The European Commission (EC) has referred the proposed merger of Virgin Media and O2 UK to the UK Competition & Markets Authority (CMA) for investigation. This follows a formal request from the CMA in early-October.
The CMA said its formal Phase 1 investigation will commence with immediate effect. Virgin and O2 have asked the CMA to move quickly to an in-depth Phase 2 investigation through a fast-track process, with the CMA expecting to accept this request unless it receives any valid objections. Interested parties can submit views on how the merger could impact competition, and on the request for a fast-track investigation, by 26 November.
The European Commission said its early evidence showed that the merger was likely to impact competition in the UK telecom market. Furthermore, the transition period for the UK to exit the EU will come to an end soon, at the end of 2020, so the merger must be evaluated in line with UK law.
