Andrea Coscelli, CMA acting chief executive, said: ‘Cartels are both harmful and illegal, and the consequences of breaking the law are extremely serious. That is why we are launching this campaign – to help people understand what cartel activity looks like and how to report it so we can take action.’

CMA says its research has found that whilst most businesses have a shared ethical sense that conduct such as price-fixing is unfair or wrong, less than a quarter of said they knew competition law well.

The new first advertising campaign is specifically designed to stamp out cartel activity and encourage people to report it to the CMA. Adverts will appear in people’s social media feeds, such as Twitter and LinkedIn, as well as on key websites.

The campaign ‘Cracking down on Cartels’ will encourage people who have witnessed illegal activity to report it, by offering a reward of up to £100,000 as well as promising them anonymity.

CMA says it has uncovered cartels in a range of industries. Recent actions include a £2.8m fine for two furniture parts makers who agreed not to compete on price and who would supply which customers, following a tip-off from an informant.

The regulator has also fined four estate agents a total of £370,000 for price-fixing, following a targeted campaign in the sector, and overseen the five-year disqualification of the managing director of an online poster supplier for after his company was found to have been part of an online price-fixing cartel. Further cases of suspected cartel are currently under investigation.

Businesses found to have been involved in illegal cartels can be fined up to 10% of their annual turnover, individuals can face up to five years in prison and directors can be disqualified from holding director positions for up to 10 years, with reductions where a business or individual reports their involvement in a cartel and co-operates fully with the CMA’s investigation.

Details of the Cracking down on Cartels campaign are here.