Competition and Markets Authority’s Post

Transcript

Hello, I'm Martin Coleman and I'm the Chair of the Inquiry Group that's investigating the veterinary services market, and I'm here with my colleague Kirsty. Hi, I'm Kirsty Thomas. I'm a project manager in the Markets team here at the CMA. This investigation is a detailed review as to how the market for veterinary services is working. We're looking at this market because there are some indications that there may be aspects of the market that are not working in the best interest of pet owners. We're going to look at a number of issues. For example, we're going to consider whether pet owners have the right information to make good choices when they have to choose a vet, choices based on the prices available and the quality of service. We're also going to consider whether there might be parts of the country where there are only a limited number of vets practices and that impacts pet owners choices. For example, by not giving them a broad choice of different prices and different types of treatment. One of the things we're going to look at is how far the large corporate groups, which now own the majority of vet practices in the country, are having an impact on pet owners in terms of pricing, quality of service, range of different treatments. We're going to consider whether people are paying too much for services such as, prescriptions and crematoria. And finally, we're going to look at the regulatory system, the system that's supposed to ensure that vets practices are operating to good standards. Is that system operating in a way that is fit for purpose? Are there things that could change? Now we have no conclusions on any of these issues yet. These are the matters we're going to be exploring over the next year or so as this inquiry progresses. So the CMA has up to 18 months to complete work on a market investigation and that includes anytime that we need to consider remedies if we do find a problem. It's important that we take sufficient time to gather evidence and explore our concerns in a market that affects millions of pet owners and thousands of vet professionals, including vets and vet nurses. So we'll publish regular updates on our case page, at key points during our work. We published an issue statement which outlines our key concerns and how we plan to explore those. As we progress our work, we'll publish working papers and consult on our thinking across various aspects. We'll also run formal hearings where we can speak to the main parties and ask them specific questions. And then we'll publish a provisional report outlining our provisional findings, which we'll consult on in spring next year. It's important that we take the time to consider the implications of any remedies which we decide unnecessary. So we heard from thousands of vet professionals as part of our call for information. We're very mindful of the challenges facing the sector, such as staffing pressures and rising costs. We're really keen to ensure we understand how the sector works now and to understand if anything can be improved for pet owners and veterinary professionals. We use our statutory powers to request information from businesses and organisations in the sector. This will help us to understand in detail how the market currently works. And we're planning to do a series of site visits so that we can see how various veterinary practices work. This will include first opinion practices and referral centres in different areas. And we're keen to engage with the sector throughout through conferences and events. And as we proceed, we'll be thinking about ways to engage with professionals. So when the investigation is finished we'll publish a report. This will set out whether the group has decided there is an adverse effect on competition, including any remedies that are necessary. If the group does decide further actions needed, then the CMA will put any such remedies in place. On previous market investigations we've put in place requirements on information which has to be displayed or published, such as price lists. Less often we've put in place price caps or even required firms to sell parts of their business. So in the meantime, while we undertake the market investigation, you can go to our website to find some tips for pet owners. Just go to gov.uk/vet-tips.