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Image header Agence Europe
Europe Daily Bulletin No. 8734
Contents Publication in full By article 21 / 33
GENERAL NEWS / (eu) eu/competition

Commission condemns Belgian architects' fee system

Brussels, 24/06/2004 (Agence Europe) - On Thursday the Commission decided to fine the Belgian Architects Association € 100 000 because the scale of recommended minimum fees of the Belgian Architects Association is in breach of European Union competition rules. "Recommended prices can mislead consumers as to what is a reasonable price for the service they are receiving and as to whether this recommended price is negotiable. I hope this decision will encourage all professional bodies to abolish unjustified restrictions,” Competition Commissioner Mario Monti said. The decision of the Commission follows the latter's Communication of February 2004 on Competition in Professional Services advocating the introduction of competition and increased transparency to the benefit of consumers (EUROPE 10 February 2004) .

The recommended minimum fee scale operated by the Belgian Architects' Association lays down an architect's fees as a percentage of the value of the works realised by the entrepreneur and applies to all architectural services provided in Belgium by independent service providers. The Commission believes the recommended fee scale constitutes an infringement of the European competition rules because it seeks to coordinate the pricing behaviour of architects in Belgium, something which is not necessary for the proper practice of the profession. In the Commission's view, the fees should reflect an architect's skills, efficiency and costs - and perhaps reputation - and should not be dependent solely on the value of the works or the price of the entrepreneur. In any event, the architect should determine the fee independently of competitors and in agreement with the client only. The Commission has decided to fine the Belgian Architects Association € 100 000. This amount reflects a gradual approach by the Commission in fining anti-competitive practices in the professions and also the fact that the fee scale was abolished in 2003.

In its first decision concerning tariffs of professional bodies, in 1993, the Commission condemned the fixed tariffs of the association of Italian customs agents without imposing a fine. In 1996, the Commission took a decision concerning the recommended tariffs of the association of Dutch forwarding agents, imposing a symbolic fine of €1000.

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