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The UK’s Competition and Markets Authority (CMA) has officially fast-tracked its investigation into the merger between Associated British Foods (ABF) and bread brand Hovis, moving the inquiry directly into an in-depth Phase 2 review.

This decision comes as part of the new provisions introduced by the Digital Markets, Competition and Consumers Act 2024, which allows merging entities to expedite their cases.

The CMA's acceptance of the fast-track request indicates a commitment to enhancing the efficiency of merger reviews while balancing the need for thorough scrutiny.

By bypassing the standard Phase 1 investigation, the CMA aims to expedite the process, benefiting both ABF and Hovis as they seek regulatory clearance for the acquisition.

In a statement, a CMA spokesperson noted: “We have accepted ABF and Hovis’ request to fast-track our investigation into their merger to an in-depth phase 2 inquiry, allowing the CMA to move at pace to an examination of the evidence by an independent inquiry group of experts”.

Importantly, this step does not imply any preliminary conclusions regarding potential competition issues within the UK pre-packaged bread and bakery goods markets.

The Phase 2 investigation will commence immediately, with a statutory deadline set for 24 June 2026. The CMA is expected to announce the members of the independent inquiry group soon, alongside a timeline for the inquiry process.

Back in May 2025, ABF first confirmed it was in discussions with private equity firm Endless, owner of the Hovis bread brand, regarding a potential merger involving ABF's Allied Bakeries business.

While ABF and Hovis have not acknowledged any concerns regarding competition as a result of the merger, the fast-tracking process reflects a proactive approach to regulatory compliance and market dynamics.