Clause 71 - Order-making power where undertakings under section 69 not fulfilled etc.
Enterprise Bill
10:45 am
Mr Nigel Waterson (Eastbourne, Conservative)
I beg to move amendment No. 276, in page 51, line 37, after `7', insert
`and essential to avoid the creation or strengthening of a dominant position'.
Having said all that, the effect of the provision is that one could have divestment ordered—it is a pretty extreme measure—in respect of an acquisition that had never been subject to a full review by the Competition Commission. That seems somewhat harsh to us. A better approach would be to limit the power under subsection (4). The amendment details how we chose to put that when we tabled a whole raft of amendments. There may be other ways of putting it that would improve the amendment; I am not necessarily wedded to the wording. However, we hope that the Government have considered the issue, or will consider it further. It seems at the very least odd, and potentially unfair, that something as serious as divestment could in theory—one would hope that it would not arise in practice—be visited on a company without the matter being reviewed thoroughly and fully.