UK government invervention

Powerful Essays
Government intervention - competition policy
Author: Geoff Riley Last updated: Sunday 23 September, 2012
The aim of competition policy is promote competition; make markets work better and contribute towards improved efficiency in individual markets and enhanced competitiveness of UK businesses within the European Union single market.
Competition policy aims to ensure
Wider consumer choice
Technological innovation which promotes dynamic efficiency
Effective price competition between suppliers
There are four key pillars of competition policy in the UK and in the European Union
Antitrust & cartels: This involves the elimination of agreements that seek to restrict competition including price-fixing and other abuses by firms who hold a dominant market position (defined as having a market share in excess of forty per cent).
Market liberalisation: Liberalisation involves introducing fresh competition in previously monopolistic sectors such as energy supply, postal services, mobile telecommunications and air transport.
State aid control: Competition policy analyses examples of state aid measures to ensure that such measures do not distort competition in the Single Market
Merger control: This involves the investigation of mergers and take-overs between firms (e.g. a merger between two large groups which would result in their dominating the market).
Main Roles of the Regulators
Regulators are the rule-enforcers and they are appointed by the government to oversee how a market works and the outcomes that result for both producers and consumers. Examples of regulators include the Office of Fair Trading and the Competition Commission. The European Union Competition Commission is also an important body for the UK economy.
The EU Competition Commission is an important regulator of business activity in the single market. The main UK regulators (namely the Office of Fair Trading and the Competition Commission) are to merge in 2011 as part of a competition reform

You May Also Find These Documents Helpful

  • Better Essays

    e-government in UK

    • 1774 Words
    • 6 Pages

    This article will study in United Kingdom e-government and evaluate how the UK’s e-government process. The United Kingdom e-government comes with easy memorable URL as https://www.gov.uk, this is short and it’s only provides English. However, the web site has front page to provide over 200 world locations, for example, when you click “China”, it will has Chinese language for your selection. Furthermore, the web page will show much news and get embassy information with China. There have “welcome”…

    • 1774 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Uk Politics and Government

    • 1571 Words
    • 7 Pages

    Wo Jun Shing History TO WHAT EXTENT WAS THE COLD WAR CAUSED BY TWO IRRECONCILABLE IDEOLOGICAL DIFFERENCES? The Cold War was completely quiet a big disaster to the world. It was caused by the military tensions between The United States and its NATO allies with The Soviet Union with its allies. Instead of it, there are also several things that help caused the war, European countries were not stable back then, economical collapsed are everywhere, so does in America. The Iron Curtain also affects…

    • 1571 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Introduction ‘Think global ', ‘Act local ' is a common phrase used by executives, companies in the UK have been heavily impacted by globalisation due to the benefits of attractive cheap labour available overseas, establish subsidiaries to overcome exportation, producing globally standardised products to achieve economies of scale and gaining a market share in local/region of a country. This is the age of globalisation, a term which has numerous definition (Dunning, 1997), but generally refers…

    • 2143 Words
    • 9 Pages
    Good Essays
  • Powerful Essays

    ROLE OF THE GOVERNMENT The UK government has announced a package of measures aimed at rescuing banking system that makes 400 billion pound. 100 billion pound will be available in short term loans from bank of England on top of an existing loan facility. Banks will have to increases their capital by at least 25 billion pound and borrow from government. An additional 25 billion pound in extra capital will be available in exchange of preference shares. Government described as the root cause…

    • 2996 Words
    • 12 Pages
    Powerful Essays
  • Powerful Essays

    GOVERNMENT RESPONSIBILITY: THE DIFFERENT LEVELS IN UK Contents THE LEVELS OF GOVERNMENT The United Kingdom has different levels of government system; the function of this multi-level government system can be observed in brief from the figure given below: Figure 1: For the smooth and efficient running of the country and the public services there are different organizations and branches of government at every level. This ensures that the country runs in…

    • 1788 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    look at the types of government organisations that structure the UK tourism industry. It is important to look at the volume and value of the tourism industry first, so that the reader can appreciate the scope of tourism in the UK. Identifying the roles and policies of the public organisations, will show the nature of government involvement, and the section on VisitBritain will highlight the recent changes to tourism structure. This will give the reader a broader picture of the UK tourist industry,…

    • 2902 Words
    • 10 Pages
    Powerful Essays
  • Best Essays

    The UK government uses both Fiscal and Monetary Policy in its control of the economy: Analysis and Discussion. ‘The Business Environment Report’ submitted to The College of Technology London. Submitted By : Max Pereira Enrolment No : 083799-84 Section : MEP 2 Email : max.pereira@stu.ctlondon.ac.uk Word Count : 3000 words Under the Guidance of Lecturer: George Olusoji…

    • 3221 Words
    • 13 Pages
    Best Essays
  • Satisfactory Essays

    UK Government Changes to Child Benefits are Unfair to Families with a Single High Earner Is it fair that families with a single high earner should have their benefits removed while other families earn tens of thousands more and yet retain theirs? Good evening council and I am here to explain why these changes to child benefits are unfair on families with a single high earning parent or guardian. The new changes to child benefits state that families with one parent on a wage higher than 60,000…

    • 567 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Unit 202: 1.1 ECM stands for every child matters. It is a UK government initiative for England and Wales that was launched in 2003. ECM was brought in partly because of Victoria Climbiѐ. They support children and young adults up to the age of 19 or 24 for those with disabilities. Its aims are for every child to have the support they need. Using the acronym SHEEP we can help to remember they key points they try to achieve. S - Stay Safe H - Be Healthy E - Enjoy and Achieve E - Economic well-being…

    • 312 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Government Department Responsibilities Ministry Of defence This department has responsibility for the British Army, the Royal Navy and the Royal Air Force. This department is regulated by the Secretary of state for defence and three other junior Ministers, specifically the Minister of State for the armed forces, the under-secretary of state for defence and Minster for Veterans. The Ministry of defence’s job is to decide the policies and earning for all three armed services and decide budgets…

    • 399 Words
    • 2 Pages
    Satisfactory Essays