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Client Intelligent insights

| 2 minute read

The UK's growth mission: Steering the CMA

Swift, predictable, independent and proportionate’ 

On 15 May 2025, the UK Government  published its Strategic Steer, setting out its expectations for the CMA when discharging its functions, including the CMA's new enforcement powers under the Digital Markets, Competition and Consumers Act 2024).   The Strategic Steer sets out how the Government expects the CMA to support and contribute to economic growth and how it can contribute to ensuring that the UK is increasingly seen as a attractive location for investment. The central message is that any intervention must be considered from a growth perspective and that the CMA takes action where conduct by businesses might limit the potential of the UK economy. 

  • CMA tools to be used proportionately, with growth and investment in mind
    • To prioritise pro-growth and pro-investment interventions, focusing on markets and harms that particularly impact UK-based consumers and businesses and supporting the UK's 8 growth-driving sectors;
    • Interaction with other UK regulators and international regulators is key (to avoid duplication and ensure timely action is taken to tackle anti-competitive conduct or conduct causing consumer harm);
    • Noting that emerging technologies have an unpredictable effect on markets, the CMA is urged to collaborate with interested parties (to ensure growth is prioritised) and the importance of supporting delivery of the UK's AI opportunities action plan (see our Insight here) is also highlighted. 
    • The CMA should use its range of tools, including its forthcoming direct consumer enforcement powers, to, where appropriate, grow the economy through promoting consumer trust and confidence, while deterring poor corporate practices.
    • Where possible, the CMA should prioritise the use of tools in areas where competition can play an important role in driving efficiency and an enhanced user experience in the provision of key public services.
  • Use engagement with businesses and consumers to minimise uncertainty
    • The CMA must be proactive, responsive and transparent in its dealings with businesses to enable them to engage effectively with the CMA and should focus on collaborative approaches to resolve issues; 
    • Procedural guidance and practice to be reviewed to ensure it is accessible and meaningful to business to ensure that businesses receive a ‘best in class’ experience;
    • The CMA to continue to develop evidence to show importance of competition on consumer outcomes and its positive impact on innovation and economic growth.   
  • Supporting Government policy agenda
    • The CMA to provide advice about regulatory policy and impact on effective competition.
    • Where appropriate the CMA should, through the markets regime, or through wider advocacy, support the agenda of the Government.
    • The Government commits to issuing an official response to CMA recommendations under their markets tool within 90 days (with a presumption that the government will accept the recommendations unless there are compelling policy reasons not to do so).
  • Accountability
    • Introduction of additional reporting requirements so the CMA can demonstrate how it has applied the Strategic Steer in its mandate.
    • The CMA will also be required to seek regular feedback from its stakeholders (including businesses and consumers), to be reflected in its published results.
Investment is a critical driver of growth, and the government expects the CMA’s approach to clearly, and unambiguously, reflect the need to enhance the attractiveness of the UK as a destination for international investment.

Tags

antitrust, consumer products, regulation, regulation compliance & advisory, retail & consumer products, london