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Apple and Google face enforced changes over UK mobile phone dominance

about 11 hours ago
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Google and Apple face enforced changes to how they operate their mobile phone platforms, after the UK’s competition watchdog ruled the companies require tougher regulatory oversight.The Competition and Markets Authority has conferred “strategic market status” (SMS) on the tech firms after investigating their mobile operating systems, app stores and browsers.It means Apple and Google will be subjected to tailormade guidelines to regulate their behaviour in the mobile market.The CMA said the two companies have “substantial, entrenched” market power, with UK mobile phone owners using either Google or Apple’s platforms and unlikely to switch between them.The regulator flagged the importance of their platforms to the UK economy and said they could be a bottleneck for businesses.

Will Hayter, the executive director for digital markets at the CMA, said: “The app economy generates 1.5% of the UK’s GDP and supports about 400,000 jobs, which is why it’s crucial these markets work well for business so they can invest, innovate and drive the growth this country needs.“Apple and Google’s mobile platforms are used by thousands of businesses right across the economy to market and sell products and services to millions of customers, but the platforms’ rules may be limiting innovation and competition.”Changes under consideration by the CMA include allowing users to be “steered” out of app stores to make purchases elsewhere, like on a company’s own website.App developers have long taken issue with Apple and Google taking a cut from purchases made via apps.

The CMA also wants both companies to ensure users have a “genuine choice” over the services they use on their devices, like digital wallets on Apple.The move by the regulator has come under a new regulatory regime brought in by the Digital Markets, Competition and Consumers Act 2024 and follows the designation of Google’s search business as requiring SMS oversight.Google described the CMA decision as “disappointing, disproportionate and unwarranted”.Oliver Bethell, a senior competition director at the company, said: “The UK’s new digital markets regime was introduced with the promise of being pro-growth and pro-innovation, with the CMA emphasising that its work would be highly targeted and proportionate.In this context, we simply do not see the rationale for today’s designation decision.

”Sign up to Business TodayGet set for the working day – we'll point you to all the business news and analysis you need every morningafter newsletter promotionApple, a strong critic of the EU’s tech regulatory regime, which has targeted the iPhone maker and Google, also criticised the decision.“Apple faces fierce competition in every market where we operate, and we work tirelessly to create the best products, services and user experience,” said the company.“The UK’s adoption of EU-style rules would undermine that, leaving users with weaker privacy and security, delayed access to new features, and a fragmented, less seamless experience.”
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Rayner’s return gives a lift to Labour’s gloomy backbenchers

The chamber had been almost empty at the start of the ministerial statement on Heathrow airport. But by the end, the Labour benches were almost full. Though this was nothing to do with the pull of the transport secretary, Heidi Alexander. It was Angela Rayner who was the main attraction.The former housing secretary hasn’t been heard from since her resignation in early September

about 10 hours ago
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Tory plans to deport some people who are legally in UK are ‘grotesque’, says Labour – as it happened

Labour is now saying that it is “utterly grotesque” that the Conservative party is proposing to deport people from the UK who have previously been told they have indefinite leave to remain.The party issued a statement after Conservative HQ confirmed that Katie Lam’s comments on this topic in an interview at the weekend are in line with official party policy. (See 5.06pm.) The Tories published proposals in the form of a private member’s bill earlier this year and clause 3 of the bill says indefinite leave to remain (ILR) should be revoked from some categories of migrants, including people who have been in receipt of benefits and people earning less than £38,700 a year

about 10 hours ago
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Deporting legally settled people is ‘broadly in line’ with Tory policy, says Badenoch’s office

The Conservative MP Katie Lam was “broadly in line” with party policy when she called for very large numbers of legally settled people to be deported from the UK, Kemi Badenoch’s spokesperson has said.Setting out Tory plans to retrospectively strip the right of indefinite leave to remain (ILR) from people who claim benefits, the spokesperson said this would not be the case for people getting the state pension, but he was unable to say whether someone could be deported if they received statutory maternity pay or shared parental leave.Speaking after prime minister’s questions, he said the key to whether or not someone was deported was if they were a “net contributor” in terms of tax and benefits, even though the party’s policy says this would happen if someone on ILR receives “any form of social protection”, an official term covering most benefits.In an interview with the Sunday Times, Lam, a Home Office shadow minister and Tory whip, said many people would need to lose their ILR status in order to ensure the UK is mostly “culturally coherent”, prompting criticism from other parties.Asked about Lam’s comments, Badenoch’s spokesperson said some had been “pulled out of context”

about 12 hours ago
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Chancellor hoping shift in tone on Brexit will ring true for key groups of voters

Rachel Reeves’ decision to pin the blame for the UK’s ailing economy on Brexit a month before a difficult and potentially unpopular budget could be considered high-risk given the lingering divisions and bitterness over the UK’s decision to leave the EU.But political analysts say she is aiming to appeal to voters who opted to leave but have changed their minds on this issue, young people who have joined the electorate in the nine years since the referendum, and remainers who are asking: what took you so long?In a speech on Tuesday, the chancellor said Brexit had caused more damage to the UK economy than official forecasters had previously outlined. She said costs had been “needlessly added to businesses” since the UK formally exited in 2021.Supporters of Brexit swiftly accused Reeves of attempting to “shift the blame for the dire state of Britain’s economy” ahead of November’s anticipated tax-raising budget. Some said she was “hunting for scapegoats”

about 13 hours ago
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Caerphilly byelection could signal ‘fundamental realignment’ of Welsh politics

When he steps out of the byelection campaign office opposite Caerphilly castle, the Plaid Cymru candidate, Lindsay Whittle, tends to hear a couple of different cries from passing motorists.“Some of them shout: ‘Good luck Linds!’ I love that,” Whittle said. “It implies we’re old friends even though I may not know them personally.” Others are rather less positive. “They yell: ‘Stop the boats!’ You hear that all the time

about 16 hours ago
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Scotland demands £24.5m from Westminster for Trump and Vance visits

The UK government needs to “step up” and reimburse the £24.5m cost of Donald Trump and JD Vance’s recent visits to Scotland, Holyrood’s public finance minister has said.Provisional costs of almost £24.5m for the two working visits have been published by the Scottish government.Ivan McKee said it was “ridiculous” that the UK government had so far refused to provide funding, framing both trips as private visits, despite the fact that the US president held meetings with the EU Commission president, Ursula von der Leyen, as well as the UK prime minister, Keir Starmer, during his time in Scotland in July

about 18 hours ago
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UK inflation unexpectedly remains at 3.8% for third month in a row

about 12 hours ago
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UK inflation stays at 3.8% as food price rises slow for first time since March – as it happened

about 13 hours ago
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Apple and Google face enforced changes over UK mobile phone dominance

about 11 hours ago
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Google hails breakthrough as quantum computer surpasses ability of supercomputers

about 12 hours ago
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Australia bring back bad memories for England at Women’s World Cup

about 11 hours ago
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The forgotten story of the US soldiers who integrated baseball before Jackie Robinson

about 12 hours ago