House of Commons · Written Ministerial Statement
Consultation Response: a new pro-competition regime for digital markets
11 May 2022 · Department for Digital, Culture, Media and Sport
Proposed by Nadine Dorries Con Mid Bedfordshire
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The government has published its response to the consultation on a new pro-competition regime for digital markets.
- The regime will be overseen and enforced by the Digital Markets Unit within the Competition and Markets Authority.
- The new regime includes designation criteria, conduct requirements, enforcement powers, and merger reporting requirements.
Issue summary
The statement addresses the establishment of a new pro-competition regime for digital markets to boost competition, drive innovation, and protect consumers from powerful tech firms.
Action requested
The government has published its response to the consultation, outlining how the new pro-competition regime will work, including designation criteria, conduct requirements, enforcement powers, and merger reporting requirements. The Digital Markets Unit (DMU) housed within the Competition and Markets Authority (CMA) will oversee and enforce this regime.
Key facts
- The response builds on a public consultation that closed on 1 October 2021.
- Designated firms with Strategic Market Status must comply with new binding conduct requirements to manage market power.
- Enforcement powers include financial penalties of up to 10% of a firm’s global turnover for breaches.
- The regime will partially recoup costs through levy funding.