Your commercial news round-up: Google, Renters’ Rights Bill, John Lewis, NHS

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Are you up to date with the commercial news? The US government is taking Google to trial, accusing the company of operating a monopoly in the market, and the UK government has introduced a new Renters’ Rights Bill. Meanwhile, John Lewis states that plans to boost business have been successful and a report into the NHS has highlighted the need for reform. Read on to find out more!

• The US government is taking legal action against Google's advertising tech business, accusing the company of operating a monopoly in the market. The trial, which began on Monday, will hear the Department of Justice's case that Google's parent company, Alphabet, has used its market dominance to stifle competition. Google earned more than £152 billion last year through its advert placement and selling services. This is the second major antitrust case that Google has faced in the US, with a judge ruling in August that its dominance of search was illegal. However, it’s still unclear what penalties the business will face following this ruling. Google is also facing scrutiny in the UK, as the UK Competition and Markets Authority said it found Google used anti-competitive practices to dominate the market for online advertising, a decision which a Google representative said was based on a "flawed" understanding of the sector.
   
• Meanwhile in the UK, the government has introduced a Renters' Rights Bill that’ll ban landlords in England and Wales from renting out their properties for more than the advertised price. The aim is to prevent expensive bidding wars and keep a lid on rapidly increasing rents. The bill also includes measures, such as:
  • an immediate ban on no-fault evictions;
  • a ruling that allows tenants to keep pets unless there’s a good reason to prohibit this; and
  • a requirement for landlords to give four months' notice before evicting someone.

Despite the bill’s intentions, some landlords predict that the ban on bidding wars will lead to an increase in listed prices instead.

• An official review into England's NHS has found that it’s in a "critical condition" due to years of underfunding and failed reform attempts. The review, conducted by Lord Ara Darzi, attributes the current state of the health system to austerity policies of the 2010s, which reduced public spending to cut costs. The report highlighted that, during the pandemic, the NHS had higher bed occupancy rates, fewer medical staff and had to cancel or postpone more routine care when compared with other high-income health systems. The review has called for a larger proportion of the NHS budget to be spent on primary care and local practices to increase preventative treatment and ease pressure on the emergency services. NHS England Chief Executive Amanda Pritchard explained that the service is working on a 10-year plan with the government to ensure the NHS “recovers from covid, strengthens its foundations and continues to reform so it is fit for future generations”. Prime Minister Sir Keir Starmer has pledged to carry out the "biggest reimagining of our NHS since its birth".
   
• The John Lewis partnership, which includes John Lewis department stores and Waitrose supermarkets, reported that its plans to revive the business have been successful. The company reported a loss of £30 million, which is down from £59 million last year. While sales at John Lewis department stores fell by 3%, revenues at Waitrose grew by 5%. The retailer has been trying to win back customers after a difficult period that saw job cuts and store closures. Retail analyst Diana Wehrle said that John Lewis’ fashion department is a “key challenge”. She explained that customers have less disposable income to spend and rival brands like Marks & Spencer have “really upped their game". To combat this, John Lewis publicised the return of its "never knowingly undersold" price pledge last week. The partnership also announced collaborations with other brands, such as Waterstones and Gails, to drive sales.

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