Irish Examiner View: Match new powers with tools to do job

The CCPC’s powers will be extended by the end of the year following the completion of an investigation into the motor insurance industry instigated after allegations that insurers were “signalling” price increases to each other to the great disadvantage of consumers. Picture: Leah Farrell / RollingNews.ie

The announcement yesterday that Government will “significantly strengthen” the powers of the Competition and Consumer Protection Commission (CCPC) is welcome if belated. The agency’s powers will be extended by the end of the year following the completion of an investigation into the motor insurance industry instigated after allegations that insurers were “signalling” price increases to each other to the great disadvantage of consumers.

At this stage, the standard and unfortunately necessary caveat must cloud that welcome. Unless the watchdog is properly resourced, with staff and legislative supports, a culture shift too, to discharge its new responsibilities, then it will be just another sorry example of legislation rendered meaningless by underwhelming application and paper-thin sanctions. Welcoming the change, Tánaiste Leo Varadkar insisted that “the main thing we need to see now is a fall in premiums ... The new law will significantly strengthen the CCPC’s powers, giving them the ability to administer significant fines for breaches of competition law.”