The Meaning of ‘Relevant Customer Benefits’ in the Context of Health Care: Monitor’s Advice and the Competition Commission’s Response

(by Mary Guy)[1] On 17 October, the Competition Commission (CC) blocked the proposed merger between Poole Hospital NHS Foundation Trust and The Royal Bournemouth and Christchurch Hospitals NHS Foundation Trust (hereafter “the Dorset FT merger”), the first to be assessed under the regime for Foundation Trusts (FTs) established by the Health and Social Care Act 2012 (HSCA 2012). This new regime sees Monitor providing advice regarding “relevant customer benefits” to the OFT, which – along with the CC – has exclusive competence to determine mergers between NHS FTs. The case suggests that a higher standard of ‘relevant customer benefits’ is applied in the context of mergers in health care.

Cameron’s Plans for Energy Combine the Good, the Bad and the Ugly

(by Catherine Waddams) Yesterday the Prime Minister announced two new measures as a response to the latest increases in energy prices. He promised an annual review of competition in the market and to “roll back some of the green regulations and charges that are pushing up bills”. While an enquiry by competition authorities should be welcomed, the proposed measures also raise some serious concerns.

Could Politicians Be Driving Up Energy Prices?

(by Andreas Stephan) We are once again seeing the familiar picture of one energy company announcing a significant price increase, no doubt soon to be followed by other major players in the industry. SSE is to raise gas and electricity prices by 8.2%, a figure that is three times the current rate of inflation and comes at a time when UK households are continuing to endure declining income in real terms. My colleagues, Catherine Waddams and Chris Hanretty have recently written on this blog about proposals by the Labour party to cap prices and abolish the regulator. However, there is also a possibility that statements made by politicians, intended to reduce prices, may actually be having the opposite effect.