MPs have approved Doug Gurr as fit 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 that Mr Gurr has “the professional competence and independence required” 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 senior executive at Amazon, was questioned extensively by MPs about his ability to act independently, particularly given the circumstances surrounding the removal of the previous chair amid pressure to align the watchdog more closely with the Government’s pro-growth agenda. Committee members made clear that the CMA must not prioritise investment or consolidation over consumer welfare, warning that growth cannot come at the expense of competition.

MPs also expressed unease about potential conflicts of interest arising from Gurr’s long and senior career at Amazon, one of the world’s largest technology companies and a business that could fall within the CMA’s new digital market regime. The committee suggested ministers consider whether he should recuse himself from any future decision about designating Amazon with 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 staff numbers at the regulator have almost doubled over the past decade, yet competitive pressures in the UK economy have not improved. They criticised what they described as slow market investigations during the cost-of-living crisis and weak enforcement action in certain high-profile cases.

Concerns were also 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 secured from Google and Apple regarding their mobile ecosystems. The committee questioned whether the watchdog had been sufficiently assertive in deploying its new statutory powers.

Internal challenges within the CMA were also highlighted. A recent budgeting error forced a 10 per cent reduction in staff, and internal surveys suggest that only around a quarter of employees expect to remain at the organisation for the next three years. MPs indicated that rebuilding morale and confidence inside the regulator would be a significant task for the new chair.

Another issue scrutinised during the hearing was the time commitment attached to the role. The CMA chair is currently expected to dedicate two days a week to the position. The committee questioned whether that allocation is sufficient for a regulator operating at the centre of politically sensitive and economically significant decisions, particularly during periods of crisis or intense scrutiny.

While the committee ultimately endorsed Mr Gurr’s appointment, it warned that it is “not the hallmark of a robust recruitment process” to have secured only one appointable candidate for such a critical role.

Liam Byrne, the committee’s chair, said the CMA sits at the heart of whether markets work for consumers or against them. He said that although Mr Gurr is professionally competent to take on the job, ministers must take steps to maximise confidence in the appointment.

“Growth cannot mean greater concentration,” Byrne said. “Investment cannot come at the expense of consumer welfare. And operational independence must be protected in fact, not just in theory.”

The final decision now rests with the Business Secretary, but the committee’s report makes clear that Parliament will be watching closely to ensure that the CMA remains an independent and effective guardian of competition in the UK economy.

Paul Jones

Harvard alumni and former New York Times journalist. Editor of Business Matters for over 15 years, the UKs largest business magazine. I am also head of Capital Business Media’s automotive division working for clients such as Red Bull Racing, Honda, Aston Martin and Infiniti.

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