Sweden: A Competition/European Law Overview

Introduction

In the coming year, we expect significant changes in the Swedish competition law scene. A new market investigation tool and broader merger control rules are expected to enter into force in August 2026 and boost the mandate of the Swedish Competition Authority (SCA). These developments reflect a broader trend toward more active competition enforcement and align Sweden with practices in neighbouring countries. With the SCA having demonstrated its willingness to pursue enforcement actions in digital markets, accepting far-reaching behavioural commitments and battling ongoing appeals in the digital care space, competition law developments in Sweden are worth watching closely. In this article, we highlight some of the key updates.

Legislation: Expansion of the SCA’s Powers, Lower Bar for Intervention in Merger Cases and Extended Review Periods

On 12 February 2026, the government submitted a bill to the Council on Legislation proposing amendments aimed at improving competition. The suggested entry into force is 1 August 2026 (ahead of the general elections in September 2026). The proposals remain subject to approval by Parliament, scheduled for the spring of 2026, but the SCA has been granted additional budgetary resources to implement the new tools. The proposed legislative amendments address six main areas.

First, the legislation would introduce a new market investigation tool enabling the SCA to investigate and direct measures towards entire markets or sectors to remove impediments to effective competition. Following such an investigation, the SCA would have the power to impose appropriate corrective measures, which do not include divestitures (ie, structural measures are excluded). Decisions by the SCA must be preceded by public consultation, and companies may offer voluntary commitments. The proposed tool would align with practices in neighbouring countries and aims to improve competition, especially in digital markets or structurally deficient markets.

Second, the legislation would introduce a possibility for the SCA to order undertakings to inform the SCA about intended mergers, providing a description of the parties, the transaction and the expected time for implementation. The SCA would review the information provided and decide whether formal notification is necessary within 15 working days.

Third, the government proposes that Phase II be extended to 90 business days (instead of today’s three calendar months) with exceptional extensions of 25 business days (instead of one calendar month). Further, the review of the court of first instance is extended to eight months (instead of six), and the review of the court of appeal extended to four months (instead of three). The proposal is based on a request from the SCA, where the authority argued that cases are becoming increasingly complex and that the current review periods are too short to allow a meaningful and efficient review.

Fourth, the government proposes that the threshold for intervention in merger cases is lowered to allow intervention to the benefit of small or local markets (pharmacies, opticians, veterinaries, car repair shops and grocery stores are mentioned as examples). The proposal is based on a request from the SCA, where the authority argued that it is unable to intervene against concentrations affecting small or local markets as the current rules require that a concentration affects the nation as a whole or a significant part of it in order for the SCA to intervene, regardless of any foreseeable effects on small or local markets.

Fifth, the provisions regarding fines for submitting incorrect, incomplete or misleading information to the SCA, which currently only apply in general antitrust (Article 101 TFEU and the Swedish equivalent) and dominance (Article 102 TFEU and the Swedish equivalent) cases, are proposed to also apply in merger and market investigation cases.

Lastly, the government proposes to enact a new law on public sales activities. The new law would prohibit public actors from conducting sales activities that unduly affect private actors’ market opportunities unless justified by public interest. The law would also extend to state actors and require regular evaluations and separate reporting of public sales activities. The SCA would oversee the new Act, with powers to issue orders and impose fines for non-compliance.

Procedure: One Year With the New Notification Form

The SCA announced new requirements for submitting a Swedish merger control notification, with effect from 26 May 2025. The underlying driver, according to the SCA, was that the previous requirements had been in place since 2010 and were due an update to reflect the SCA’s decisional practice, the overall increased digitalisation of society, and to conform with the European Commission’s Form CO.

By imposing new information disclosure requirements, the revised requirements increased the time, complexity, and cost associated with preparing a filing. For example, the notifying party is required to disclose a wider set of internal documents than previously, such as certain market-related documents even if they were not prepared specifically for the notified transaction. The notifying party also has to comment on all plausible relevant market definitions and explain what data it has that could be used for quantitative market analysis.

While transacting parties have commonly engaged in pre-notification discussions with the SCA on more complex cases in the past, the revised requirements have put an increased emphasis on pre-notification discussions with the SCA. Indeed, the new guidelines indicate that pre-notification discussions should now be considered the norm for all cases giving rise to “affected markets”.

Data from 2025 shows that 60% of cases – once filed under the new form – were concluded within ten working days, and 81% within 15 working days. The SCA’s case managers and handlers have also demonstrated a willingness to discuss with transacting parties and to consider (and grant) information waivers where appropriate.

Antitrust in the Digital Space: Digital Care Providers Fined for Anti-Competitive Co-Operation

In addition to mergers and market reforms, the SCA has demonstrated that it continues to monitor horizontal and vertical agreements between companies. This is likely to continue going forward, particularly in markets where consumers are seen as more vulnerable.

In April 2025, the SCA fined three digital care providers for illegally co-operating on the purchase of search ads on Google. A fourth provider avoided sanctions by blowing the whistle on the arrangement. The digital care providers were found to have agreed that a user searching on Google for one company would not see search ads relating to the other companies (and vice-versa). This arrangement was held to be anti-competitive by the SCA on the basis that the parties were therefore not competing fully against each other for such customers.

The combined fine amounted to approximately SEK26 million, while the highest individual fine was an SEK15 million fine imposed on one participant. The decision has been appealed to the Patent and Market Court. We are aware of similar theories of harm being investigated by the SCA in other sectors.

Market Studies: Select Studies Published by the SCA in 2025 and Early 2026

The SCA has published two market studies addressing price transparency and suggesting possible measures to enhance competition. It remains to be seen if these might form a baseline for a potential market investigation by the SCA.

In November 2025, the SCA published a study on price transparency in the building materials sector. The study focused on the installation sector (electrical and HVAC) where transparency issues were identified as most significant. The SCA’s recommendations focus on public procurers, proposing a hierarchy of measures, ranging from fixed-price contracts to requiring competitive pricing of materials at the procurement stage to establishing clear contractual terms regarding retroactive rebates.

In February 2026, the SCA published its study on price transparency in the veterinary sector. The study found inter alia that prices for non-prophylactic veterinary care for dogs and cats increased by 40–42% between 2020 and May 2025. The SCA also considers that price information from clinics and animal hospitals to pet owners needs to be clearer.

The SCA presents four recommendations: a government-established commission with veterinary expertise to develop national recommendations for common injuries and illnesses; an industry agreement with veterinary care providers for publication of price information on their website; information campaigns directed at both pet owners and veterinary businesses; and, an inquiry into extending the Consumer Services Act to cover treatment of live animals, strengthening consumer protection for veterinary services.