Action before reference
The OFT carried out a market study into PPI.
See the PPI
that led to the market study
Reason for reference
Date of reference: 7 February 2007
The OFT has referred the Payment Protection Insurance (PPI) market to
the Competition Commission (CC) for investigation. This decision comes
after a period of public consultation, which follows the OFT's earlier
proposal to refer the PPI market to the CC on 19 October 2006 following
a market study.
The evidence presented to the OFT during the consultation period has not
altered the concern that the following features of the PPI could have an
adverse effect on competition. These are structural features, conduct of
firms and conduct of consumers. The OFT consider that the supply of all
payment protection insurance services to non-business customers in the
United Kingdom should be referred for the CC's investigation with the
exception of store card payment protection insurance services.
Published 7 February 2007