28 April 2009

Kroes warns to preserve level playing field despite government interventions

In the midst of the massive government interventions we need to make sure that we do not also lose the level playing field and the future dynamism that comes from competition, Commissioner Kroes warned.

In the midst of the massive government interventions we need to make sure that we do not - along the way - also lose the level playing field and the future dynamism that comes from competition, Commissioner Kroes warned in a speech held in Hamburg.

 

“If we lose the level playing field and if competition is replaced with government controlled 'zombie' banks, then we can be sure that the lost jobs are not going to return and that the bill to taxpayers will grow even higher in the future”, Commissioner Kroes warned and underlined that more work has to be done in controlling state aid and ensuring that the restructuring takes place.

 

So in conclusion I hope I have made clear today that there are valuable roles for both regulation and competition law in helping markets work better.

We have to get the front end and the back end of market supervision right, she concluded. Key is to understand the limits and roles of regulation and competition law, she said.

 

Press release

 

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