Enterprise Act 2002

It made cartels illegal with a maximum prison sentence of 5 years and states that level of competition in a market should be the basis for investigation.The role of the Director General of Fair Trading (DGFT) was also abolished and his powers given to the OFT, this was seen as an attempt to depersonalize the competition investigation process.The Minister of Trade and Industry in the past played a large role in competition policy, having final say over whether a particular merger was in the public interest.He now only has powers to intervene if the proposed merger will affect the media to the detriment of the public, national security or if one of the firms is a government contractor.The purpose was to enhance the policy of creating a "rescue culture", so that insolvent companies so far as possible should be saved, before their assets are stripped and distributed to creditors.
Parliament of the United KingdomLong titleCitationPatricia HewittSecretary of State for Trade and IndustryUnited KingdomRoyal assentCompetition Act 1998legislation.gov.ukUK competition lawinsolvencybankruptcyOffice of Fair TradingCompetition Appeal TribunalMergersCompetition CommissionUK insolvency lawadministrationInsolvency Act 1986EnglandOffice of Public Sector Information