Postcomm agrees working arrangements with OFT

Postcomm today published a Memorandum of Understanding (MoU) setting out how it will work with the Office of Fair Trading (OFT) on issues affecting competition. This follows a three month consultation on a draft issued at the end of 2002. The OFT enforces the Competition Act 1998 (and recently the Enterprise Act 2002), which prohibits anti-competitive behaviour in the UK. Postcomm has a responsibility for enforcing Royal Mail’s licence, which, among other things, requires the company not to act anti-competitively. There is therefore a potential overlap between the roles of Postcomm and OFT in this area. The MoU, which comes into effect immediately, clarifies the respective roles of the two offices when investigating cases of anti-competitive behaviour, to prevent duplication of effort. Complainants would be able to come to either body. Postcomm and the OFT will then agree in each case which of them is best placed to handle the issue. Notes for editors The document, Memorandum of Understanding between Postcomm and the OFT, a Decision Document can be found on Postcomm’s website, www.postcomm.gov.uk. Copies are available from Postcomm at 6 Hercules Road London SE1 7DB.