Competition watchdog says it needs nearly twice as many staff

Iceland’s Competition Authority imposed fines totalling 19.7 billion krónur in real terms over its first 20 years, while saying it needs nearly twice as many employees to fulfil its legal duties, mbl.is reports.

The figures were included in the authority’s annual report for last year, published on Thursday. The authority has imposed fines averaging about 1 billion krónur a year since it was established in 2005.

More cases handled

The authority worked on 153 administrative cases last year, up from 124 the previous year. It completed 89 cases, compared with 68 in 2024.

Merger cases accounted for about 30% of employees’ working time. The authority must decide on such cases within legally prescribed deadlines, giving them priority over other work. A further 21% of working time was spent investigating illegal cooperation, 18% investigating possible abuse of a dominant market position, 8% examining public restrictions on competition and 7% analysing markets and management and ownership links in Icelandic business.

Funding cuts and staffing needs

The annual report and statements from the authority’s current and former chairpersons highlight its funding. Financial contributions have fallen by 20% in real terms over the past decade, while economic activity has increased by 35% to 40% during the same period.

Three years ago, the authority assessed its staffing needs in light of its legal duties and concluded that it required 42 full-time equivalent positions. At the end of last year, it had 22 permanent employees and two temporary employees, representing 24.5 full-time equivalent positions. Five positions were cut during the year because of reduced budget allocations.

The authority therefore considers that it needs to add nearly 20 positions to fulfil its legal role.

Most mergers approved without intervention

The report reviews the cases examined during the year. Some 90% of merger cases referred to the authority were approved without intervention. No mergers were blocked, while three merger notifications were withdrawn during the second phase of the investigation and two mergers were approved subject to conditions. In total, 40 merger cases were completed during the year.

From the authority’s establishment in 2005 through the end of 2025, 151 of its cases were referred to the Competition Appeals Committee. During the same period, district courts issued 45 judgments or rulings, excluding search warrant rulings, while the Court of Appeal issued nine judgments and the Supreme Court issued 38.

According to a graph compiled by the authority, its decisions were upheld in full or in part in 70% to 84% of cases. They were annulled or rejected in 16% to 27% of cases.