Legislation
Consumer Protection: These laws are designed to protect customers from being misled. For example:
- Sale of Goods Act (requires goods to be of the purpose advertised)
- Trade Description Act (the good must do what is advertised)
Employee Protection:
These laws protect employees from being exploited by businesses. For example:
- Minimum wage (means all workers are paid a decent wage)
- Right to a contract of employment (better job security)
Environmental Protection:
These laws protect the environment from damage by businesses. For example:
- Landfill Tax (heavily tax to discourage the use of landfills
- Environmental Protection Act (risk assessments to be carried out by companies)
Competition Policy:
The Competition and Markets Authority was established to launch investigations into cartels, takeovers and anti-competitive practises such as
- Increased prices
- Restricted consumer choice
- Raise barriers to entry
- Market share – collusion – cartels
- Increases innovation
- Reduces business costs – grow to exploit economies of scales
- Increased efficiency
- Slow down mergers or takeovers which may lead to business delays
- May force sale of assets if mergers/takeovers lead to too great of held market share