Explanatory note

Agreements between undertakings, decisions by associations of undertakings or concerted practices which may affect trade within the United Kingdom, and have as their object or effect the prevention, restriction or distortion of competition within the United Kingdom (“agreements”) are prohibited by Chapter I of the Competition Act 1998. Where there are exceptional and compelling reasons of public policy to do so, the Secretary of State may exclude agreements or descriptions of agreements from that prohibition.

This Order excludes any agreement where the purpose of the agreement is to enable the parties to provide or receive maintenance and repair services for surface warships and the agreement does not have as its object or effect the prevention, restriction or distortion of competition within the United Kingdom except in relation to the market for maintenance and repair of surface warships.

A full regulatory impact assessment of the effect that this Order will have on the costs of business has been prepared by the Ministry of Defence and is available from the Defence Logistics Agency, Ministry of Defence, Abbey Wood, Bristol, BS34 8JH and can also be found at http://www.mod.uk/DefenceInternet/AboutDefence/CorporatePublications/PolicyStrategy/SurfaceWarshipSupportRegulatoryImpactAssessmentria.htm