How can UK competition and consumer protection regimes contribute to environmental sustainability – Have your say

• United Kingdom

• Commercial and IT
• Competition, EU and Trade
• ESG

04-10-2021

On 30 September 2021, the Competition and Markets Authority (“CMA”) published for consultation a “Call for Inputs” document to gather views from stakeholders on how the competition and consumer protection regimes can support the UK’s Net Zero and sustainability goals.  The information gathered will be used by the CMA to advise the UK Government.  The deadline to respond to the consultation is Wednesday 10 November 2021.

Background 

The Net Zero Target was adopted by the UK Government in 2019 following a recommendation by the Climate Change Committee and commits the UK to reaching net-zero greenhouse gas emissions by 2050. The UK Government’s Net Zero commitment includes an 78% reduction in greenhouse gas emissions by 2035 (compared to 1990 levels) and 100% reduction by 2050 and was enshrined in legislation in June 2021, with the Carbon Budget Order 2021.

The Secretary of State for Business, Energy and Industrial Strategy (BEIS), Kwasi Karteng wrote to the CMA on 19 July 2021 requesting its advice by early 2022. In particular, the Secretary of State asked the CMA to consider:

• If, and how, do current competition and consumer legal frameworks constrain or frustrate initiatives that might support the UK’s Net Zero and sustainability goals?

• Are there changes to the UK’s competition and consumer law that would help to achieve the UK’s Net Zero and sustainability goals?

• Are there other opportunities within the UK’s competition and consumer policy toolbox that would support the UK’s Net Zero and sustainability goals, which the government should be considering?

The CMA is calling for views from all interested stakeholders prior to providing the Government with its advice.

Call for Inputs document

The Call for Inputs document primarily focuses on whether the current UK competition law, merger control, consumer protection and markets regimes constrain or frustrate initiatives that may support the UK’s Net Zero and sustainability goals and, if so, how the regimes could be adapted. Stakeholders in each of these areas are encouraged to share their views and examples in order to support the CMA’s review of existing evidence.

When published, the CMA’s advice to the UK Government will support the CMA’s existing sustainability work as part of its strategic objective to support the UK’s transition to a low carbon economy.

How Eversheds Sutherland can help

We will be preparing a response to the Call for Inputs.  If you would like to discuss any points in the consultation, please get in touch with our contacts detailed below.