Competition Act 1998

Changes over time for: Section 2

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Changes to legislation:

Competition Act 1998, Section 2 is up to date with all changes known to be in force on or before 16 November 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations.

Changes to Legislation

Revised legislation carried on this site may not be fully up to date. Changes and effects are recorded by our editorial team in lists which can be found in the ‘Changes to Legislation’ area. Where those effects have yet to be applied to the text of the legislation by the editorial team they are also listed alongside the legislation in the affected provisions. Use the ‘more’ link to open the changes and effects relevant to the provision you are viewing.

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Changes and effects yet to be applied to Section 2:

s. 2(1) substituted by 2024 c. 13 s. 119(2)
s. 2(3) omitted by 2024 c. 13 s. 119(3)
s. 2(5) applied by 2024 c. 13 s. 119(5)

Changes and effects yet to be applied to the whole Act associated Parts and Chapters:

Blanket Amendment words substituted by 2005 c. 4 Sch. 11 para. 5

Whole provisions yet to be inserted into this Act (including any effects on those provisions):

s. 25A(1A) inserted by 2024 c. 13 Sch. 28 para. 9(3)
s. 25B inserted by 2024 c. 13 s. 121(2)
s. 25B(1)(a) words in s. 25B(1) renumbered as s. 25B(1)(a) by 2024 c. 13 Sch. 28 para. 10(2)(a)
s. 25B(1)(b) and word inserted by 2024 c. 13 Sch. 28 para. 10(2)(b)
s. 25B(2) words inserted by 2024 c. 13 Sch. 28 para. 10(3)
s. 28(2)(g)-(i) inserted by 2024 c. 13 s. 122(3)(b)
s. 28A(2)(g)-(i) words omitted by 2024 c. 13 s. 122(6)(b)
s. 30(1A) inserted by 2024 c. 13 s. 122(7)
s. 31A(2A) inserted by 2024 c. 13 Sch. 11 para. 2
s. 31E(4) inserted by 2024 c. 13 Sch. 11 para. 3
s. 31G-31L and cross-heading inserted by S.I. 2019/93, reg. 8A (as inserted) by S.I. 2019/1245 reg. 3 (This amendment not applied to legislation.gov.uk. The affecting statutory instrument has no legal effect. It was made under a procedure which meant that it ceased to have effect 28 days after signing unless it was debated and approved in Parliament within that time. It was not debated and approved within 28 days, so it has expired with no effect.)
s. 34(4) inserted by 2024 c. 13 Sch. 11 para. 5
s. 40A(7)(d) inserted by 2024 c. 13 Sch. 28 para. 11
s. 40B(5A) inserted by 2024 c. 13 Sch. 10 para. 10(5)
s. 40ZD(3)(a) words in s. 40ZD(3) renumbered as s. 40ZD(3)(a) by 2024 c. 13 Sch. 10 para. 6(2)
s. 40ZD(3)(b) and word inserted by 2024 c. 13 Sch. 10 para. 6(3)
s. 40ZE inserted by 2024 c. 13 Sch. 10 para. 8
s. 40ZE(1)(a) words inserted by 2024 c. 13 s. 121(3)
s. 42(8) inserted by 2024 c. 13 Sch. 10 para. 11(3)
s. 43(1A) inserted by 2024 c. 13 Sch. 10 para. 12
s. 44(2A) inserted by 2024 c. 13 Sch. 10 para. 13
s. 44A and cross-heading inserted by 2024 c. 13 Sch. 13 para. 2
s. 44B inserted by 2024 c. 13 Sch. 13 para. 15
s. 46(3)(ha)(hb) inserted by 2024 c. 13 s. 124(1)(a)
s. 46(3)(ha)(hb) inserted by S.I. 2019/93, reg. 14(d) (as inserted) by S.I. 2019/1245 reg. 5 (This amendment not applied to legislation.gov.uk. The affecting statutory instrument has no legal effect. It was made under a procedure which meant that it ceased to have effect 28 days after signing unless it was debated and approved in Parliament within that time. It was not debated and approved within 28 days, so it has expired with no effect.)
s. 47(1)(ca) inserted by S.I. 2019/93, reg. 15(b) (as substituted) by S.I. 2019/1245 reg. 6 (This amendment not applied to legislation.gov.uk. The affecting statutory instrument has no legal effect. It was made under a procedure which meant that it ceased to have effect 28 days after signing unless it was debated and approved in Parliament within that time. It was not debated and approved within 28 days, so it has expired with no effect.)
s. 47A(3A) inserted by 2024 c. 13 Sch. 3 para. 3
s. 47DA inserted by 2024 c. 13 Sch. 3 para. 4
s. 49(1A)(c) and word inserted by 2024 c. 13 Sch. 3 para. 7(3)
s. 60A(10) inserted by 2023 c. 28 s. 6(10)
s. 109B inserted by 2024 c. 13 Sch. 13 para. 16
Sch. 6A para. 1A inserted by S.I. 2019/93, reg. 29A(2) (as inserted) by S.I. 2019/1245 reg. 7 (This amendment not applied to legislation.gov.uk. The affecting statutory instrument has no legal effect. It was made under a procedure which meant that it ceased to have effect 28 days after signing unless it was debated and approved in Parliament within that time. It was not debated and approved within 28 days, so it has expired with no effect.)
Sch. 6A Pt. 3 inserted by S.I. 2019/93, reg. 29A(4) (as inserted) by S.I. 2019/1245 reg. 7 (This amendment not applied to legislation.gov.uk. The affecting statutory instrument has no legal effect. It was made under a procedure which meant that it ceased to have effect 28 days after signing unless it was debated and approved in Parliament within that time. It was not debated and approved within 28 days, so it has expired with no effect.)
Sch. 8A para. 15(1) Sch. 8A para. 15 renumbered as Sch. 8A para. 15(1) by 2024 c. 13 s. 126(2)(a)(i)
Sch. 8A para. 7(2A) inserted by 2024 c. 13 s. 116(6)(a)
Sch. 8A para. 15(2) inserted by 2024 c. 13 s. 126(2)(a)(iii)
Sch. 8A para. 19(6A) inserted by 2024 c. 13 Sch. 3 para. 8(8)
Sch. 8A para. 42(1)(a)(b) substituted for words by 2024 c. 13 Sch. 3 para. 8(11)
Sch. 8A para. 15(1) word substituted by 2024 c. 13 s. 126(2)(a)(ii)

2 Agreements etc. preventing, restricting or distorting competition.U.K.

(1)Subject to section 3, agreements between undertakings, decisions by associations of undertakings or concerted practices which—

(a)may affect trade within the United Kingdom, and

(b)have as their object or effect the prevention, restriction or distortion of competition within the United Kingdom,

are prohibited unless they are exempt in accordance with the provisions of this Part.

(2)Subsection (1) applies, in particular, to agreements, decisions or practices which—

(a)directly or indirectly fix purchase or selling prices or any other trading conditions;

(b)limit or control production, markets, technical development or investment;

(c)share markets or sources of supply;

(d)apply dissimilar conditions to equivalent transactions with other trading parties, thereby placing them at a competitive disadvantage;

(e)make the conclusion of contracts subject to acceptance by the other parties of supplementary obligations which, by their nature or according to commercial usage, have no connection with the subject of such contracts.

(3)Subsection (1) applies only if the agreement, decision or practice is, or is intended to be, implemented in the United Kingdom.

(4)Any agreement or decision which is prohibited by subsection (1) is void.

(5)A provision of this Part which is expressed to apply to, or in relation to, an agreement is to be read as applying equally to, or in relation to, a decision by an association of undertakings or a concerted practice (but with any necessary modifications).

(6)Subsection (5) does not apply where the context otherwise requires.

(7)In this section “the United Kingdom” means, in relation to an agreement which operates or is intended to operate only in a part of the United Kingdom, that part.

(8)The prohibition imposed by subsection (1) is referred to in this Act as “the Chapter I prohibition”.

Modifications etc. (not altering text)

C1S. 2 restricted (31.12.2020) by S.I. 2019/93, Sch. 4 para. 17A(1) (as inserted by The Competition (Amendment etc.) (EU Exit) Regulations 2020 (S.I. 2020/1343), regs. 1(1), 40(2))

C2S. 2(1) excluded (18.6.2001) by 2000 c. 8, ss. 164(1)(2)(4); S.I. 2001/1820, art. 2, Sch.

S. 2(1) excluded (3.9.2001) by 2000 c. 8, s. 311(9); S.I. 2001/2632, art. 2(2), Sch. Pt. 2

C3S. 2(1) excluded (28.3.2012) by The Competition Act 1998 (Public Policy Exclusion) Order 2012 (S.I. 2012/710), arts. 1, 4

C4S. 2(1) excluded (E.) (28.3.2020) by The Competition Act 1998 (Health Services for Patients in England) (Coronavirus) (Public Policy Exclusion) Order 2020 (S.I. 2020/368), arts. 1(1), 4 (with art. 1(2))

C5S. 2(1) excluded (28.3.2020) by The Competition Act 1998 (Groceries) (Coronavirus) (Public Policy Exclusion) Order 2020 (S.I. 2020/369), arts. 1, 6

C6S. 2(1) excluded (28.3.2020) by The Competition Act 1998 (Groceries) (Coronavirus) (Public Policy Exclusion) Order 2020 (S.I. 2020/369), arts. 1, 5

C7S. 2(1) excluded (28.3.2020) by The Competition Act 1998 (Solent Maritime Crossings) (Coronavirus) (Public Policy Exclusion) Order 2020 (S.I. 2020/370), arts. 1, 4

C8S. 2(1) excluded (21.4.2020) by The Competition Act 1998 (Health Services for Patients in Wales) (Coronavirus) (Public Policy Exclusion) Order 2020 (S.I. 2020/435), arts. 1(1), 4 (with art. 1(2))

C9S. 2(1) excluded (temp.) (2.5.2020) by The Competition Act 1998 (Dairy Produce) (Coronavirus) (Public Policy Exclusion) Order 2020 (S.I. 2020/481), arts. 1, 5, 6 (with art. 10)