Brussels, 9 July 2014
Mergers: Commission consults on possible improvements of EU merger control rules
The European Commission has launched a public consultation on proposals to improve merger control at EU level outlined in a White Paper. The reform of the Merger Regulation in 2004 has made the EU’s merger control regime more efficient and predictable, preserving effective competition in the Single Market for the benefit of businesses and consumers. Nevertheless, the experience of the last ten years has also shown that there is scope for further improving some aspects of EU merger control. In its White Paper "Towards More Effective EU Merger Control" the Commission makes proposals that would allow it to better deal with non-controlling minority shareholdings which may affect competition, and that would make referral procedures simpler and faster. Comments can be submitted until 3 October 2014. In light of the comments received, the Commission may then put forward a legislative proposal to revise the EU Merger Regulation. See also Memo/14/471.
Commission Vice-President in charge of competition policy, Joaquín Almunia, commented: "Merger control at EU level should be equipped with a modern toolkit to protect businesses and consumers against transactions that may harm competition. The proposals in this White Paper would allow the Commission to better preserve competition while making sure that the administrative burden by the system is kept light for the companies concerned."
The key proposals of the White Paper are the following:
See also Memo/14/471.
The text of the White Paper and its accompanying Staff Working Document (which explains the proposals in more detail) can be found at:
In 2009, following a public consultation, the Commission addressed a report to the EU Council of Ministers on the functioning of the Merger Regulation, in particular the allocation of cases between the Commission and Member States (see IP/09/963). In 2013 the Commission published a Staff Working Document outlining a relatively wide spectrum of policy options relating to the topics of minority shareholdings and case referrals with a view of seeking stakeholders' comments (see IP/13/584).
Both public consultations (in 2009 and 2013) confirmed that in general the Merger Regulation works well and no fundamental overhaul is needed. However, the public consultation showed that there is room for improvements in certain areas. Overall, the replies to the 2013 Report very much welcomed the reflections on streamlining the referral process and making it more effective and showed that it would be appropriate to allow the Commission to deal with minority shareholdings under the Merger Regulation.
In light of the submissions received, the Commission has now fine-tuned and detailed the reform proposals in the White Paper.
The White Paper should be seen in the context of the Commission’s commitment to regularly review the functioning of existing legislation under the new Regulatory Fitness and Performance Programme (“REFIT-programme”) in order to make rules and procedure less burdensome for business (see IP/14/682).
The proposals complement a procedural simplification package adopted in December 2013 (see IP/13/1214 ), resulting in an increased use of a so called 'simplified' procedure for non-problematic mergers and a substantial reduction in information requirements for all notified cases. Further steps towards making EU merger control simpler and more efficient require an amendment of the Merger Regulation and are outlined in the White Paper.