Key Facts

• Clause 136 introduces schedules 8 to 10 to the Bill.
• Schedule 9 enables civil penalties for breaches of competition remedies with a maximum penalty of 5% of worldwide turnover.
• Schedule 11 allows CMA to give information notices outside the UK and amends service methods.
• Government amendments 40 to 44 are technical drafting amendments.
• Part 3 of the Bill provides two regimes for civil enforcement: court-based and CMA direct enforcement.
• Government amendment 59 ensures the Bill reflects existing law (Consumer Protection from Unfair Trading Regulations 2008).
• Clause 141 sets conditions for infringing practices if a trader meets at least one of three jurisdictional tests.
• Clause 201 allows the Secretary of State to amend schedules 13 and 14 using an affirmative procedure.
• Clause 139 sets out a court-based regime for civil enforcement of consumer protection law.
• Chapter 3 introduces 'enhanced consumer measures' as remedies to enforcement orders and undertakings.
• Amendment 59 proposes replacing 'trader' with 'person' in commercial practice definitions.
• The Bill replicates provisions in the Enterprise Act to exclude microbusinesses from direct redress under this change.
• Regulations for adding private designated enforcers are subject to affirmative procedure, ensuring parliamentary scrutiny.
• Applicant organisations must provide evidence regarding their legal status, constitution, and examples of protecting consumer interests.
• Clauses 145-154 restate and update provisions in part 8 of the Enterprise Act 2002.
• Clause 150 allows courts to impose a monetary penalty of up to £300,000 or 10% of the recipient’s global turnover for past or continuing infringing practices.
• Clause 169 sets conditions for including enhanced consumer measures in undertakings given by private designated enforcers.
• Clause 145 refers to public designated enforcers' power to apply for a monetary penalty.
• Clause 146 allows CMA directions to other enforcers on applying for enforcement orders.
• Clause 147 requires prior consultation before making an application for an enforcement order.
• Clause 148 includes provisions for enforcement orders or undertakings by the court.
• Clause 150 sets monetary penalties with a maximum of £300,000 or 10% of turnover, whichever is higher.
• Clauses 155 to 160 restate and enhance provisions in part 8 of the Enterprise Act 2002.
• The clauses allow enforcers to accept, vary, or release undertakings from infringers or accessories.
• A penalty may be imposed if a breach is without reasonable excuse.
• Maximum penalties can include £150,000 or 5% of global turnover for a fixed amount penalty and up to £15,000 or 5% of global turnover daily.
• Clause 155 allows enforcers to accept undertakings from infringers or accessories.
• Clause 156 enables enhanced consumer measures as part of an undertaking if considered just and reasonable by the enforcer.
• Clause 157 sets out a process for varying or releasing an accepted undertaking with notice to the respondent.
• The court can impose monetary penalties on non-compliance, regardless of excuse.
• Appeals thresholds and monetary penalty amounts differ between clauses due to the seriousness and nature of breaches.
• Clauses 161-164 restate and update provisions in part 8 of the Enterprise Act 2002.
• Clause 161 requires enforcers to notify the CMA before applying for enforcement orders.
• Clause 162 imposes a requirement on enforcers to inform the CMA of any undertakings given.
• Clause 163 obligates local weights and measures authorities to notify the CMA if they intend to start proceedings for an offence under schedule 13.
• Clause 164 allows courts to notify the CMA of relevant convictions and judgments.
• Clause 164 lacks a duty to pass relevant information to the court.
• There is a suggestion for a take-down power from trading standards representatives.
• The Minister agrees to write to Neil Coyle regarding the rationale for not seeking a take-down power.
• Clauses 162 to 164 are ordered to stand part of the Bill.