§ 30. Mr. FlynnTo ask the Chancellor of the Duchy of Lancaster whether he has any proposals to change his criteria for referring merger plans to the Monopolies and Mergers Commission.
§ Mr. MaudeNo. On 3 March 1988 the Government published the results of a review of law and policy on merger control. We concluded that the effect of a merger on competition should continue to be the main criterion in deciding whether to make a reference to the MMC. We see no justification for a further review of this policy.
§ Mr. McCrindleTo ask the Chancellor of the Duchy of Lancaster if he will seek to expand the role of the Office of Fair Trading to enable it to consider not only the potential adverse consequences of a proposed merger, but the potential enhancement to competition of a proposed merger; and if he will make a statement.
§ Mr. MaudeIn advising my right hon. and noble Friend whether to refer a merger to the MMC, the Office of Fair Trading already takes into account the effect of the merger on competition, whether beneficial or adverse. This is consistent with my right hon. and noble Friend's policy of making competition the main criterion in deciding whether or not to refer. However, each case must be judged on its merits. It is no part of the function of merger control policy to seek to judge the relative merits of different mergers.