The UK Competition Act 1998 prohibits agreements whose object or effect is to prevent, restrict or distort competition, and the abuse of a dominant position; merger control and market investigations are dealt with separately under the Enterprise Act 2002. Individuals who take part in cartels (such as price fixing, market sharing or bid rigging) can face criminal penalties of up to 5 years' imprisonment, and directors at fault could be disqualified. In addition, those affected by the anti-competitive practice can sue for damages.

UK law prohibits any agreement that restricts, prevents or distorts competition within the UK or part of it. This prohibition can also apply where your business is dealing with another business at a different level within the supply chain (for instance, if you are a manufacturer or are dealing with a manufacturer), unless there is an applicable exemption, such as the block exemption for vertical agreements. Fines of up to 10% of the turnover may be imposed by the UK compeition authorities for infringement of the 1998 Act.