DMCC Act 2024 – an overview

by Liz Appleyard

31 January 2025

The Digital Markets, Competition and Consumers Act 2024, which is often referred to as the DMCC Act, received Royal Assent in May 2024 and is being brought into force in stages.

The Act makes comprehensive changes to UK competition rules and consumer protection law and introduces a new UK Digital Markets Regime.

So what are the key changes?

 

Competition Law:

The Competition and Markets Authority’s (CMA) jurisdiction to review mergers is increased to £100 million and creates a safe harbour for transactions where the turnover of each party is less than £10 million.

The CMA will have the ability to review killer acquisitions where at least one party has an existing share of supply in the UK of more than 33% and a UK turnover in excess of £350 million.

These new rules came into force on 1 January 2025

 

Consumer Protection:

The CMA which has previously served as the UK’s primary consumer protection team is now given direct enforcement powers in relation to consumer protection matters.

The following are expected to come into force in April 2025:

The CMA will have the ability to impose fines of up to 10% global turnover (or £300,000 if higher) for the most serious breaches.

The existing rules relating to commercial practices which are automatically deemed unfair (the black list) are restated and updated to reflect current markets including online sales. Key additions to the black list at this stage relate to fake reviews  and drip pricing but the list is able to be updated and the CMA is pushing for greenwashing to be added.

In spring 2026 a new specific regime to help consumers avoid subscription traps will come into force.

 

Digital Markets:

The CMA now has the power to designate undertakings as having strategic market status and will be able to impose conduct requirements on designated undertakings and make interventions to ensure that competition in the market is maintained. Designated undertakings will be required to report certain mergers.

The Digital Markets regime came into force on 1 January 2025.

 

The consumer protection measures are those most likely affect businesses on a day to day basis. If you would like further information please do get in touch.

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