United Kingdom Internal Market Bill (HL Bill 135)

Part 3 continued    

(4)The externally qualified UK practitioner is to be treated for the purposes of the
provision (and any related provision) as if the practitioner’s external UK
qualifications or experience had been obtained in the relevant part.

(5)Subsection (6) applies to the extent that—

(a)5the differential application is within subsection (1)(c)(ii),

(b)because of that differential application, the provision has the effect of
imposing a more onerous requirement or restriction on an externally
qualified UK practitioner than it would have the effect of imposing on
a locally qualified practitioner, and

(c)10the external UK qualifications or experience are of a sort that cannot be
obtained in the relevant part.

(6)The externally qualified UK practitioner is to be treated for the purposes of the
provision (and any related provision) as if the practitioner’s external UK
qualifications or experience were the nearest equivalent qualifications or
15experience that can be obtained in the relevant part.

(7)Subsection (6) does not apply if the more onerous requirement or restriction
can reasonably be justified on the grounds of differences between the external
UK qualifications or experience and the nearest equivalent qualifications or
experience.

(8)20In this section—

• “locally qualified practitioner” means a UK resident all of whose
  qualifications and experience were obtained in the relevant part;

• “externally qualified UK practitioner” means a UK resident any of whose
  qualifications or experience was obtained in a part of the United
  25Kingdom other than the relevant part;

• “external UK qualifications or experience” means the qualifications or
  experience by virtue of which a UK resident is an externally qualified
  UK practitioner.

27 Interpretation of Part 3

(1)30References in this Part to the ability to practise a profession include reference
to the ability—

(a)to undertake activities that comprise the practice of a profession,

(b)to use a particular professional title, or

(c)to be registered, licensed or similarly authorised, where that is required
35in order to undertake such activities or use such a title.

(2)Subsection (3) applies if provision applying in a part of the United Kingdom —

(a)enables individuals to practise a profession—

(i)on the basis of certain qualifications or experience, or not on the
basis of any particular qualifications or experience, only
40following an individual assessment, and

(ii)on the basis of certain qualifications or experience, without the
need for an individual assessment, or

(b)generally enables individuals to practise a profession only following an
individual assessment, but provides for a less demanding assessment
45in some cases than in others according to what qualifications or
experience an individual has.

(3)References in section 22 to the ability to practise a profession are to be read, in
relation to the profession to which the provision relates, as references to the
ability to practise the profession—

(a)if the provision is within subsection (2)(a), without the need for an
5individual assessment, or

(b)if the provision is within subsection (2)(b), following an individual
assessment of the least demanding sort provided for.

(4)In subsections (2) and (3), “individual assessment” means an assessment of the
individual’s qualifications, experience, knowledge or skills.

(5)10For the purposes of this Part a qualification is “obtained” in the place where the
body that issues it is based.

A body is “based”—

(6)References in this Part (however expressed) to the effect of “provision” are to
the effect that it would have disregarding this Part.

(7)20In this Part—

• “profession” includes—

  (a)

  an occupation or trade, and

  (b)

  any subdivision of, or distinct specialism within, a profession;

• “provision” means—

  (a)

  25provision contained in legislation, or

  (b)

  provision not of a legislative character but made under, and
  given effect by, legislation;

• “qualification” means any record, issued by a body whose ordinary
  activities include the issuing of such records, of having attained a
  30particular standard following a course of study or training;

• “UK resident” means an individual who is lawfully resident in the United
  Kingdom; and for this purpose an individual is not lawfully resident in
  the United Kingdom if the individual requires leave to enter or remain
  in the United Kingdom but does not have it.

Part 4 35Independent advice on and monitoring of UK internal market

General provision about functions under Part 4

28 Functions of the CMA under Part 4: general provisions

(1)A regulatory provision is within the scope of this Part so far as it meets the
conditions in subsections (2) and (4).

(2)40The first condition is that the regulatory provision—

(a)imposes a relevant requirement, as defined for the purposes of the
mutual recognition principle for goods as that principle applies in
relation to a sale of goods in a part of the United Kingdom (see section
3),

(b)imposes a relevant requirement, as defined for the purposes of the non-
discrimination principle for goods as that principle has effect in relation
to a part of the United Kingdom (see section 6),

(c)imposes an authorisation requirement within the meaning given by
5subsection (3) of section 16 (services: overview),

(d)imposes a regulatory requirement within the meaning given by
subsection (4) of that section, or

(e)comprises provision—

(i)of the sort described in section 22(1) (access to professions on
10grounds of qualifications or experience), or

(ii)to which section 26 (professional regulation not within section
22: equal treatment) applies.

(3)In its application for the purposes of section 32 (advising etc on proposed
regulatory provisions on request) subsection (2) has effect as if—

(a)15for each occurrence of “imposes” there were substituted “imposes,
varies, or revokes”;

(b)in paragraph (e) for “comprises” there were substituted “comprises,
varies, repeals or revokes”.

(4)The second condition is that the regulatory provision applies to one or more of
20England, Wales, Scotland and Northern Ireland but does not apply to the
whole of the United Kingdom.

(5)In subsection (2)(c) the reference to an authorisation requirement does not
include an authorisation requirement to which section 18 does not apply by
virtue of section 17(1)(c).

(6)25In subsection (2)(d) the reference to a regulatory requirement does not include
a regulatory requirement to which sections 19 and 20 do not apply by virtue of
section 17(1)(d).

(7)For the purposes of the law relating to defamation, absolute privilege attaches
to any advice given, or report made, by the CMA (or a person acting on the
30CMA’s behalf) in the exercise of any functions of the CMA under this Part.

(8)In this Part “regulatory provision” means a provision—

(a)contained in legislation, or

(b)not of a legislative character but made under, and given effect by,
legislation.

(9)35But a provision is not a “regulatory provision” so far as it contains anything
that is necessary to give effect to the Northern Ireland Protocol.

(10)In this Part “the CMA” means the Competition and Markets Authority.

29 Objective and general functions

(1)In carrying out its functions under this Part the CMA must have regard to the
40objective in subsection (2).

(2)The objective is to support, through the application of economic and other
technical expertise, the effective operation of the internal market in the United
Kingdom (with particular reference to the purposes of Parts 1, 2 and 3).

(3)The following do not apply in relation to the carrying out of the CMA’s
45functions under this Part—

(a)section 25(3) of the Enterprise and Regulatory Reform Act 2013 (duty to
seek to promote competition), and

(b)sections 6(1)(b) (function of giving information or advice to the public)
and 7 (provision of information and advice to Ministers etc) of the
5Enterprise Act 2002.

(4)The CMA may give information or advice to the Secretary of State on matters
relating to any of its functions under this Part.

30 Office for the Internal Market panel and task groups

(1)The CMA may authorise an Office for the Internal Market task group
10constituted under Schedule 4 to the Enterprise and Regulatory Reform Act
2013 to do anything required or authorised to be done by the CMA under this
Part (and such an authorisation may include authorisation to exercise the
power conferred on the CMA by this subsection).

(2)Schedule 3 contains provision about the Office for the Internal Market panel
15and Office for the Internal Market task groups.

Reporting, advisory and monitoring functions

31 Monitoring and reporting on the operation of the UK internal market

(1)The CMA may from time to time undertake a review of any matter it considers
relevant to assessing or promoting the effective operation of—

(a)20the internal market in the United Kingdom;

(b)provisions of Parts 1 to 3 (for example with regard to particular sectors
of the internal market, or trade in different parts of the United
Kingdom).

(2)The CMA may receive and consider any proposals that may be made or
25referred to it for undertaking a review in exercise of its powers under
subsection (1).

(3)The CMA may prepare and publish a report on any matter falling within
subsection (1).

(4)Any report published by the CMA under subsection (3) is to be published in
30such manner as it considers appropriate.

(5)The CMA must, no later than 31 March 2023 and at least once in every relevant
12-month period, prepare a report on—

(a)the operation of the internal market in the United Kingdom, and

(b)developments as to the effectiveness of the operation of that market.

(6)35The CMA must, no later than 31 March 2023 and at least once in every relevant
5-year period, prepare a report on—

(a)the effectiveness of the operation of provisions of Parts 1 to 3, and

(b)the impact of the operation of those Parts on the operation and
development of the internal market in the United Kingdom.

(7)40The CMA must arrange for a copy of the report prepared under subsection (5)
or (6) for any period to be laid before—

(a)each House of Parliament,

(b)the Scottish Parliament,

(c)Senedd Cymru, and

(d)the Northern Ireland Assembly.

(8)So far as a report under this section is concerned with the effective operation of
5the internal market in the United Kingdom, the report may consider (among
other things)—

(a)developments in the operation of the internal market, for example as
regards—

(i)competition,

(ii)10access to goods and services,

(iii)volumes of trade (or of trade in any direction) between
participants in different parts of the United Kingdom, and

(b)the practical implications of differences of approach embodied in
regulatory provisions, falling within the scope of this Part, that apply to
15different parts of the United Kingdom.

(9)In this section—

• “relevant 12-month period” means—

  (a)

  the period of 12 months beginning with 1 April 2023, and

  (b)

  each successive period of 12 months;

• 20“relevant 5-year period” means—

  (a)

  the period of 5 years beginning with 1 April 2023, and

  (b)

  each successive period of 5 years.

32 Advising etc on proposed regulatory provisions on request

(1)Where the condition in subsection (3) is met, the CMA may at the request of a
25relevant national authority give advice, or provide a report, to the authority
with respect to a qualifying proposal.

(2)In subsection (1) “qualifying proposal” means a proposal of—

(a)the requesting authority, or

(b)a person or body on whose behalf the requesting authority makes the
30request,

that a regulatory provision applying to the relevant part of the United
Kingdom should be passed or made.

(3)The condition is that it appears to the requesting authority that—

(a)the regulatory provision to which the proposal relates would fall
35within the scope of this Part and be within relevant competence, and

(b)the proposal should be further considered in the light of the
significance of its potential effects on the operation of the internal
market in the United Kingdom.

(4)Advice given, or a report provided, under this section may consider among
40other things the potential economic effects of the proposed regulatory
provision on the effective operation of the internal market in the United
Kingdom, including—

(a)indirect or cumulative effects;

(b)distortion of competition or trade;

(c)45impacts on prices, the quality of goods and services or choice for
consumers.

(5)Subsections (1) to (3) apply in relation to two or more relevant national
authorities acting jointly as those subsections apply in relation to a single
relevant national authority.

(6)A request under subsection (1) must set out the reasons for making it.

(7)5If the CMA declines to provide a report requested under subsection (1) it
must—

(a)give to the requesting authority (or if more than one, to each of them
simultaneously) a notice of its reasons for doing so, and

(b)publish the notice in such manner as it considers appropriate.

(8)10Where the CMA gives advice or reasons, or provides a report, under this
section to two or more relevant national authorities acting jointly, the CMA
must give the advice or reasons, or provide the report, to each of them
simultaneously.

(9)Where the CMA has on a particular day (“day 1”) given advice, or provided a
15report, under subsection (1) the CMA must provide a copy of the advice or
report to each relevant national authority who did not request the advice or
report—

(a)as soon as reasonably practicable after the requesting authority (or each
requesting authority) has informed the CMA that it may do so, or

(b)20(if sooner), by the end of the 15th day after day 1.

(10)Where the CMA provides a report under this section it must, as soon as
reasonably practicable after it has fully complied with subsection (9), publish
the report in such manner as it considers appropriate.

(11)In this section “relevant part of the United Kingdom”, in relation to a relevant
25national authority, means—

(a)in the application of this section to the Scottish Ministers as relevant
national authority, Scotland;

(b)in the application of this section to the Welsh Ministers as relevant
national authority, Wales;

(c)30in the application of this section to a Northern Ireland department as
relevant national authority, Northern Ireland;

(d)in the application of this section to the Secretary of State as relevant
national authority, any part of the United Kingdom.

33 Provision of report on request after regulatory provision is passed or made

(1)35The CMA may, at the request of a relevant national authority, provide a report
to the authority on the impact on the effective operation of the internal market
in the United Kingdom of a regulatory provision specified in the request
which—

(a)is passed or made after the day on which this section comes into force,

(b)40falls within the scope of this Part, and

(c)applies to the relevant part of the United Kingdom and is within
relevant competence.

(2)A relevant national authority may not request a report from the CMA under
subsection (1) unless the authority has considered whether any other person or
45body is qualified to provide an independent report on the matter.

(3)Subsections (1) and (2) apply in relation to two or more relevant national
authorities acting jointly as those subsections apply in relation to a single
relevant national authority.

(4)A request under subsection (1) must set out the reasons for making it.

(5)5If the CMA declines to provide a report requested under subsection (1) it
must—

(a)give the requesting authority a notice of its reasons for doing so, and

(b)publish the notice in such manner as it considers appropriate.

(6)Where the CMA provides a report under this section—

(a)10if the report was requested by two or more relevant national authorities
acting jointly, the CMA must provide the report to each of them
simultaneously;

(b)the CMA must, as soon as reasonably practicable after complying with
paragraph (a), publish the report in such manner as it considers
15appropriate.

(7)In this section “the relevant part of the United Kingdom” means—

(a)in the application of this section to a relevant national authority who is
the Scottish Ministers, Scotland;

(b)in the application of this section to a relevant national authority who is
20the Welsh Ministers, Wales;

(c)in the application of this section to a relevant national authority who is
a Northern Ireland department, Northern Ireland;

(d)in the application of this section to a relevant national authority who is
the Secretary of State, any part of the United Kingdom.

34 25Report on request on provision considered to have detrimental effects

(1)The CMA may, at the request of a relevant national authority, provide a report
to the authority on the economic impact of a regulatory provision passed or
made after the day on which this section comes into force, where—

(a)the regulatory provision falls within the scope of this Part, and

(b)30the requesting authority considers that the operation of the regulatory
provision is, or may come to be, detrimental to the effective operation
of the internal market in the United Kingdom.

(2)The CMA’s function under subsection (1) is exercisable regardless of whether
or not a relevant national authority has exercised the power under section 32(1)
35in relation to the regulatory provision in question.

(3)A relevant national authority may not request a report from the CMA under
subsection (1) unless it has considered whether any other person or body is
qualified to provide an independent report on the matter.

(4)Subsections (1) to (3) apply in relation to the making of a request by two or
40more relevant national authorities acting jointly as they apply in relation to the
making of a request by a single relevant national authority.

(5)A request under subsection (1) must set out the reasons for making it.

(6)If the CMA declines to provide a report requested under subsection (1) it
must—

(a)give the requesting authority (or each of them simultaneously, if more
than one) a notice of its reasons for doing so, and

(b)publish the notice in such manner as it considers appropriate.

(7)Where the CMA provides a report under subsection (1)—

(a)5it must provide a copy of the report to each relevant national authority
who did not request the report, and

(b)the provision of the report to the requesting authority (or each
requesting authority) and each recipient mentioned in paragraph (a)
must be simultaneous.

(8)10As soon as reasonably practicable after the condition in subsection (9) has been
met, but in any case no later than the end of the period of 6 months beginning
with the day on which the CMA complies with subsection (7), the CMA must
arrange for a copy of the report to be laid before—

(a)each House of Parliament,

(b)15the Scottish Parliament,

(c)Senedd Cymru, and

(d)the Northern Ireland Assembly.

(9)The condition mentioned in subsection (8) is that each relevant national
authority has notified the CMA that it does not require any further time for
20private consideration of the report provided or copied to it under this section.

(10)The CMA must publish the report in such manner as it considers appropriate,
but may not do so until it has made the arrangements mentioned in subsection
(8) and the report has been laid in accordance with one or more of paragraphs
(a) to (d) of that subsection.

35 25Statements on reports under section 34

(1)Subsection (2) applies where a report (or copy of it) relating to a regulatory
provision has been laid before each House of Parliament, the Scottish
Parliament, Senedd Cymru and the Northern Ireland Assembly in accordance
with section 34(8).

(2)30The following authorities must make a statement on the report to Parliament—

(a)the responsible authority for each affected part of the United Kingdom;

(b)the appropriate authority in relation to each relevant national authority
which requested the CMA’s report.

(3)In subsection (2) “to Parliament” means—

(a)35where the responsible authority or (as the case may be) appropriate
authority is the Scottish Ministers, to the Scottish Parliament;

(b)where the responsible authority or (as the case may be) appropriate
authority is the Welsh Ministers, to Senedd Cymru;

(c)where the responsible authority or (as the case may be) appropriate
40authority is the First Minister and deputy First Minister acting jointly,
to the Northern Ireland Assembly.

(4)A duty of the Secretary of State under subsection (2) to make a statement to
Parliament is to be discharged by laying a copy of the statement before each
House of Parliament.

(5)45In this section—

• “affected part of the United Kingdom”, in relation to a regulatory
  provision, means a part of the United Kingdom to which the provision
  applies;

• “appropriate authority”, in relation to a relevant national authority who is
  5the Secretary of State, the Scottish Ministers or the Welsh Ministers,
  means that relevant national authority;

• “appropriate authority”, in relation to a relevant national authority who is
  a Northern Ireland department, means the First Minister and deputy
  First Minister acting jointly.

(6)10In this section “responsible authority”, in relation to Scotland, means—

(a)if the regulatory provision is not within Scottish devolved competence,
the Secretary of State;

(b)otherwise, the Scottish Ministers.

(7)In this section “responsible authority”, in relation to Wales, means—

(a)15if the regulatory provision is not within Welsh devolved competence,
the Secretary of State;

(b)otherwise, the Welsh Ministers.

(8)In this section “responsible authority”, in relation to Northern Ireland,
means—

(a)20if the regulatory provision is not within Northern Ireland devolved
competence, the Secretary of State;

(b)otherwise, the First Minister and deputy First Minister acting jointly.

(9)In this section “responsible authority”, in relation to England, means the
Secretary of State.

36 25Reports under Part 4

Where under this Part the CMA publishes (or arranges for the publication of)
a report it may exclude from the report—

(a) any information the disclosure of which the CMA thinks is contrary to
the public interest;

(b)30commercial information the disclosure of which the CMA thinks might
significantly harm the legitimate business interests of any person;

(c)information relating to the private affairs of an individual the
disclosure of which the CMA thinks might significantly harm the
individual’s interests.

37 35General advice and information with regard to exercise of functions

(1)The CMA must prepare and publish general advice and information about
how it expects to approach the exercise of its functions under sections 31 to 34.

(2)Advice (or information) published by virtue of subsection (1) may include
advice (or information) about the factors the CMA may take into account in
40considering whether to exercise a function conferred by any of those sections,
including—

(a)in cases where a person or body has requested the exercise of the
function in accordance with the section concerned, and

(b)in other cases.

(3)45The CMA may at any time publish revised, or new, advice or information.

(4)Any advice or information published by the CMA under this section must be
published in such manner as it considers appropriate.

Information-gathering powers

38 Information-gathering powers

(1)5The powers under this section may be exercised for the purpose of assisting the
CMA in carrying out any of its functions under—

(a)section 31, 32, 33 or 34; or

(b)section 5 of the Enterprise Act 2002 (acquisition of information etc) in
connection with a matter in relation to which the CMA proposes to
10undertake a review, prepare a report, or give advice under any of the
sections mentioned in paragraph (a).

(2)The CMA may by notice in writing require a person to produce any document
which—

(a)is specified or otherwise identified in the notice; and

(b)15is in that person’s custody or under that person’s control.

(3)The CMA may by notice in writing require any person who carries on a
business to provide such estimates, forecasts, returns or other information as
may be specified or otherwise described in the notice.

(4)A notice under subsection (2) or (3) may specify—

(a)20the time and place at which,

(b)the form and manner in which, and

(c)the person to whom,

a document or information is to be produced or provided.

(5)A notice under subsection (2) or (3) may require the provision of a legible and
25intelligible copy of information which is recorded otherwise than in legible
form.

(6)A notice under subsection (2) or (3) must—

(a)state the purpose for which the notice is given, including which of the
functions mentioned in subsection (1) is relevant; and

(b)30include information about the potential consequences of not complying
with the notice.

(7)The person to whom any document is produced in accordance with a notice
under subsection (2) or (3) may copy the document.

(8)A notice under subsection (2) or (3) may not require a person—

(a)35to produce or provide any document or information which the person
could not be compelled to produce, or give in evidence, in civil
proceedings before the court; or

(b)to go more than 10 miles from the person’s place of residence, unless
the person’s necessary travelling expenses are paid or offered to them.

(9)40In this section “the court” means—

(a)in relation to England and Wales or Northern Ireland, the High Court;
and

(b)in relation to Scotland, the Court of Session.