European Union and United Kingdom Will Conclude Competition Cooperation Agreement that also Involves National Competition Authorities
- 28/05/2025
- News
On 19 May 2025, the European Union and the United Kingdom published a Joint Statement, a Common Understanding containing a renewed agenda for EU – UK cooperation, and the outline of an EU-UK security and defence partnership.
The expanded cooperation builds on the existing arrangements between the parties, including the EU-UK Trade and Cooperation Agreement, but seeks to establish what is referred to as a new strategic partnership.
Significantly, paragraph 47 of the Common Understanding indicates that the parties concluded the negotiations for a draft EU – UK Competition Cooperation Agreement (the Competition Agreement or CA). The European Commission has now published the draft CA (see, attachment) which, when approved, is intended to “enhance the effective enforcement of the competition laws of the Union and of the United Kingdom” (Article 1, CA).
The CA covers, broadly, the rules governing anticompetitive agreements, abuse of dominant position, and merger control of both territories, albeit not the individual Member States. By contrast, the CA involves not only the cooperation of the European Commission and the Competition and Markets Authority, but also that of the competition authorities of the Member States, including the Belgian Competition Authority.
The CA deals with (i) required mutual notifications of enforcement activities; (ii) the possible coordination of enforcement activities; (iii) the consideration of the other side’s important interests (“negative comity”); (iv) the sharing and use of information; and (v) the confidentiality of shared information.
Sharing of information is never compulsory (Article 6(5), CA) and competition authorities can select the information which they wish to share (Id.). Article 6(2), CA provides a mechanism for seeking consent from persons whose information will be shared. But the same provision adds that seeking such consent will not be necessary if the “sharing of (…) information without consent is permitted by applicable domestic law”.