In light of recent accounting scandals, there are widespread calls for the UK competition authority to re-examine the audit market. Yet spending a substantial amount of resources on a market investigation, and concluding once again that there is a competition problem, is of little value if a suitable remedy cannot be found. A break-up of the Big Four is perceived by many as a necessary and long-awaited intervention, but is it the right solution? And if not, what would be an alternative remedy?
Oxera today unveiled a study for the Rail Working Group that assesses the direct microeconomic benefits from the Luxembourg Rail Protocol, which will save €13.9bn for nine Commonwealth of Independent States using the 1520 gauge. The Protocol, which is expected to come into force in 2019, is a new global treaty that will make it much easier and cheaper to finance railway rolling stock.
The 14th Annual Airports Council International Europe (ACI EUROPE) Best Airport Awards were announced last night during the Gala Dinner of the ACI World/28th ACI EUROPE General Assembly, Congress & Exhibition, which was hosted by Brussels Airport. This year’s judging panel for the ACI EUROPE Best Airport Awards was drawn from a well-respected group of
The key challenge for Ofgem during the RIIO-2 price review will be finding the right balance between market-led solutions and delivering a strategic vision.
The twenty-first meeting of the Oxera Economics Counsel (OEC) was held in our Brussels office yesterday. For the first time the event was attended by all 11 current members of the OEC, and welcomed not one, not two, but three Chief Economists as guests, Arno Rasek of the Bundeskartellamt, Etienne Pfister of the Autorité de
Oxera Partner, Dr Avantika Chowdhury, will be participating in the expert panel at the OECD round table on ‘Implications of E-commerce for Competition Policy’ in Paris on 6 June. The event will involve discussions with more than 25 country representatives about a range of issues including market definition and competitive dynamics in the e-commerce market,
When does price discrimination by a dominant firm amount to an abuse? Is the mere existence of a price difference sufficient? A recent ruling by the Court of Justice of the European Union (CJEU) provides some guidance on these questions, highlighting the ability to distort competition as a key criterion for a finding of abuse. Taking an economic perspective, we look at the CJEU’s approach and consider the implications for other cases of discrimination more broadly
The UK is experiencing a backlash against the liberal orthodoxy of utility regulation of ten years ago, which was based on privatisation, competition and deregulation. A recent Agenda article on the legitimacy of sectoral regulation in the UK asked ‘Is it policy, ownership, industry structure, governance, financing or regulation that is driving the problem?’ Martin Cave, Visiting Professor, London School of Economics, provides his perspective
On 8 May, the High Court in London issued a judgment on the Signia Wealth v Vector Trustees Limited case. Mr Justice Marcus Smith determined that the fair value of the 49% stake in Signia Wealth owned by Ms Nathalie Dauriac (represented by Vector Trustees Limited ) was £790k—in sharp contrast to the £21m claimed by Ms Dauriac. This valuation decision provides an important precedent on the choice of the appropriate valuation method and the importance of taking into account relevant contractual terms in the valuation exercise