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Competition Commission

Volume 459: debated on Tuesday 17 April 2007

To ask the Secretary of State for Trade and Industry whether the Government are legally bound to enact a recommendation made by the Competition Commission. (128863)

[holding answer 20 March 2007]: For most of the cases it considers, the Competition Commission does not need to make recommendations to the Government. It will simply use its statutory powers to make decisions and enforce necessary remedies.

It is possible that in the course of its work, the Competition Commission may make recommendations to Government where cases raise issues affecting Government policy or the law. There is no statutory provision requiring the Government to implement any such recommendations, though the Government may be expected to give due regard to such recommendations.

In cases where the Secretary of State uses his powers under the Enterprise Act 2002 to intervene on grounds of public interest and this results in a case being referred to the Competition Commission, the Enterprise Act provides that the Secretary of State must accept the Competition Commission’s decisions on the competition issues raised by the case. In addition, in deciding whether or not to make an adverse public interest finding, he will have regard to the Competition Commission’s conclusions on the public interest issues.