Anna Battersby

The Competition and Markets Authority (CMA) declared victory as the High Court confirmed the standard of evidence needed to secure warrants to search domestic premises.  The Competition Appeal Tribunal (CAT) had refused to grant a domestic search warrant to the CMA in connection with a cartel investigation.  It held in a judgment of October 2023 (the CAT Judgment) that a “higher order of scrutiny” [1] was required for domestic warrants than for business premises warrants, in order to protect individuals’ rights to a private and family life under Art. 8 of the European Convention on Human Rights (ECHR).

The Competition and Markets Authority (CMA) has adopted a revised phase 2 investigation process and published updated Guidance on the CMA’s Jurisdiction and Procedure and Exceptions to the Duty to Refer.  The changes come after a period of extensive consultation and stakeholder engagement.  The new rules will apply to all investigations formally opened on or after 25 April 2024 that are subsequently referred to phase 2.

On 27 March 2024, the UK Competition and Markets Authority (CMA) announced that fashion retailers ASOS, Boohoo and George at Asda (the Retailers) has signed undertakings to ensure that the environmental claims they make are accurate and clear (the Undertakings).  The announcement was accompanied by an open letter to the fashion retail sector (the Letter).  The  Letter warns businesses to act in accordance with the CMA’s 2021 Green Claims Code and to take note of the Undertakings, or risk incurring significant monetary penalties once the Digital Markets, Competition and Consumers Bill comes into force (see our previous blog posts here, here and here).  The CMA also indicated that it will be updating the Green Claims Code with specific guidance for the fashion sector.  

On 25 January 2024, the Microeconomics Unit[1] of the Competition and Markets Authority (CMA) published a report examining competition and market power in UK labour markets (the Report).  The Report is the Unit’s first published work, covering developments in the labour markets over the last two decades.  Over this period, labour markets have changed significantly through the rise of flexible working and the gig economy (defined as labour services contracted through digital platforms), changes in restrictive covenants (contract clauses that restrict what workers can do after they leave their current employer), and shifts in pay-setting policies.  Each of these factors has the potential to impact employer market power.[2]

On 31 July 2023, the Competition and Markets Authority (CMA) issued an infringement decision finding that Leicester City Football Club and JD Sports had colluded to restrict competition in the sales of Leicester City-branded clothing, including replica kit, in the UK.  Leicester City FC and its parent companies reached a settlement agreement with the CMA, under which they will pay a fine of £880,000.  JD Sports had reported the infringement to the CMA, in exchange for immunity from financial penalties.