Which action is NOT a responsibility of the CMA?

The action of setting price controls on goods is not a responsibility of the Competition and Markets Authority (CMA). The CMA's primary focus is to promote competition and ensure that consumers benefit from it, which includes investigating market behaviors, preventing anti-competitive practices, and encouraging overall market competition.

Conducting studies into market competition is a fundamental task for the CMA, as it helps to understand the dynamics of various markets and identify areas where competition may be lacking or where consumers may be at a disadvantage. Investigating potential breaches of the Competition Act 1998 is also a critical responsibility. The CMA uses this authority to take action against businesses that may harm competition or engage in unfair practices.

Encouraging competition among businesses aligns perfectly with the CMA’s objectives. The authority actively seeks to foster an environment where businesses can compete fairly and effectively, ultimately benefiting consumers by ensuring a wider choice of products and services at competitive prices.

In contrast, setting price controls is a regulatory action typically associated with governmental economic policy rather than the CMA’s competition-focused role. The CMA may highlight issues related to pricing, but it does not have the authority to impose price controls directly. Instead, it focuses on the competitive practices that influence market pricing naturally through competition.