MPs have approved Doug Gurr as suitable to become the next permanent chair of the Competition and Markets Authority (CMA), but warned ministers that additional safeguards are needed to protect the regulator’s independence and address potential conflicts of interest.
In a report published on Thursday following a pre-appointment hearing earlier this week, the House of Commons Business and Trade Committee said it was satisfied Mr Gurr had “the necessary expertise and independence” to take on the role as defined by the government. However, the Committee stressed that serious concerns remain about the context of his appointment and the broader direction of competition policy.
Mr Gurr, a former Amazon executive, was questioned extensively by MPs about his ability to act independently, particularly given the circumstances that saw the ouster of the previous chairman and pressure to align the regulator more closely with the government’s pro-growth agenda. Committee members made clear that the CMA must not prioritize investment or consolidation over consumer welfare and warned that growth must not come at the expense of competition.
MPs also expressed concern about possible conflicts of interest arising from Gurr’s long and high-profile career at Amazon, one of the world’s largest technology companies and a company that could fall under the CMA’s new digital markets regime. The committee suggested ministers consider whether to withdraw from a future decision on Amazon’s appointment to strategic market status under the Digital Markets, Competition and Consumers Act 2024.
The hearing also became a wider examination of the CMA’s recent performance. MPs noted that the number of employees at the regulator has almost doubled in the last decade, but competitive pressures in the UK economy have not improved. They criticized what they described as slow market investigations during the cost of living crisis and weak enforcement actions in certain high-profile cases.
Concerns have also been raised about the CMA’s handling of digital competition issues, including delays in seeking remedies from Google over its relationship with news publishers and the limited commitments made by Google and Apple regarding their mobile ecosystems. The committee questioned whether the regulator had been sufficiently assertive in exercising its new statutory powers.
Internal challenges within the CMA were also highlighted. A recent budgeting error forced a 10 percent workforce cut, and internal surveys suggest that only about a quarter of employees expect to stay with the company over the next three years. MPs said restoring morale and trust within the regulator would be an important task for the new chairman.
Another issue explored during the hearing was the time commitment involved in the role. It is currently expected that the CMA Chair will dedicate two days per week to the position. The Committee questioned whether this allocation is sufficient for a regulator that is at the center of politically sensitive and economically significant decisions, particularly in times of crisis or intense scrutiny.
Although the committee ultimately endorsed Mr Gurr’s appointment, it warned that having secured only a single appointable candidate for such a crucial role was “not the hallmark of a robust recruitment process”.
Liam Byrne, chairman of the committee, said the CMA was crucial in determining whether markets worked for consumers or against them. He said that while Mr Gurr was technically competent to take on the role, ministers needed to take steps to maximize confidence in the appointment.
“Growth cannot mean greater concentration,” Byrne said. “Investments must not come at the expense of consumer well-being. And operational independence must be protected in fact and not just in theory.”
The final decision now rests with the Business Secretary, but the committee’s report makes it clear that Parliament will watch closely to ensure the CMA remains an independent and effective guardian of competition in the UK economy.
