HC Deb 22 November 1995 vol 267 cc202-4W
Mrs. Beckett

To ask the President of the Board of Trade how many matters have been referred by him to the Monopolies and Mergers Commission in each of the last 16 years. [1512]

Mr. Jonathan Evans

The number of references by category as at 21 November 1995 is as follows:

Mergers1/Monopoly sections 78 and 79
References under the Fair Trading Act References under section 11 of the Competition Act
Year 1973 1980
1979 5 2 1 —
1980 6 — — 3
1981 11 — — 1
1982 10 — — 5
1983 8 — — 3
1984 4 — — 3
1985 8 — — 6
1986 14 — — 3
1987 6 — — 4
1988 12 — 2 1
1989 16 — — 1
1990 28 — — 2
1991 12 — — 2
1992 13 1 — —
1993 6 — — 1
1994 9 — — —
1995 9 — — —
1 Including newspaper mergers.

Mrs. Beckett

To ask the President of the Board of Trade on how many occasions in each of the last 16 years the Office of Fair Trading advised reference to the Monopolies and Mergers Commission; on how many occasions that advice was followed; and if he will list those occasions when that advice was not followed. [1513]

Mr. Jonathan Evans

Under the Fair Trading Act 1973, the Director General of Fair Trading advises my right hon. Friend the President of the Board of Trade whether to refer qualifying mergers to the Monopolies and Mergers Commission. The number of mergers on which the DGFT advised reference is as follows:

  • 1979: 5
  • 1980: 5
  • 1981: 8
  • 1982: 8
  • 1983: 9
  • 1984: 5
  • 1985: 6
  • 1986: 15
  • 1987: 6
  • 1988: 10
  • 1989: 15
  • 1990: 23
  • 1991: 8
  • 1992: 11
  • 1993: 5
  • 1994: 7
  • 1995: 9 (so far)

The DGFT's advice to refer was followed in all cases except those detailed:

  • 1979
  • Thorn/EMI
  • Calor Gas Ltd/certain assets of South Western Gas Board (Glogas)
  • 1983
  • Blue Circle/assets of Bristol Channel (Aberthaw)
  • Dalgety/certain assets of Rank Hovis McDougall
  • 1984
  • Nestle/Carnation
  • 1986
  • Cannon/Screen Entertainment
  • Owens Corning Fibreglass/certain assets of Pilkington
  • 1991
  • BPB Industries/certain assets of Poliet Group
  • 1993
  • GEC/Infra-Red business of Phillips
  • Airtours/Owners Abroad
  • 1995
  • Hasbro/Waddington Games
  • North West Water/NORWEB

Also earlier this year, the DGFT recommended that the Scottish and Newcastle/Courage merger should be referred to the MMC. I asked the DGFT to explore possible enforceable undertakings as an alternative to reference. The DGFT subsequently advised that undertakings should be accepted in lieu or reference; I agreed.

In addition, my right hon. Friend the President of the Board of Trade referred one case each in 1982, and 1983, and four cases in 1990, against the advice of the DGFT not to refer.