Regulatory Timeline: Competition

“The coming months herald a number of significant developments in competition law. Chief amongst these is the Consumer Rights Act, which enables stand-alone private enforcement actions to be heard in the Competition Appeal Tribunal, and also allows opt-out collective actions to be brought. These are far-reaching changes, and reflect an increasing amount of competition-related litigation. Separately, the European Commission’s Digital Single Market initiative has triggered competition investigations into online reselling and geo-blocking – which will have important consequences for all consumer-facing online businesses.”

1 October 2015 – Consumer Rights Act 2015

The Consumer Rights Act will reform the regime for private competition damages actions, by providing for: 

• the Competition Appeal Tribunal (“CAT”) to hear stand-alone competition actions;  
• the harmonisation of limitation periods in the CAT with those in the High Court; 
• ‘opt-out’ collective actions and collective settlements; and 
• voluntary redress schemes. 

In parallel with this, the CAT has consulted on new rules to reflect changes to its jurisdiction to hear stand-alone claims. The new CAT Rules also enter into force on 1 October 2015.

16 October 2015 – House of Lords inquiry into online platforms

On 17 September 2015, the House of Lords EU Internal Market Sub-Committee launched an inquiry into online platforms, looking at the use of online platforms such as marketplaces (e.g. Amazon and eBay), sharing economies (e.g. Airbnb and Uber), and social media networks. The consultation closes on 16 October 2015 and a report is expected in Spring 2016.
Separately, on 24 September 2015 the European Commission launched its own consultation on platforms (see our article here), which will feed into a wider assessment on the role of platforms planned for the first part of 2016.

31 October 2015 – Retail banking market investigation

The CMA is currently conducting a market investigation into the supply of retail banking services to personal current account customers and to SMEs. In particular, the CMA is looking at: 

• impediments to customers’ ability to shop around, choose and switch product or providers; 
• concentration giving rise to market power of some banks; and 
• barriers to entry and expansion. 

The CMA intends to publish its provisional findings in October 2015, with its final report due in April 2016.

December 2015 – Public transport ticketing schemes block exemption

The public transport ticketing schemes block exemption currently exempts agreements between competing transport operators, allowing passengers to purchase tickets that can be used on the services of all the participating operators. 

The current block exemption expires on 29 February 2016, but the CMA is proposing to extend this exemption until 28 February 2026. The CMA will make its recommendation to the Secretary of State for Business, Innovation and Skills in December 2015.

Early 2016 – EU Digital Single Market initiative

The European Commission’s on-going Digital Single Market initiative is expected to result in a number of competition-related developments in early 2016, which are likely to have spill-over effects in the UK. These include: 

• the outcome of its inquiry into cross-border online sales of consumer electronics; 
• prevention of unjustified geo-blocking – the Commission will make legislative proposals in the first half of 2016 to end geo-blocking which cannot be objectively justified (see our article here discussing a consultation launched by the Commission on 24 September 2015); and 
• modernisation of copyright – the European Commission will make legislative proposals before the end of 2015 to reduce the differences between national copyright regimes and allow for wider online access to works by users across the EU. 

See more on our dedicated hub here.

Early 2016 – Pay-TV investigation

On 23 July 2015, the European Commission sent a statement of objections to Sky UK and certain major US film studios, taking issue with clauses in the agreements requiring Sky to block access to films through its online (geo-blocking) and satellite pay-TV services to consumers located outside of Sky’s exclusive territory. 

The Commission also raised concerns around clauses requiring the film studios to ensure that other pay-TV broadcasters in the EU are prevented from making their pay-TV services available in Sky’s exclusive territory. 

The case is being followed closely, as it may have far-reaching consequences for digital content providers. Based on the Commission’s typical investigatory timeline, the final decision may be published in the first half of 2016.

March 2016 – Insurance block exemption

The insurance block exemption allows for certain types of agreements between (re)insurance providers which would otherwise be prohibited under competition law. The current exemption is due to expire in March 2017. The EC’s report and recommendations on its renewal are expected to be delivered to the European Parliament and Council by March 2016.

30 April 2016 – Net Neutrality Regulations

In June 2015, the EU Commission, Council and Parliament reached agreement on a Regulation to enshrine net neutrality into EU law. The Net Neutrality Regulation is designed to ensure that users have access to online content and services without discrimination or interference by internet service providers. All internet traffic must be treated equally, subject to limited exceptions. The Net Neutrality Regulation is expected to come into force on 30 April 2016. 

This forms part of the EU’s wider reform of the EU telecoms regime, which includes the end of international roaming charges in June 2017.

Summer 2016 – Ofcom consultation on a measurement framework for media plurality

In Spring 2015, Ofcom consulted on a measurement framework for media plurality, following a request for advice from the Department of Culture, Media and Sport. This measurement framework aims to ensure that the UK media is formed from a variety of sources, is wide reaching and reflective of UK diversity of news and individual views.
Ofcom intends to publish a statement in relation to the Consultation in mid-2016.