Cineworld may be forced to sell cinemas in three areas, including Aberdeen, following a Competition Commission (CC) probe.
The firm’s acquisition of Picturehouse cinema operator City Screen Limited has been scrutinised by the watchdog body and it has provisionally concluded that it would lead to higher prices for cinemagoers in Aberdeen and a further two English towns.
The CC provisionally found the acquisition could lead to a substantial lessening of competition in the three areas as Cineworld and Picturehouse faced limited competition there.
As well as the provisional findings, the CC published a notice of possible remedies detailing measures which could address the loss of competition, including the sale of cinemas in the three towns to competing owners.
CC deputy chairman Alasdair Smith said: “We found that when setting the price of tickets, exhibitors take account of the prices of competing cinemas operating in their local area.
“We focused our detailed analysis on nine of the areas where Cineworld and City Screen/ Picturehouse compete, looking at the extent to which they compete with each other and with other cinemas.
“We found that there were three areas Aberdeen, Bury St Edmunds and Cambridge where they were in direct competition with each other, and faced limited competition from other cinemas so that the reduction of local competition could lead to higher prices for local cinemagoers.”
He continued: “We will now look at ways we can restore competition and protect customers’ interests.”