'Unprecedented response' vindicates CMA's decision to review vets market: Greg Wright

The Competition and Markets Authority (CMA) has revealed it is launching a formal market investigation after an initial review of the vets market raised “multiple concerns”.

The CMA found consumers might not be provided with “basic information” such as price lists and prescription costs, and are not always informed of the cost of treatment before agreeing to it. This means they may be overpaying for medicines. About 60 per cent of vet practices now belong to large groups, up from 10 per cent a decade ago. Many independent – and popular - vet practices have been snapped up by bigger chains in recent years.

The review was launched in September after concerns were raised that pet owners were not getting value for money. There were around 56,000 responses to the “call for information” from both the public and veterinary professionals, which the CMA’s chief executive Sarah Cardell described as unprecedented.

She added “We have heard concerns from those working in the sector about the pressures they face, including acute staff shortages, and the impact this has on individual professionals.

"But our review has identified multiple concerns with the market that we think should be investigated further. Given these strong indications of potential concern, it is time to put our work on a formal footing.”

Russ Mould, the investment director at AJ Bell, said: “Pet owners are happy to splash the cash on their beloved furry friends, yet the competition watchdog is worried that they’re paying far too much for medicines or prescriptions.

“These concerns have got so serious that the CMA is now launching a formal investigation. The implication is that veterinarians have been exploiting their customer base either through overcharging or not giving enough information so customers can choose from a range of treatments priced at different levels. The watchdog also implies that some vet practices are too dominant in parts of the country and that is hurting competition.”

Pets At Home, one of the largest pet care businesses, said it was “incredibly disappointed” at the CMA's findings which it said did not fully reflect its business model of locally-owned vet practices, which have clinical and operational freedom.

The fact that more than 50,000 people responded to the call for evidence shows there is widespread concern about this emotive issue which potentially affects millions of consumers.

The sheer volume of evidence vindicates the CMA’s decision to launch a formal investigation which must place the needs of the customer first. Many people couldn’t imagine life without their pet and will do anything to ensure they have a long and happy life. The watchdog is to be commended for its wise and principled intervention.

Greg Wright is the deputy business editor of The Yorkshire Post