27 July 2021
Reforming competition and consumer policy
The government states that in some business areas there is evidence that markets are lacking proper competition and as such protection measures need to be introduced to protect consumer rights.
To further this aim, a consultation has been launched that sets out proposals to achieve this, and to also give the Competition & Markets Authority (CMA) enhanced powers to tackle ‘consumer rip-offs and bad business practices’.
One proposal is compulsory arbitration for certain sectors including home improvement.
The plans would allow the CMA to:
- impose stronger penalties for companies that don’t comply with its investigations or orders, with new powers for fixed penalties of up to 5% of annual turnover and additional daily penalties up to 5% of daily turnover while non-compliance continues;
- to achieve quicker outcomes, to accept voluntary binding commitments from businesses at any stage in its investigations, rather than at the end
Views are sought from a variety of bodies and that includes trade associations, and the BFC will be compiling a response on behalf of the furniture industry. If you have any views please send them to firstname.lastname@example.org.
The consultation document may be found here: https://beisgovuk.citizenspace.com/ccp/reforming-competition-and-consumer-policy/
The consultation closes on 1 October 2021.