HC Deb 13 June 1990 vol 174 cc209-10W
Mr. Colvin

To ask the Secretary of State for Trade and Industry if he will give consideration to amending the terms of reference of the Office of Fair Trading and the Monopolies and Mergers Commission in the light of Britain's forthcoming membership of the single European market.

Mr. Redwood

The achievement of the single European market does not require changes in the statutory duties of the Director General of Fair Trading and the Monopolies and Mergers Commission. The Fair Trading Act provisions allow the director and the Monopolies and Mergers Commission to take account of competition from outside the United Kingdom—whether from in the Community or elsewhere—in looking at whether a merger would damage competition in the United Kingdom. Mergers with a Community dimension as defined by the EC merger control regulation will, from 21 September this year, be subject to examination by the European Commission. Under the regulation, mergers leading to or strengthening a dominant position and significantly impeding competition in the Common Market will be prohibited by the Commission. The director and the Monopolies and Mergers Commission will retain their important competition responsibilities within the United Kingdom, including responsibility for mergers outside the scope of the regulation.

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