HC Deb 06 May 1986 vol 97 c25W
Mr. Madel

asked the Secretary of State for Trade and Industry what is the average length of time taken by the Office of Fair Trading before deciding whether to advise him to refer a proposed merger to the Monopolies and Mergers Commission.

Mr. Howard

The Director General of Fair Trading would normally expect to advise my right hon. Friend within three to four weeks of his Office being given all the necessary information. The length of time may vary however, depending on the urgency or complexity of the case. In the case of public offers for shares the Director General normally aims to advise my right hon. Friend in time for a decision to be announced on or before the first closing date for the offer.

Mr. Corbett

asked the Secretary of State for Trade and Industry if he will introduce legislation to require bidders to display the commercial logic and benefit to consumers and employees of mergers and takeover bids under consideration by the Office of Fair Trading.

Mr. Howard

Such considerations as the motivation and plans of the companies, and the effects on consumers and employment, are among the factors taken into account under current procedures. In assessing whether a merger or merger proposal raises public interest issues which deserve further investigation by the Monopolies and Mergers Commission, the Director General of Fair Trading considers all aspects of the merger. In deciding whether to refer a merger or merger proposal to the MMC, in the light of the advice of the Director General, my right hon. Friend also takes into account all the relevant circumstances.

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