Competition Act 2021 – Secondary legislation

Overview

The Competition Act 2021 (‘the Act’) was passed by Tynwald and given Royal Assent in 2021. It will be brought into force by an appointed day order together with the necessary secondary legislation making provision for:

• the procedure for investigations into suspected anti-competitive practices or markets that appear to be malfunctioning
   
• the methodology to be applied in fixing penalties and restitution following such investigations
   
• merger notification thresholds
   
• the procedure for hearings in cases where the OFT believes that the parties to a merger were under a duty to notify of it of that merger but failed to do so
   
• the procedure for investigations into proposed mergers

Consultation with the public will take place and ultimately the secondary legislation will be submitted to Tynwald in early 2024.

Why your views matter

In terms of merger policy, the purpose of the Act is to bring the IOM competition legislation in line with UK and international standards whilst at the same time ensuring the legislation is fit for purpose in the IOM, taking into account its economic size and composition.

The secondary legislation is subject to consultation and has been drafted to ensure the IOM OFT undertakes investigations in a fair and transparent manner, that the process is easy to understand and allows companies/individuals to continue undertaking business with ease. This consultation will assist in the technical detail of the secondary legislation.

For clarity, there has been no previous merger policy in the IOM and there is no fee for a merger review. Therefore the legislation will not be retrospective and will not affect merger agreements that have already been signed.

Responding to this consultation

You can respond to this consultation online by clicking on the 'Online Survey' link below. Alternatively you can download a paper version of this consultation in the 'Related' section below and email it to zahed.miah@gov.im or post it to:

Thie Slieau Whallian,
Foxdale Road,
St John’s,
IM4 3AS

What happens next

Once the OFT has reviewed all the feedback from the consultation, the secondary legislation will be finalised and then laid before Tynwald in early 2024 for consideration. A draft merger form has been created which has been enclosed. For clarity the figures stated will be adjusted to take into account the views of the public.