United Kingdom: Closed consultation on CMA remedies working paper following Phase 2 investigation into merger between Vodafone and CK Hutchinson

On 12 November 2024, the UK's Competition and Markets Authority (CMA) closes the consultation on its remedies working paper regarding the proposed merger between Vodafone and Hutchison 3G UK. The CMA is scheduled to release its final report on 7 December 2024, which will assess whether the proposed remedies or alternative measures, including prohibition of the merger, adequately address the identified competition concerns. The outcome will clarify the conditions under which the merger may proceed or whether it will be prohibited. The CMA issued its remedies working paper after its Phase 2 investigation into the proposed merger between Vodafone and Hutchison 3G UK. The remedies aim to address a "substantial lessening of competition" identified in the UK’s retail and wholesale mobile telecommunications markets. The CMA found that the merger could reduce competition in services for both consumers and wholesale customers, such as mobile virtual network operators (MVNOs). The CMA's proposed remedies include a Network Commitment requiring the merged entity to invest significantly in network development, especially in expanding 5G technology and coverage in the UK. Additional consumer protections include time-limited commitments on retail pricing, maintaining current mobile tariffs, and offering competitive terms for MVNOs. As an alternative, the CMA considers prohibiting the merger if these measures do not sufficiently address the competition concerns.