CMA serves pre-emptive action order on BT–TalkTalk deal

British Telecommunications Limited must hold its completed acquisition of TalkTalk Telecommunications Limited and PlatformX Communications LimitedGOV separate while the public-interest review runsGOV. On 6 October 2026 the Competition and Markets Authority served an orderGOV under Schedule 7, paragraph 2(2) of the Enterprise Act 2002 in relation to the completed acquisitionGOV, and the case page records a derogation granted the same dayGOV. Both the order and the derogation are noted as to be published in due course, so advisers should watch for the texts to see exactly which conduct is barred and which has been consented to.

A Schedule 7 paragraph 2(2) order exists to stop the parties taking pre-emptive action: action which might prejudice a reference or possible reference to the Competition and Markets Authority or impede the taking of any remedial action which the Secretary of State's decisions on the reference may justify. In comparable orders the restrictions bite during a specified period and cover steps such as changing or transferring ownership or control, integrating the acquired business with another enterprise, or otherwise impairing its ability to compete independently, alongside obligations on key staff and compliance reporting. Consent to act in derogation of such an order counts only when given in writing. The parties should therefore take no integration step without checking the order text and securing any needed written consent.

The order sits inside a public-interest intervention. On 5 October 2026 the Secretary of State for Digital, Culture, Media and Sport issued a public interest intervention noticeGOVGOV on the existing ground of public health emergency and the proposed new ground of preventing disruption to public services, critical national infrastructure and supply to vulnerable customers, under sections 42(2), 58(2E) and 58(3) of the Act. The Secretary of State, not the Competition and Markets Authority, will decide whether the transaction operates or may be expected to operate against the public interestGOV and whether it should go to a phase 2 assessmentGOV, weighing competition and public interest together.

The Authority must investigate and report to the Secretary of State by 5pm on 19 October 2026GOV, assessing whether the transaction has created or may create a relevant merger situation and whether that has resulted or may be expected to result in a substantial lessening of competition in any United Kingdom market, with advice on section 22 reference considerations and a summary of representations on the specified public interest considerations. Third parties wishing to be heard must send written representations on competition or public interest issues to bt.talktalk@cma.gov.ukGOV by 9 October 2026, when the invitation to comment closesGOV.

Legal basis: Enterprise Act 2002, Schedule 7 paragraph 2(2) order of 6 October 2026 with derogation, under the public interest intervention notice of 5 October 2026 (sections 42(2), 58(2E), 58(3) and 44).