The development of British competition law. A complete overhaul and harmonization

The definition of the public interest

The 1948 Act contained an open-ended definition of the public interest: it stated that:

„...all matters which appear in the particular circumstances to be relevant shall be

taken into account and, amongst other things, regard shall be had to the need,

consistently with the general economic position of the United Kingdom, to achieve –

(a)

the production, treatment and distribution by the most efficient and

economical means of goods of such types and qualities, in such volume and at

such prices as will best meet the requirements of home and overseas markets;

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(b)

the organisation of industry and trade in such a way that their efficiency is

progressively increased and new enterprise is encouraged;

(c)

the fullest use and best distribution of men, materials and industrial capacity

in the United Kingdom; and

(d)

the development of technical improvements and the expansion of existing

markets and the opening up of new markets.“

No mention was made of the desirability of competition as such. When in 1965,

mergers were brought within the scope of the legislation, the Monopolies and

Mergers Commission was simply told by the legislation that, in considering the

public interest, it was to take into account „all matters which appear in the particular

circumstances to be relevant“, though the Ministry of Economics was given power to

give specific directions as to matters to which the Commission was to have regard in

this connection (in fact the Ministry never gave any such directions).