Australia’s competition landscape is shifting faster than many business owners realise. In 2024–2025, the country undertook the most significant rewrite of its merger laws in 50 years, with a new mandatory notification regime taking full effect from January 2026. At the same time, the ACCC conducted 34 Phase 1 public reviews in 2024–25 — the highest number in any year over the past decade. For any business operating in a concentrated market, these changes aren’t background noise. They directly affect how you grow, who you partner with, and what you need to document before making a move.
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This article is general information only and does not constitute professional advice. For your specific situation, consult a qualified professional.
Australia’s economy is built on a small number of dominant players in each sector — two supermarket chains, three energy retailers, four major banks, three mobile networks, and two domestic airlines. Industry concentration has increased since 2000, and the e61 Institute found in 2017 that Australia was already more concentrated than the United States. The federal government’s response is a full-scale review called “Revitalising National Competition Policy,” and competition minister Andrew Leigh has stated plainly that the Australian economy “isn’t competitive enough.” What this means for your business is that the rules of engagement are changing — and staying ahead requires understanding both the new compliance landscape and the strategic moves that actually work in a crowded market. Here’s what you actually need to know.
What I tend to notice is that business owners often underestimate how much the structural concentration of an industry shapes their day-to-day options — from pricing power to supplier terms. If you’re entering a sector with two or three dominant players, your growth strategy needs to account for that from day one, not after you’ve already committed capital. For a deeper look at how to build resilience in this environment, you might find this piece on mastering the top five business challenges in Australia useful.
What happens when you ignore the new competition rules
The most immediate consequence of the new merger regime is that non-compliant transactions are automatically void. That’s not a fine or a warning — it means the deal legally never happened. If you’ve already integrated operations, shared customer data, or shifted staff, unwinding that is expensive and messy. The ACCC’s expanded team — growing from 65 to 115 and heading toward 145 — means they have the capacity to investigate more deals more thoroughly. In 2024–25, they assessed 323 mergers compared with 307 the previous year, and 34 of those went to Phase 1 public review, the highest number in a decade.
For smaller businesses, the risk isn’t just about mergers. If you’re a supplier to one of the dominant players — say, one of the two major supermarket chains — the competition dynamics affect your contract terms, your pricing leverage, and your ability to grow. The Albanese government’s “Revitalising National Competition Policy” review is looking at these very issues, and incremental changes are expected rather than a 1990s-style overhaul. But incremental still means new obligations. If your business model depends on a partnership or supply arrangement with a concentrated buyer, you need to understand how the competition regulator views that relationship. Miss a compliance step and you could be locked out of a market where there are only two real customers.
Where businesses get tripped up
Underestimating the notification threshold
The revenue and transaction value thresholds under the new regime are relatively low, including for global deals that have only a limited connection to Australia. Many businesses assume that if they’re not a major player, the rules don’t apply. That assumption can be costly. If your deal meets the threshold and you don’t notify, the transaction is void — full stop. The ACCC doesn’t issue a warning first. What I’d do is check the thresholds early, ideally before you sign anything. A quick review with a legal advisor who knows the new regime can save you from a deal that collapses months later.
Ignoring the cost of compliance
Filing fees under the new regime are not trivial. Phase 1 costs $56,800. Phase 2 ranges from $475,000 to $1,595,000 depending on the transaction value. There’s also an optional net public benefit assessment at $401,000, and waivers cost $8,300. If your deal is referred to the Australian Competition Tribunal, additional fees of up to 0.12% of transaction value apply, capped at $2,950,000. These figures need to be factored into your deal budget from the start. A business that doesn’t account for these costs may find its projected returns significantly eroded.
Treating the ACCC as a rubber stamp
The ACCC aims to decide 80% of applications within 20 business days, and 89% of mergers in 2024–25 were processed through the fast track pre-assessment regime. That sounds efficient, but it doesn’t mean scrutiny is light. The mergers team has nearly doubled in size, and the number of public reviews is at a decade high. If your deal raises competition concerns — even indirectly — expect a longer timeline and more questions. Planning for a 20-day turnaround and getting a six-month review instead can derail financing, contracts, and staff retention.
Overlooking the partnership angle
Competition law doesn’t just apply to outright acquisitions. Joint ventures, exclusive supply agreements, and even certain data-sharing arrangements can trigger notification requirements. If you’re building a collaborative strategy with another business, it’s worth checking whether your arrangement falls within the new rules. The cost of getting that wrong is the same as for a full merger — the arrangement is void.
How to navigate the new competitive landscape
Assess your market position honestly
Before you make any major move — acquisition, partnership, or even a significant new contract — map out where your business sits in its market. If you’re in a sector with two or three dominant players, your competitive options are different than in a fragmented market. The ACCC will look at market concentration as a key factor in any review. Knowing your own position helps you anticipate where the regulator’s attention will fall. If you’re a smaller player trying to grow, your best path may be to focus on a niche where the dominant firms are weak, rather than trying to compete head-on across the board.
Budget for compliance from the start
The filing fees under the new regime are substantial, but they’re only part of the cost. Legal advice, economic analysis, and the time your team spends preparing documentation all add up. For a Phase 2 review, you could be looking at total costs well over $500,000 before you factor in the filing fee itself. Build that into your deal model early. If the numbers don’t work with compliance costs included, the deal probably wasn’t viable anyway. A good rule of thumb is to set aside at least 1–2% of the transaction value for competition compliance, more if the deal is complex or in a concentrated market.
Use the fast track where you can
The ACCC processed 89% of mergers through its fast track pre-assessment regime in 2024–25. That route is designed for deals that don’t raise significant competition concerns. To qualify, you need to provide complete and accurate information upfront. Any gaps or ambiguities will push your application into a longer review. Work with your legal team to prepare a thorough submission the first time. The 20-business-day target is achievable if your documentation is clean. If it’s not, you’re looking at months of delay.
Watch for future regulatory changes
The “Revitalising National Competition Policy” review is ongoing, and the government has signalled that more changes are likely. Industry concentration has increased since 2000, and the e61 Institute found that Australia’s concentration levels already exceeded those in the United States in 2017. Public concern about competition grew after COVID-19 price rises in 2021–2022, and a PwC survey in 2024 showed Australians ranked price rises as their top worry. That political pressure means the current regime is unlikely to be the final word. Stay informed about proposed changes, especially if your business operates in a sector that’s already under scrutiny — supermarkets, energy, banking, and airlines are all in the regulator’s sights.
→ Scroll right to see all columns
| Filing stage | Fee | Timeline target |
|---|---|---|
| Phase 1 | $56,800 | 20 business days (80% of applications) |
| Phase 2 | $475,000 – $1,595,000 | Extended review |
| Optional net public benefit assessment | $401,000 | Varies |
| Waiver | $8,300 | Varies |
| Australian Competition Tribunal referral | Up to 0.12% of transaction value (capped at $2,950,000) | Varies |
Frequently asked questions about competition in Australia
Do the new merger rules apply to my small business? ▾
What counts as a “merger” under the new regime? ▾
How long does an ACCC review actually take? ▾
Can I challenge an ACCC decision? ▾
What happens if I don’t notify a qualifying deal? ▾
Are there any exemptions for small transactions? ▾
Your next move in a more regulated market
The new merger regime is not a temporary adjustment. It represents a structural shift in how Australia regulates competition, backed by a regulator that has doubled its enforcement capacity. For business owners, the smartest response is to treat competition compliance as a standard part of any major transaction — not an afterthought. The businesses that will thrive in this environment are the ones that understand their market position, budget for compliance early, and stay alert to further regulatory changes. The era of assuming your deal won’t get noticed is over.
Remember: this article is general information only. For advice on your specific situation, speak to a qualified professional.
If this was useful, you might also want to read Data-Driven Decisions: Are Aussies Truly Leveraging the Power of Analytics?.
Sources and Further Reading
High Operational Costs Strain Australian Small Businesses — Explores how cost pressures intersect with competition dynamics for smaller operators.
The Impact of Intellectual Property on Business Growth in Australia — Covers how IP strategy can create competitive advantage in concentrated markets.
GT Law (2025). Competition and Consumer Insights 2026. 🔗
Public Accountant (2025). Competition Policy Evolution. 🔗
