Source: New Zealand Government
The Government is progressing its ambitious, economy-wide review to improve competition, lift productivity, and drive down the cost of living, Commerce and Consumer Affairs Minister Andrew Bayly says.
“Improved competition is a top priority for this Government. When competition is working well, New Zealand businesses – both big and small – can thrive. This has knock-on benefits for consumers, including greater choice and lower prices in key sectors like fuel, groceries, and banking,” says Mr Bayly.
“That’s why I launched a review of our competition settings, set out in the Commerce Act, in December last year. Much of the Commerce Act has not been reviewed for over 20 years. I want to ensure our competition settings keep pace with market developments so both Kiwi businesses and consumers can get ahead.
“Recent tweaks to our competition rules have mainly involved sector-specific legislation. In contrast, this review will improve our overarching competition settings and reduce the need for layers of reactive regulation in individual sectors.
“We are moving at pace to progress this work. Public consultation has now closed on key parts of the review, including our merger control settings, potential new code-making powers, and modern tools to address anti-competitive conduct.
“A big focus of the review is on merger settings. Over many decades, New Zealanders have felt first-hand some of the effects of mergers and unhealthy market competition: reduced innovation, a smaller range of goods and services, and increased prices.
“Many of these could have been avoided if we had more robust merger controls in place. Improved merger settings can lead to better competition and Kiwis getting a fairer deal, and that is why I’ve ensured this is a core part of the review.
“Thank you to those who provided feedback during this consultation period. Your views will help shape changes to our competition settings to support competitive, dynamic markets that will boost economic productivity and living standards.
“I expect to announce decisions on next steps in due course.”
