CMA chair: ‘The UK desperately needs economic growth’

The CMA is undergoing changes, yet we will consistently adhere strongly to the basics: safeguarding UK consumers and fostering competition, states the new chair Doug Gurr.

Today, I am addressing my fellow chairpersons at a summit for the leading UK regulators. It’s an honor to be part of such a knowledgeable and dedicated team—especially since the country truly requires its regulatory framework to serve as a crucial national resource during these times.

The subject: What constitutes effective regulation, particularly within a complex and rapidly changing economic landscape?

Initially, effective regulations protect the welfare of both UK consumers and businesses. It would be problematic from the start if we failed to establish this correctly. This is why I have consistently emphasized since becoming part of the team. CMA That said, even as we adapt and grow, we remain steadfastly committed to core principles — safeguarding British consumers and fostering competition. This dedication has been highlighted through recent initiatives such as our suggestions to the government aimed at enhancing regulations within the baby formula industry, our probe into Ticketmaster’s practices, along with initiating our first two inquiries under the updated digital markets framework focused on boosting competitiveness.

Supporting long-term policy goals

Effective regulations support important long-term policy objectives as well as the larger macroeconomic setting within which these policies develop. Importantly, the UK urgently requires economic expansion. This is essential for overcoming current challenges such as elevated levels of debt, unprecedented taxation rates, and significant constraints on government spending. Economic advancement remains the sole path toward improved living standards for typical working households, encompassing enhanced public amenities, robust infrastructural development, and an overall higher quality of life.

This is precisely why it stands as the top priority for the government—and why every regulator needs to contribute towards making this happen.

I've expressed this sentiment many times and will continue to do so: investment is crucial. We cannot construct our future with the least amount of business investment within the G7. Therefore, for the CMA, effective regulations must include pushing ourselves to find ways to foster such investments as much as possible, all while adhering to our core principles.

We have numerous opportunities for expansion and investment by liberalizing markets to foster competition, similar to what was achieved with Open Banking; ensuring fairness for small and medium-sized enterprises, akin to our approach with online marketplaces; and bolstering consumer trust as we begin implementing the updated consumer protection framework.

We're currently actively working on enhancements across '4Ps': speeding up our end-to-end processes; ensuring the predictability and appropriateness of our actions and choices (with an increased emphasis on distinguishing between their effects in the UK compared to globally); as well as refining how we interact directly with businesses and broader stakeholder groups.

However, we can take it even farther—by implementing significant alterations. how We execute our tasks focusing on changes significant for companies, entrepreneurs, and start-ups considering whether to select the UK as their base instead of choosing another country globally. Currently, we're proactively enhancing aspects under '4Ps': speeding up our end-to-end processes; ensuring our actions and choices are predictable and proportional (with an emphasis on assessing both UK-specific and worldwide effects); and improving how we interact directly with enterprises and broader stakeholder groups. This four-pronged approach has been successfully applied in key sectors like mergers, consumer safeguarding, and digital market regulation—gathering insights and adapting based on ongoing input.

In terms of effective regulation, the UK’s emerging Digital Markets competition framework embodies numerous facets of these 4Ps quite well. This regulatory approach aims to stay current with rapidly evolving markets and technological advancements without attempting to forecast specific outcomes. The system is finely calibrated, targeting only major companies and enabling precise corrective measures rather than imposing broad-brush regulations across entire industries. Additionally, this framework fosters continuous communication between regulators and businesses along with broader stakeholders, working together to develop practical and viable solutions.

The initial stages are promising, and we're beginning to see the advantages of having a tailored UK system. If we get the regulations correct, those within the regulatory sector will play an essential role in fostering economic growth in the UK and ensuring a more prosperous future for all.

Doug Gurr serves as the chairman of the CMA.