The competition framework Part 4: Competition Reform Summary and Background
367.The OFT has the economy wide function of enforcing anti-trust provisions (Part 1 of the CA 1998) and has market investigation reference powers (Part 4 of the EA 2002).
368.Alongside the OFT are the sector regulators whose functions include promotion of competition or dealing with anti-competitive practices. The regulators also have competition powers concurrently with the OFT. The sector regulators with concurrent powers, and the areas in relation to which they have those powers, are:
	the Civil Aviation Authority (“CAA”): air traffic services and airport operation services, both in the United Kingdom;
	Monitor: healthcare services in England (and there is a power for the Secretary of State to extend these powers to the area of social care in England);
	the Northern Ireland Authority for Utility Regulation (“NIAUR”): gas, electricity, water and sewerage services in Northern Ireland;
	the Office of Rail Regulation (“ORR”): railway services in Great Britain;
	the Office of Communications (“Ofcom”): electronic communications, broadcasting and postal services in the United Kingdom;
	the Office of Gas and Electricity Markets (“Ofgem”): gas and electricity in Great Britain; and
	the Water Services Regulation Authority (“Ofwat”): water and sewerage England and Wales.
369.The sector regulators can take a range of approaches to promote competition, including imposing and enforcing licence conditions using powers under their own sectoral legislation. In addition, the regulators share the OFT’s powers to enforce Part 1 of the CA 1998 and make market investigation references to the CC under Part 4 of the EA 2002.
370.The Act largely retains the existing concurrency provisions, but strengthens the role of the CMA and enhances the emphasis on early and proper consideration of the use of anti-trust powers (under Part 1 of the CA 1998) by the sector regulators.
371.The Act amends the concurrency arrangements in five respects:
	sector regulators will have an explicit requirement to consider the anti-trust powers under CA 1998 before using their own sector powers;
	the Secretary of State can currently make regulations about the procedures for the competition authorities to decide which body will lead on a CA 1998 case where concurrent powers apply. As a result of the amendments, the Secretary of State will be able to make regulations which provide that the CMA may in particular decide, in certain circumstances, that it (rather than a sector regulator) will exercise the concurrent functions in a CA 1998 case;
	the Secretary of State will have the power to make regulations requiring arrangements to be made for the sharing of information between the CMA and the sector regulators in connection with cases in respect of which concurrent powers arise;
	there will be a new requirement that the CMA will publish an annual report covering the use of competition powers by it and the sector regulators; and
	the Secretary of State will have the power to remove concurrent competition functions of certain sector regulators.
372.These changes are intended to give the CMA a leadership role in the concurrency arrangements and it will be expected to work closely with the sector regulators.