Ofcom case closure: Patientline competition law investigation
Ofcom grounds (14 pages, PDF) for closing its competition law investigation into prices for calls to hospital patients. Ofcom had received complaints from consumers and MPs about the high prices that were being charged for calling the bedside telephone/TV unit of hospital patients.
In July 2005, Ofcom had opened an investigation under Chapters I and II of the Competition Act 1998. Ofcom has now closed that investigation and referred the matter to the Department of Health.
Ofcom's decision to close its investigation appears to be based the following grounds:
- There is no abuse of a dominant position because the imposition of the prices for incoming calls cannot be seen as unilateral conduct by the service provider. Instead it is done pursuant to a contract with the hospital and Department of Health.
- Although Ofcom could not rule out the argument that these contracts infringed the prohibition on restrictive agreements, it did not wish to devote further resources to the issue as service providers and Department of Health were seeking to address the consumer concerns.
Filed under Article 82, Healthcare, Ofcom.
