EU and UK sign competition cooperation agreement. Ribera: “In uncertain times, collaboration is the best tool”

Brussels – A clear framework for cooperation between the two sides of the Channel on competition matters: the European Commission and the United Kingdom signed today (25 February) the agreement that “sets out a new and clear framework for cooperation on competition matters between, on the one hand, the Commission and the competition authorities of the EU Member States and, on the other hand, the UK Competition and Markets Authority,” according to a press release from the EU executive. This is the first EU-UK agreement entirely focused on competition cooperation after Brexit. The agreement was signed by the Executive Vice-President of the European Commission and Commissioner for Competition, Teresa Ribera, and the British Secretary of State, Peter Kyle. “I believe this is an important step forward, because it is precisely in these times of turbulence and uncertainty that friendship and cooperation prove to be the best tools for offering comfort and prosperity to our people, based on the bonds of cooperation with our closest partners, our closest neighbours. I would say that this is what our societies want to see,” said Ribera at the press conference following the signing ceremony. 

The agreement lays down “clear principles of cooperation to ensure smooth interactions between the EU and the UK on competition matters”. For example, the EU and the UK will notify each other of significant antitrust and merger investigations and will coordinate their efforts where necessary. In addition, the agreement establishes the obligation of competition authorities to protect the confidentiality of shared information, and the consent of the companies that provided the confidential information will remain necessary before it is shared among competition authorities. 

In her speech, Ribera emphasised that, following the period after Brexit characterised by informal relations, this agreement establishes for the first time a “formal, clear, and transparent structure for our work.” In particular, the agreement “will facilitate the exchange of confidential information that each of us has on our secret antitrust investigations, promoting robust and consistent approaches, allowing greater predictability and legal certainty for companies and business communities that wish to continue building better relations on both sides of the Channel,” Ribera clarified. In addition, “the Vice-President highlighted the uniqueness of the agreement, as it is the first to include not only the European Commission but also all 27 EU national competition authorities. 

For Secretary of State Peter Kyle, the agreement responds to the demands of the business world, which wants deeper cooperation with the European market. Kyle said the agreement will make it possible to “stop harmful mergers that are bad for consumers and markets,” while promoting sustained economic growth. Furthermore, “we are no longer the Britain of the Brexit years,” he specified, emphasising the goal of acting as a “reliable European partner.” 

Finally, broadening his perspective, Kyle addressed US tariffs. “With regard to the United States, since the Supreme Court ruling” on tariffs, “both Number 10 Downing Street and I and my department, have been in constant and immediate contact with our counterparts. I am confident that the economic prosperity agreement we signed last year remains intact. As we move forward and seek certainty, I sincerely hope that the 10% tariff rate will also remain intact,” he said.

The agreement will now have to undergo ratification procedures on both sides of the Channel before it can enter into force in full.