The Competition and Markets Authority is the principal competition regulator in the UK. It is a non-ministerial government department responsible for strengthening business competition and preventing and reducing anti-competitive activities. 

The CMA launched an initial review looking at consumer experiences and business practices in the provision of veterinary services for household pets in the UK in September 2023 and published a report and ‘Consultation on proposed Market Investigation Reference’ in March 2024. The review explored how well the market is working for pet owners, including whether they are receiving the information they need at the right time to get appropriate treatment for their pets. The CMA’s provisional concerns are:  

1. Consumers may not be given enough information to enable them to choose the best veterinary practice or the right treatment for their needs. 
2. Concentrated local markets, in part driven by sector consolidation, may be leading to weak competition in some areas. 
3. Large integrated groups may have incentives to act in ways which reduce choice and weaken competition. 
4. Pet owners might be overpaying for medicines or prescriptions. 
5. The regulatory framework is outdated and may no longer be fit for purpose. 

The CMA is now proposing to launch a Market Investigation Reference to look at these concerns in more depth. 

A Market Investigation is a more in-depth investigation that would allow the CMA to use legal powers to require organisations to provide relevant information to allow it to investigate the relevant veterinary markets in more detail. It would also allow the CMA to legally enforce any remedies it suggests. 

We do not yet know if the CMA will go to a MIR or what that will find. The initial CMA report however highlights some areas that they feel veterinary businesses can already improve upon: 

• Transparency around pricing – price lists, estimates, discussion (contextualised care) 
• Transparency of ownership of the practice and of related services 
• Prescribing and dispensing veterinary medicines 

The Veterinary Surgeons Act (1966) (VSA) is very old and regulates individual vets not veterinary businesses. This means the RCVS has little control over the commercial and client facing aspects of veterinary practice. A mandatory Practice Standards Scheme might be one outcome of the CMA investigation, as well as broader reform of the VSA, which BVA and the RCVS continue to lobby for.