The UKโs Competition and Markets Authority (CMA) has recommended replacing the assimilated EU Technology Transfer Block Exemption Regulation (TTBER). The framework, carried over after Brexit, is due to expire in April 2026. A new 12-year exemption has been proposed, marking another step in the UKโs shift from inherited EU law to rules shaped by domestic priorities.
Officials warned during the review that allowing the EU measure to lapse would leave businesses exposed to uncertainty in licensing. Respondents to the consultation echoed that concern, saying the absence of a replacement risked discouraging innovation and weakening incentives to invest in new technology.
Licensing rules govern the conditions under which companies use third-party software and modules. Engines, databases, and payment systems are licensed under contracts that must stand up to regulatory scrutiny. For iGaming platforms, for example, reliable licensing of engines, plug-ins, and payment APIs is as central to their operations asย trusted UK online casino recommendationsย are to players looking for great games, strong bonus offers, and quick payouts. Both providers and users depend on systems that perform consistently without disruption.
The CMA proposal outlines what qualifies as technology rights under the new order. Patents, databases, copyright, and software all fall within the scope. It also clarifies what licensing contracts should not contain, including clauses that block new entrants, enforce territorial exclusivity, or impose restrictive royalty structures. By setting out these limits, the CMA aims to ensure agreements protect competition rather than entrench dominant positions.
The framework also distinguishes between active and passive sales, a clarification meant to prevent confusion in drafting and enforcement. The CMA reserved the right to withdraw exemption status from individual agreements if they are found to restrict competition. These powers are designed to provide flexibility and to ensure the framework does not give blanket cover to practices that harm markets.
In itsย final recommendations for the replacement of TTBER, the CMA said a 12-year exemption would provide businesses with the legal certainty needed to invest in new technologies while safeguarding room for innovation. That reasoning matters for sectors built on modular technology, from SaaS platforms to compliance tools. Without stable licensing rules, these industries cannot plan development cycles, raise capital, or negotiate long-term partnerships.
The consequences extend into daily operations. Licensed code powers payment systems. Fraud detection modules must be certified against regulatory standards. Customer service APIs and gaming software are often supplied under third-party contracts. Each of these arrangements depends on predictable licensing terms, and without them, disputes can disrupt core services. The CMAโs proposed order is intended to assure operators that agreements rest on rules that minimise conflict and keep markets open.
The international dimension is harder to manage. The European Union continues to enforce its own TTBER, while the UK is preparing a separate regime. ย A Steptoe analysis of theย Technology Transfer Block Exemption after the EUย in 2024 said the UK had gained discretion to diverge from European licensing frameworks, a development that now leaves cross-border operators preparing for two compliance regimes once the new order takes effect. For companies active in both markets, contracts will need to be drafted carefully to satisfy both regulators.
The CMAโs recommendation is more than a procedural adjustment to retained EU law. It marks a structural change in how technology transfer will be regulated in the UK over the next decade. Businesses across SaaS, retail, and online gambling may welcome the certainty at home, but those with cross-border operations face the task of managing dual compliance. Post-Brexit regulation is now setting the terms under which technology is built, licensed, and delivered in the UK.
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