The UK’s Competition and Markets Authority (CMA) has announced plans to potentially compel Google to modify how it ranks businesses in its search engine results, aiming to foster fairer competition and boost innovation.
Google Faces First Strategic Market Status Under New UK Powers
In a landmark move, Britain’s CMA is proposing to designate Google, owned by Alphabet Inc., with “strategic market status” (SMS). If finalised in October 2025, this designation would give the regulator enhanced authority to impose changes on Google’s search services to better serve UK consumers and rival businesses.
With Google commanding over 90% of all search queries in the UK, the CMA believes this intervention could help rebalance competition in the digital economy.
“These targeted and proportionate actions would give UK businesses and consumers more choice and control,” said CMA Chief Executive Sarah Cardell. “It could unlock greater innovation across the UK tech sector and the wider economy.”
What the New Measures Mean for Google Search and Competitors
If designated, Google may be required to:
- Enhance transparency in how search results are ranked
- Improve access for rival search engines and vertical search services
- Enable data portability for competitors and third-party platforms
These changes could particularly benefit over 200,000 UK businesses that rely on Google search advertising to reach their customers, as well as millions of British users who use Google as their primary gateway to the internet.
CMA’s Strategic Approach vs. EU’s Broad Digital Regulations
The CMA’s approach is seen as more targeted and flexible compared to the EU’s sweeping enforcement under the Digital Markets Act (DMA). Post-Brexit, the UK is crafting its own regulatory pathway that aims to curb Big Tech dominance without stifling economic growth or innovation. This action represents one of the first uses of the CMA’s expanded powers, introduced after the UK’s departure from the European Union, to directly address tech giants such as Google, Apple, Meta, and Microsoft.
Google’s Response: Concerns About Broad Scope
Google responded to the announcement by stressing that the SMS designation does not imply anti-competitive behaviour.
“We’re concerned that the scope of the CMA’s considerations remains broad and unfocused,” said Oliver Bethell, Google’s Senior Director for Competition. “A range of interventions are being considered before any clear evidence has been presented.”
What’s Next for Google in the UK?
- October 2025: Final decision on Google’s SMS designation
- 2026 onwards: The CMA plans to address more complex issues, including
- Google’s treatment of specialized search rivals
- Transparency in search advertising
- A separate CMA investigation into mobile operating systems could result in another SMS designation—this time targeting Google’s Android and Apple’s iOS platforms
Regulatory Pressure Intensifies Globally
This move adds to a growing wave of global scrutiny faced by Google. The tech giant is currently under investigation in the US, the EU, and now the UK for its practices in search, advertising, AI, and digital platforms. With the CMA now wielding direct enforcement powers, including the ability to issue fines, Google’s dominance in the UK digital ecosystem could face significant structural changes in the coming years.
