Advertisement
UK markets close in 5 hours 28 minutes
  • FTSE 100

    8,083.81
    +39.00 (+0.48%)
     
  • FTSE 250

    19,798.37
    -1.35 (-0.01%)
     
  • AIM

    754.48
    -0.39 (-0.05%)
     
  • GBP/EUR

    1.1625
    -0.0003 (-0.02%)
     
  • GBP/USD

    1.2426
    -0.0027 (-0.21%)
     
  • Bitcoin GBP

    53,368.55
    +154.48 (+0.29%)
     
  • CMC Crypto 200

    1,431.62
    +7.52 (+0.53%)
     
  • S&P 500

    5,070.55
    +59.95 (+1.20%)
     
  • DOW

    38,503.69
    +263.71 (+0.69%)
     
  • CRUDE OIL

    82.99
    -0.37 (-0.44%)
     
  • GOLD FUTURES

    2,328.80
    -13.30 (-0.57%)
     
  • NIKKEI 225

    38,460.08
    +907.92 (+2.42%)
     
  • HANG SENG

    17,201.27
    +372.34 (+2.21%)
     
  • DAX

    18,188.60
    +50.95 (+0.28%)
     
  • CAC 40

    8,124.36
    +18.58 (+0.23%)
     

Competition watchdog probes P&O and DFDS over charter agreement

P&O Ferries and DFDS are facing a probe by the UK competition watchdog (Gareth Fuller/PA) (PA Archive)
P&O Ferries and DFDS are facing a probe by the UK competition watchdog (Gareth Fuller/PA) (PA Archive)

The UK competition regulator has launched an investigation into a capacity sharing agreement between P&O Ferries and DFDS

In May, the two ferry operators entered a mutual space charter agreement on the Dover-Calais route in an effort to shorten freight customers’ waiting times.

The agreement was also intended to help improve the flow of traffic on the trade route between the UK and EU.

However, the Competition and Markets Authority (CMA) confirmed on Friday morning that it will now launch a probe into the move.

The CMA said it is investigating whether the agreement “has potential to prevent, restrict or distort competition within the UK.”

ADVERTISEMENT

P&O Ferries operates five vessels on the Dover-Calais route while Denmark-based operator DFDS runs three.

In May, the firms said the agreement would be limited to freight traffic between Dover and Calais and would not extend to the Dover-Dunkirk route operated by DFDS.

Together, the two lines carry more than 2.5 million lorries across the English Channel every year, making it by far the busiest trade route between the UK and Europe, the firms said.

A DFDS spokeswoman said: “The CMA is investigating whether a capacity sharing agreement between two ferry operators, P&O Ferries Holdings Limited and DFDS A/S, on the Dover-Calais route has potential to prevent, restrict or distort competition within the UK.

“A cooperation between two competitors may always attract attention.

“We believe that the agreement will cut down waiting times for our customers and reduce queues in the ports.

“The CMA has not reached any conclusions at this stage as to whether or not competition law has been infringed and has an open mind at this point.

“We will of course cooperate with the CMA and provide all required documentation.”

P&O Ferries declined to comment.

Read More

Ofgem demands overdue payments from five energy suppliers

Record fuel prices continue to rise

Union hails agreement to secure future of Rolls-Royce plant

Musical duo urge John Lewis to donate to charity after song copy claim

The Works incurs ‘significant’ costs amid supply pressures

Price of new homes soars faster than rise in building costs, reveals Redrow