Burnham-on-Sea estate agent 'cartel' bosses disqualified
- Published
The cartel was operated by a number of estate agents in Burnham-on-Sea, Somerset, said the Competition and Markets Authority
Two bosses of an estate agency in Somerset have been disqualified for price-fixing.
David Baker and Julian Frost ran Abbott and Frost Estate Agents in Burnham-on-Sea.
The Competition and Markets Authority (CMA) discovered they were part of a cartel that secretly fixed their commission fees at 1.5%.
It meant that homeowners could not negotiate lower moving costs.
Mr Baker will be unable to act as a company director for three and a half years, whilst Mr Frost was disqualified for three years.
Investigations continue into a number of other agencies involved in the cartel.
"Agreeing prices with competitors is one of the most serious ways a company can break competition law," said Michael Grenfell, executive director for enforcement at the CMA.
"The effect is to stop people from shopping around for the best deal on one of the biggest financial decisions any of us make - selling a house."
Previously, five estate agents were fined more than £370,000 for fixing the fees they charged.
- Published2 March 2017
