Watchdog 'cannot carry out competition functions'

A consumer watchdog "is not in a position to carry out" competition law functions due to insufficient funding, bosses have said.

Guernsey Competition and Regulatory Authority (GCRA) is an independent body that works to ensure fair and efficient markets in the island.

In its plan, the GCRA said it faced "challenges" at a time of "significant and extended uncertainty", and an ongoing review into competition legislation and regulations made creating a long-term work plan difficult.

The Committee for Economic Development said it provided a grant of £150,000 in 2025, and again in 2026, and added "there has been no reduction". GCRA funding also comes from telecom licences and application fees.

The 2026 plan said: "Competition law work is generally funded through the GCRA's competition law grant, which is provided by the committee.

"Due to pressure on public expenditure, and as communicated by the committee toward the end of 2025, the competition grant for 2026 has been set at a level which will require the GCRA to scale back its competition work significantly in 2026.

"Regrettably this has meant the GCRA is not in a position to carry out its competition functions other than in specific areas where there are alternative sources of funding."

The committee said it had met with and "encouraged the GCRA to look at how it organises its costs, overheads and revenue".

"Withdrawing all work on competition matters would be a decision for the board of the GCRA," the committee added.

According to its annual reports, its income was about £995,000 in 2023, and £998,590 in 2024, including competition law grants of £272,000 in 2023, and £276,000 in 2024.

The regulatory body said its 2026 work plan would be reconsidered in the second half of the of the year when a review was anticipated to be completed.

The GCRA is also due to advise and participate in the policy target for Guernsey to achieve net zero carbon emissions by 2050.

The regulator maintained that, despite the issues it faced, it would continue to ensure "regulated businesses operate fairly".