Clifford Chance

Financial Services Antitrust Bulletin

29 November 2024

Since Q2 2024, competition authorities across the world have continued to closely scrutinise the financial services sector. This edition of the Clifford Chance Financial Services Antitrust Bulletin charts the following key themes derived from developments in Europe, North America and the Asia Pacific region:

Financial services consolidation – This period has seen significant M&A activity due to consolidation of financial services firms across jurisdictions. For instance, in the European Union, the European Commission approved the creation of a joint venture between Worldline and Crédit Agricole, combining their merchant acquiring and acceptance services. In France, the Autorité de la concurrence cleared several acquisitions in the banking and insurance sectors, including Cinven's acquisition of Finaxi and CNP Assurances' acquisition of LMG Assurances SA. Similarly, in Germany, the Federal Cartel Office cleared KKR's acquisition of FGS Global, a consultancy firm.

Insurance remains in focus – Competition authorities in multiple jurisdictions have assessed competition in the insurance sector. In the UK, the Financial Conduct Authority is monitoring the pure protection market. In Spain, the competition regulator continues its work on the private health insurance market.

Digital wallets and contactless payments under scrutiny – With the rise in digital wallet usage, regulators in the UK and the EU are scrutinising tech companies such as Apple, Google, and PayPal. The investigations focus on how these wallets affect consumer choices and competition among payment systems. Notably, Apple has made commitments to allow third-party access to its NFC technology to address antitrust concerns.

Fines on the rise – Competition authorities globally have intensified their enforcement actions, resulting in significant fines in the sector. The Court of Justice of the European Union upheld fines against Crédit Agricole and Credit Suisse for their involvement in a bond cartel, amounting to EUR11.9 million and EUR3.9 million, respectively. Similarly, the Portuguese Competition Authority's EUR225 million fine against 14 banks for anti-competitive information exchange was upheld. In Poland, LoanMe faced a fine of over approx. EUR100,000 for misleading consumers, while PayPal received a record fine of approx. EUR25 million for abusive clauses in user agreements. In China, Sumscope was fined 2% of its annual turnover for monopolizing financial data products.

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