The Office of Fair Trading (the "OFT") has increased the level of fees to be paid in relation to merger notifications.
Increased fees
The increased fees (see table below) will apply from 1 October 2012. The fees will vary according to the UK turnover of the acquired enterprise and apply as follows:
|
Charge band: value of the UK turnover of the enterprise(s) being acquired |
Fee on or after 1 October 2012 |
|
£20 million or less |
£40,000 |
|
Over £20 million but not over £70 million |
£80,000 |
|
Over £70 million but does not exceed £120 million |
£120,000 |
|
Exceeds £120 million |
£160,000 |
The cost of notifying a merger in the UK is now significant. The aim of the increases is to enable the merger control system to achieve a 60% rate of cost recovery. Whilst UK merger control remains a voluntary regime, companies will still need to assess carefully whether a notification is appropriate.
This article was written for Law-Now, CMS Cameron McKenna's free online information service. To register for Law-Now, please go to www.law-now.com/law-now/mondaq
Law-Now information is for general purposes and guidance only. The information and opinions expressed in all Law-Now articles are not necessarily comprehensive and do not purport to give professional or legal advice. All Law-Now information relates to circumstances prevailing at the date of its original publication and may not have been updated to reflect subsequent developments.
The original publication date for this article was 08/08/2012.