19th Mar 2015 08:10
LONDON (Alliance News) - The UK Competition and Markets Authority on Thursday said an association of estate agents and lettings agents based in Hampshire, including a unit of FTSE 250-listed Countrywide PLC and a unit of Trinity Mirror PLC, have been hit by a fine after admitting to breaching competition law.
The competition regulator said Three Counties Estate Agents Ltd and Trinity Mirror Southern Ltd have agreed to pay penalties totalling more than GBP775,000 following an investigation into advertising of estate agents' fees.
The CMA said three members of the Three Counties association - Castles Property Services Ltd, Hamptons Estates Ltd, which is owned by Countrywide PLC, and Waterfords Ltd - entered into an agreement which prevented members of the association from advertising fees and discounts in the Surrey & Hants Star Courier, published by Trinity Mirror Southern Ltd, a unit of Trinity Mirror.
Waterfords and Countrywide's Hamptons extended the scope of the agreement, with the cooperation of Trinity Mirror Southern, the CMA says, to prevent any agents from advertising fees or discounts in the newspaper.
The CMA launched the investigation over concerns the arrangements between the estate agents and the publisher were designed to reduce the competitive pressure on estate agents operating in the local area. It added the restriction made it more difficult for competitors to enter the market through using the levels of their fees to attract customers.
"These companies have admitted to making arrangements which aimed to reduce competition on fees and could have made it harder for new and innovative businesses to compete. The parties have also agreed to pay significant fines," said CMA Antitrust Enforcement Senior Director Ann Pope.
By Sam Unsted; [email protected]; @SamUAtAlliance
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