17 Feb 2023
The company has been given five working days to respond to the authority’s concerns, which relate to the acquisition of practices in both England and Wales.
Allister Webb
Job TitleThe Competition and Markets Authority (CMA) has called for legally binding proposals to address concerns it has identified relating to the acquisition of eight independent veterinary businesses by IVC Evidensia.
The company has been given five working days to respond to the request, as the authority warned it was “continuing to closely monitor” developments in the sector.
The CMA began an initial investigation into the deals, which were all completed between September 2021 and March 2022, in December.
The businesses covered by the investigation are:
In an update issued today (17 February), the authority said it had identified 23 local areas of Essex, Kent, Suffolk, Norfolk, Anglesey and south Wales where it had concerns about the supply of small animal services.
Issues were also identified relating to the provision of out-of-hours emergency care in Norfolk and Suffolk, as well as equine services in Bedfordshire, Berkshire, Buckinghamshire and Oxfordshire.
In each case, the authority said the deals had not been sufficiently publicised at the time and it was concerned there would not be sufficient competition after the mergers – potentially leading to poorer service or higher prices for clients.
Colin Raftery, the CMA’s senior director of mergers, said: “The CMA continues to receive complaints about higher prices or lower quality services as a result of too many vets’ practices in the same area being under the control of a single company.
“As a small number of large players continue to buy up independent practices and chains across the UK, we’re continuing to closely monitor their activities so that we can take action to ensure that customers in areas where vets are acquired aren’t left facing a lack of competition.”
If proposals are put forward, the CMA will have five working days to decide whether to accept them or refer the case for a second phase investigation.
An IVC Evidensia spokesperson said: “IVC Evidensia is fully committed to maintaining effective competition in the market, and has worked closely and transparently with the CMA to assist with their review throughout. We also took steps to publicise these acquisitions at the time the practices joined our group, including in the relevant press and online.
“While we respect the decision and will continue to support the practices in question as we consider the CMA’s findings, we are disappointed in the outcome of the review.
“The well-being of the animals we treat is always our top priority, and we’re committed to delivering outstanding care to animals and outstanding service to customers. We invest in our people and clinics to ensure we provide the best diagnostic and treatment options to the animals we care for, both during the day and out-of-hours.
“We are proud of the hard work and dedication of all our vets and nurses, and the amazing care they provide.”
