UBS under scrutiny post-Credit Suisse takeover, Swiss pricing watchdog says

4th Jul 2024 14:12

(Sharecast News) - Switzerland's price watchdog is said to be closely observing how UBS is pricing its products following its Credit Suisse takeover on the back of speculation that the bank's increased size could hit competition.

The developments come just a few weeks after the country's financial regulator declared that the merger was not anti-competitive.

"Following an extensive review, it has concluded that the merger of UBS and Credit Suisse will not eliminate effective competition in any market segment," FINMA said in a statement on 19 June.

However, according to reports on Thursday, Switzerland's antitrust authority said it found the UBS now has "market power or dominance" in some local banking markets.

The private watchdog is now monitoring whether the group's expansion will result in things like higher rates for consumers.

In a statement, the watchdog said it "hopes that regulatory interventions won't be necessary, but will otherwise not hesitate to carry them out as efficiently and effectively as possible."