Scottish Pubs Code Adjudicator (Duty to Publish Certain Information) Regulations 2024 and Scottish Pubs Code Adjudicator (Miscellaneous Listings) Order 2024: Business and Regulatory Impact Assessment

Competition Assessment

The policy concerns the statutory sharing, publication and recording of information by the Adjudicator and will not have a direct impact on competition.

The creation of a statutory framework regulating pub-owning businesses’ relationships with tenants may change the tied-pub market indirectly. The introduction of a levy for pub-owning businesses could also act as a barrier to new potential pub-owning businesses, increasing the barriers to entry and potentially reducing competition.

Responses to the four Competition and Market Authority (CMA) assessment questions used to provide an initial assessment of competition are as follows:

1. Will the measures directly or indirectly limit the number or range of suppliers?

The measures in themselves are small and they relate to the sharing, publication and recording of information by the Adjudicator. The levy on pub-owning businesses will be introduced regardless of these measures, although these measures could slightly increase the cost of the levy.

Option 1 for both SSIs is the status quo and would have no competition effect.

Option 2 for both SSIs could slightly increase the cost of the levy and may indirectly reduce competition if the additional levy costs cause pub-owning businesses to exit the market.

2. Will the measures limit the ability of suppliers to compete?

The situation is as described above under Question 1.

3. Will the measure limit suppliers’ incentives to compete vigorously?

The situation is as described above under Question 1.

4. Will the measure limit the choices and information available to consumers?

The policy is expected to increase information available for consumers. An in-depth competition impact assessment has been considered but is not required.