CMA Set to Supercharge Consumer Protection and Digital Market Rules
The Competition and Markets Authority (CMA) is backing fresh legislation that will boost its muscle to promote fair competition and shield consumers — including stronger powers for its Digital Markets Unit.
What’s in the New Digital Markets, Competition and Consumers Bill?
The DMCC Bill is designed to turbocharge the UK economy by keeping competition fierce and fair on the high street and online. It gives the CMA sharper tools to crack down on dodgy business practices. The bill focuses on three key areas:
- Consumer Protection: Shoppers must buy without fear of scams, while honest businesses get a fair go. The CMA has already taken on firms using fake reviews, subscription traps, and pressure tactics. Now, the bill lets the CMA act faster by deciding when consumer law is broken — cutting out lengthy court battles. Fines can hit up to 10% of a company’s global turnover.
- Digital Markets: The digital world thrives on vibrant competition. The bill sets up a new regime, run by the CMA’s Digital Markets Unit (DMU), targeting massive digital firms with Strategic Market Status. The goal? Stop giants using their power to block innovation and keep the UK attractive for investors and startups alike.
- Competition Powers: The CMA will get beefed-up investigative powers for quicker action against anti-competitive behaviour. New rules on mergers and fines make it easier to halt deals that hurt UK consumers and businesses. This crackdown will encourage innovation, give customers more choices, and help the economy grow strong.
CMA Boss Hails New Bill as Game-Changer
Sarah Cardell, CMA Chief Exec, said: “We welcome this flagship bill which provides the CMA with new powers to do even more to protect people, businesses and support the economy. This has the potential to be a watershed moment in the way we protect consumers in the UK and the way we ensure digital markets work for the UK economy, supporting economic growth, investment and innovation.”
“People rely on free and fair markets to get the best deal possible, but also expect that rules are in place to protect them when things go wrong. Proposals to give the CMA stronger enforcement powers when firms break consumer law — including the ability to directly impose fines for the first time — are crucial to ensure we can continue cracking down on rip-offs and underhand deals, helping to deter firms from taking advantage of people.”
“Digital markets offer huge benefits, but only if competition enables businesses of all shapes and sizes the opportunity to succeed. This bill is a legal framework fit for the digital age. It will establish a tailored, evidenced-based and proportionate approach to regulating the largest and most powerful digital firms to ensure effective competition that benefits everyone.”
“We look forward to supporting this bill as it passes through the legislative process and stand ready to use these new powers once approved by Parliament.”
