The Enterprise Act 2002 (Specification of Additional Section 58 Consideration) Order 2026

James Wild Excerpts

Monday 26th October 2026 General Committees

[James Wild (North West Norfolk) (Con)]

As the Secretary of State set out, the order introduces a new public interest test for mergers, enabling Government intervention where a transaction could threaten continuity of telecoms services. I think the objectives to protect critical infrastructure, safeguard public services and ensure that vulnerable customers are not left without connectivity will be supported across the Committee. However, the context for the order is a specific case concerning BT, TalkTalk and the 2.5 million customers involved—including, BT informs me, 5,000 in my North West Norfolk constituency. It also highlights regulatory gaps when a company in this sector may simply fold, and the need to protect customers. We will not oppose the order, but it raises important questions about the speed of the process, the potential impact on competition and, importantly, investor sentiment. I welcome the fact that the Secretary of State thought it appropriate for her to come to the Committee, which underlines the concerns that are shared across parts of the sector.

Let me turn first to the speed at which the intervention notice and the statutory instrument have come forward. As the Secretary of State said, she issued the notice on 5 October. The Competition and Markets Authority was then given only 10 working days to consider the transaction. Interested parties in a dynamic sector had only a few days to make representations on a detailed transaction. There is a concern that the transaction will further entrench BT’s significant role in the retail and wholesale markets. The Competition and Markets Authority has completed the phase 1 report, but we do not know what is in it or whether the Secretary of State will judge that a phase 2 study is appropriate. Can the Secretary of State confirm that adding this intervention power to the Enterprise Act through the order will provide the Government with a basis to override any competition concerns raised by the CMA or other parties?

Of course, vulnerable consumers and public services need to be protected. Having worked in the telecoms sector a little while ago, when T-Mobile was still a retail brand in the UK, I am a little surprised that existing legislation, general conditions and other Ofcom powers could not have been used in this scenario. Can the Secretary of State assure the Committee that all alternatives were looked at? Outwith the order, is she looking further at this point and at how a supplier of last resort regime could be introduced, with reference to models from other essential services?

Clearly, the transaction raises competition issues. Given the comments that were made when the intervention notice was issued and the approach taken with the order, the Government risk creating the impression that the outcome has effectively been decided in advance, limiting the ability of the competition authority to discharge its role in full. We should be very careful before setting aside competition implications for wider public interest considerations, particularly when the goal set by the Secretary of State—avoiding the loss of service—has been achieved. Clearly, we want to avoid any precedent where financial distress enables further market consolidation without appropriate scrutiny.

How do the Government intend to reassure inward investors that the principle of encouraging competitive markets and investment remains to the fore? Can the Secretary of State assure other players in the sector that she will consider seriously the competitive impacts that may have been raised by the CMA—they have certainly been raised by a number of companies that have spoken to me—when she decides what the next steps are? Is she confident that the CMA had sufficient opportunity, in only 10 working days, to fully assess the implications of the transaction? Can she indicate when she might respond to the referral?

We support the objective of the order in protecting consumers and maintaining vital telecoms services; however, we also support effective competition, proper scrutiny and confidence in the independence of the process. I therefore look forward to the Secretary of State’s response to the concerns and questions I have raised.