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[Article] Anti-competitive rules in professions 'need big shake-up'

15-03-2003 9:41pm

#1

Victor

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Anti-competitive rules in professions 'need big shake-up'
From:The Irish Independent
Saturday, 15th March, 2003
Charlie Weston

A CONSULTANTS' report on eight major professions prepared for the Competition Authority calls for a radical shake-up in the rules of professional bodies in a bid to cut prices for consumers.

The report calls for the banning of restrictive practices in the different bodies that regulate solicitors, barristers, medical practitioners, dentists, veterinarians, opticians, engineers and architects.

Written by economic consultants Indecon International, the report also makes the case for comparative fee advertising by different professions. This change would make it easier for consumers to compare prices.

The Irish Independent has learned the Indecon report:

* Suggests restrictive practices are keeping some professional fees artificially high.

* Calls for more advertising within the professions so consumers can compare prices.

* Has found evidence of barriers to new entrants into some professions.

* Discovered restraints on professional behaviour in some of the professions.

* Uncovered evidence that control of educational courses by professional bodies is operating to the detriment of consumers.

It is understood the 600-page report was delivered to the Competition Authority last month.

In dealing with opticians, the report is understood to question why a prescription for glasses is needed in Ireland. In Britain, glasses can be bought without a prescription.

On architects, the report questions why there are rules blocking them setting up multi-discipline firms with the likes of engineers.

The report also questions why doctors and dentists, on the one hand, and accountants and solicitors on the other do not get together to offer a comprehensive service.

The report queries the rule prohibiting barristers from being engaged directly by consumers. It also puts the case for licensed conveyancers to be allowed compete with solicitors for conveyancing.

The Competition Authority is to seek comment from the public on the report, published next Thursday. All the professions have made submissions arguing against anyone telling them how to ensure their services become more competitive.

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