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UK Urges Antitrust Watchdog to Prioritize Growth and Clarity in Business Regulation

By  |  May 15, 2025

The UK government has directed its competition watchdog, the CMA, to align more closely with its pro-growth agenda, emphasizing the need for faster and more transparent regulatory actions in areas such as merger oversight, digital markets, and consumer protection, according to Reuters.

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    In updated guidance issued Thursday, Business Secretary Jonathan Reynolds called on the Competition and Markets Authority (CMA) to ensure its decisions support UK economic expansion and reduce business uncertainty. The message is part of a broader push by the Labour administration to remove barriers that hinder investment and productivity.

    “Our economic regulators are crucial to creating the conditions for increased growth and investment,” Reynolds said in an official government release. He outlined the government’s expectations for the CMA in what is known as a “strategic steer,” a formal advisory issued by the secretary of state for business that, while not binding, signals policy priorities to the independent regulator.

    Per Reuters, Reynolds had previously indicated in February that the CMA needed to become “less risk-averse” in its approach—part of an ongoing effort to recalibrate the role of regulators in supporting the UK’s economic policy.

    The CMA has taken on increased responsibilities since Britain’s exit from the European Union, including enhanced oversight of mergers and new authority over major digital platforms like Amazon, Apple, Google, and Meta. These powers, which came into effect earlier this year, reflect a broader regulatory shift toward curbing the influence of tech giants while maintaining a competitive marketplace.

    Prime Minister Keir Starmer has previously identified the CMA as a critical agency in advancing the UK’s growth ambitions, according to Reuters. His administration underlined that stance by appointing Doug Gurr, a former Amazon executive, as interim chair of the CMA in January—further suggesting a desire for a more pragmatic, pro-business orientation.

    Related: CMA Investigates Aviva’s £3.6B Acquisition of Direct Line Group

    CMA Chief Executive Sarah Cardell welcomed the steer, stating that it situates the agency’s competition mandate “squarely in the context of the growth mission.” She added that the directive offers “helpful clarity” on how the regulator should balance its dual responsibilities of promoting competition and safeguarding consumers, all while fostering greater investment.

    Source: Reuters