BUSINESS

Veolia and Suez merger criticised by competition authority

The merger of Veolia and Suez could lead to a loss of competition in the supply of several waste and water management services in the UK, according to the Competition and Markets Authority (CMA).

The merger of Veolia and Suez could lead to a loss of competition in the supply of several waste and water management services in the UK, according to the Competition and Markets Authority (CMA).

After the two firms decided to merge, the CMA received a number of complaints from customers who had competition concerns.

Veolia and Suez are two of only a small number of suppliers active within the UK that are able to service the largest and most complex waste management contracts with councils.

Chief executive of the CMA, Andrea Coscelli, said: ‘Any loss of competition in this market could lead to higher prices for local authorities, leaving taxpayers to foot the bill, and reduced innovation to achieve net-zero targets.

‘Everyone in the UK uses waste and recycling services in some way. 

'It is therefore vital that this deal is subject to more detailed scrutiny if our concerns aren't addressed.'

Veolia and Suez now have until next week to submit proposals to address the CMA's concerns or the deal will be referred for an in-depth investigation.

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