91998E0863

WRITTEN QUESTION E-0863/98 by Graham Mather (PPE) to the Commission (26 March 1998)

Subject: Possible banking mergers in the UK

Concerns have been expressed recently in a number of quarters about possible forthcoming banking mergers in the UK. The Banking Insurance and Finance Union (to whom I am an adviser) in particular has expressed concern that such mergers could lead to reductions in competition, employment and coverage of smaller rural communities.

While recognising that the Commission must judge all merger cases on their individual merits:

1. Is the Commission aware of the situation regarding possible mergers in this sector in the UK; and

2. does it have any observations to make on this matter?

Answer given by Mr Van Miert on behalf of the Commission (7 May 1998)

The Commission is aware that there has been unconfirmed press speculation about the possibility of future banking mergers in the United Kingdom. Were there to be any such merger situation giving rise to a concentration with a Community dimension to which the so-called Merger Regulation, Council Regulation (EEC) No 4064/89 of 21 December 1989 on the control of concentrations between undertakings ((OJ L 257, 21.9.1990. )) would apply, then it would be assessed by the Commission in accordance with the provisions of the Regulation.

Notifications of concentrations received by the Commission are made public by means of a notice in the Official journal and interested parties are invited to comment.