Consultation: Draft guidance on the operation of the Subsidy Advice Unit

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Give your views on the draft statutory guidance on the operation of the Subsidy Advice Unit

The Competition and Markets Authority (CMA) has launched a consultation on its draft guidance on the operation of the Subsidy Advice Unit (SAU), and the Statement of Policy which explains how the SAU will approach the enforcement of its information-gathering powers.

What is the Subsidy Advice Unit?

The Subsidy Advice Unit (SAU) is a new CMA function created by the Subsidy Control Act 2022. The SAU will assist public authorities in awarding subsidies that comply with the requirements of the Act, which regulates the giving of subsidies from public resources. It will do this by providing independent non-binding advisory reports regarding certain subsidies that are referred by public authorities, taking into account any effects of the proposed subsidy or scheme on competition or investment within the UK.

The SAU will also periodically monitor and review the operation of the subsidy control regime, its impact on competition and on investment within the UK, and publish details of the advisory reports it has prepared. 

Consultation description

The CMA is seeking views on its draft guidance on the operation of the Subsidy Advice Unit (SAU). The guidance explains the role of the Subsidy Advice Unit, to be established within the CMA by the Subsidy Control Act 2022 (the Act) to provide independent non-binding advisory reports regarding certain subsidies that are referred by public authorities, and to periodically monitor and review the operation of the subsidy control regime.

The CMA is also seeking views on the Statement of Policy in relation to the enforcement by the SAU of its information-gathering powers. To fulfil its monitoring functions the SAU may need to gather information from public authorities, businesses or individuals. The Act gives the SAU the powers to issue a notice requiring a person to provide information or documents and to impose penalties where an information notice is not complied with. The nature of the penalties that the SAU can apply is set out in section 43 of the UK Internal Market Act 2020.

Consultation documents:

Responses should be submitted by email no later than 23:45 on 10 August 2022 and should be sent to: SAU@cma.gov.uk.

First published 15 July 2022

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