The Government is ramping up efforts to enhance competition across the economy, aiming to improve productivity and reduce the cost of living for New Zealanders.

Commerce and Consumer Affairs Minister Andrew Bayly confirmed that public consultation on key aspects of a comprehensive competition review has now closed.

"Improved competition is a top priority for this Government," said Bayly.

"When competition is working well, New Zealand businesses—both big and small—can thrive. This has knock-on benefits for consumers, including greater choice and lower prices in key sectors like fuel, groceries, and banking."

The review, launched in December 2023, focuses on modernising the Commerce Act, which has not undergone a major revision in over 20 years.

According to Bayly, outdated competition laws have contributed to issues such as reduced innovation, limited consumer choices, and rising prices.

A major component of the review is merger control settings, with the Government exploring stricter regulations to prevent anti-competitive mergers.

"Many of these effects could have been avoided if we had more robust merger controls in place," Bayly noted. "Improved settings can lead to better competition and Kiwis getting a fairer deal."

The review also considers granting regulators new code-making powers and equipping them with modern tools to address anti-competitive conduct.

Bayly stressed that past regulatory changes have largely been sector-specific, while this broader review seeks to improve the overarching competition framework, reducing the need for reactive regulations in individual industries.

The public consultation phase provided businesses, consumer groups, and industry stakeholders with an opportunity to contribute feedback on proposed changes.

"Thank you to those who provided feedback during this consultation period. Your views will help shape changes to our competition settings to support competitive, dynamic markets that will boost economic productivity and living standards," Bayly said.

With consultation now closed, the Government is expected to announce next steps in due course.

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