What are the consequences of breaching competition law?
Businesses that are found to have breached competition law can be fined up to 10 per cent of their annual worldwide turnover and ordered to change their behaviour. Individuals who engage in cartel activity can be prosecuted and sentenced to up to five years in prison and/or a fine.
What is the maximum fine for breach of competition law?
The maximum penalty is calculated by reference to the undertaking’s worldwide turnover in the last business year—the maximum fine that the CMA (or sector regulators with concurrent competition enforcement powers) can impose is 10% of an undertaking’s worldwide turnover.
How much can businesses be fined for breaking competition law?
Businesses that are found to have broken competition law can be fined up to 10% of their annual worldwide turnover and ordered to change their behaviour.
Who has the power to enforce competition rules in the UK?
Since 1 May 2004 not only the European Commission, but also the Office of Fair Trading (OFT) has the power to apply and enforce Articles 81 and 82 of the EC Treaty in the United Kingdom. The OFT also has the power to apply and enforce the Competition Act 1998.
Why is competition law important in the UK?
Fair and honest competition benefits us all. It creates free and transparent markets in which to do business. This document explains the nature of competition law enforcement in the UK.
How many companies have been fined for breaking competition law?
In 2019, the CMA fined 3 construction firms more than £36 million for breaking competition law in supplying certain concrete drainage products for building projects. 2 directors have also been disqualified for 6.5 and 7.5 years, with additional disqualification cases pending in court.
Is it a criminal offence to work in the UK?
It is both a civil and a criminal offence in the UK. The civil offence contained in the 1989 Competition Act closely mirrors article 101 of the Treaty on the Functioning of the European Union (TFEU).
Can a court void a breach of competition law?
Courts may also find an agreement which breaches competition law to be void in whole or in part, or order a cessation of any breach.
