Investigation into dental merger raises concerns for South West patients

Dental services

A deal that would see two dental businesses combine would have an impact on services in the South West, according to an inquiry.

The initial investigation by the Competition and Markets Authority found that a merger between Dentex Healthcare by Portman Healthcare, which is owned by Core Equity Holdings, would affect services in the South West.

The CMA investigation found that the merger would not harm the majority of patients in the UK, but action is needed to address specific competition concerns for patients in the South West and North East of England.

The companies would together operate approximately 400 dental practices across the UK.

The deal was announced last August and will create the largest privately focused dental group in the UK and one of Europe’s largest dental care platforms.

The firms will operate in more than 350 practices, with more than 2,000 clinicians and more than 4,000 employees and provide dental care for over 1.5m patients per year.

The CMA investigation looked at the potential impact of the merger for patients in areas where both businesses currently offer NHS or private dental treatments, which range from general dentistry to more complex procedures like implants and orthodontics.

While sufficient competition will remain after the merger in most cases, the CMA found that the deal would raise competition concerns in the provision of NHS orthodontic treatments in Truro as well as for private dental services provided to those living in Tavistock, Ashburton and Durham.

Additional concerns were also found in relation to competition for NHS contracts to provide orthodontic services across Cornwall and Isles of Scilly, where access to specialist treatment is limited for patients.

Prior to the conclusion of the investigation, the businesses accepted that the merger would raise concerns in these areas and asked the CMA to move straight to a discussion of potential remedies to address these concerns.

Sorcha O’Carroll, CMA Senior Director of Mergers, said: “Everyone should have access to dental treatment wherever they live in the UK. Competition between dental practices is crucial to ensure patients have access to good quality services at competitive prices.

“While in the majority of areas the deal will not harm patients, we are concerned that it could lead to less choice, lower quality and higher prices for patients in certain parts of the UK.

“The businesses involved have accepted our concerns and it’s now up to them to address these effectively, so we can prevent a loss of competition in the South West and North East – resolving any need for further investigation.”

 

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