, transitional or saving provision as the Secretary of State considers appropriate.

Financial provisions

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• (1) There shall be defrayed out of moneys provided by Parliament—

• (a) any expenses incurred by the Secretary of State in consequence of the provisions of this Act; and