After NMa investigation: parents once again have more choice of childcare in Amsterdam

Parents in Amsterdam may have been limited in their range of choices because five Amsterdam childcare organisations had been making agreements on whether they could enter each other's catchment areas. The childcare organisations have now promised the NMa to immediately make visible changes in their behaviour, which means they will avoid a possible fine from the competition authority. The NMa will keep a close eye on this compliance. If an organisation fails to honour its promise, the NMa can impose a fine of up to ten percent of the annual turnover.

Pieter Kalbfleisch, Chairman of the Board of the NMa: 'The Childcare Provisions Act is aimed precisely at increasing the parents' freedom of choice in choosing a childcare organisation. That is why it is important to quickly and effectively address practices that can limit this freedom.' In the meantime the childcare organisations involved have sent out a letter to the schools in Amsterdam indicating that every school is free to contract the childcare organisation of its choice when arranging childcare for after school or during the lunch break. This is important because the contracts that schools conclude with providers of this kind of care are usually negotiated in May or June and are effective for one or two school years. The childcare organisations have also promised to refrain from giving each other information on plans to enter each other's traditional catchment areas and to refrain from exchanging any other information that could be sensitive for competition.

Kalbfleisch says this is the first time that the NMa has taken a so-called commitment decision. 'Since 1 October 2007 companies may submit a promise to the NMa. In short this means that they will demonstrably suspend or refrain from certain behaviour that may be in violation of the Competition Act,' the Chairman of the Board said.