Britain's competition watchdog has warned that McCormick's planned takeover of most of Unilever's food business could weaken competition in UK supermarkets, and has given the two companies until 18 November to offer remedies.

The Competition and Markets Authority (CMA) announced its phase one decision on Wednesday 11 November 2026. It found that, on the evidence available, the deal may be expected to result in a substantial lessening of competition in parts of the UK food market. Unless the companies offer undertakings the regulator accepts, the merger will be referred for an in-depth phase two investigation.

The decision is not a ruling to block the deal, and no phase two referral has yet been made. It is the first formal finding in a review that began in September, and it sets a short deadline for the companies to respond.

What the watchdog found

The CMA's concern centres on two supermarket categories: dry ingredient mixes and dry sauces. McCormick and Unilever are the two largest branded suppliers in both, according to the regulator, and combining them would create the largest supplier in each category by a wide margin.

McCormick sells its Schwartz dry mixes and sauces and French's condiments in the UK. Unilever's food brands include Knorr, Maille and Colman's. The CMA said the two companies compete closely in dry mixes and dry sauces, and that supermarket own-label products and other brands would place only a limited constraint on the merged business.

The regulator also found that new suppliers would struggle to make up the lost competition. Shelf space in supermarkets is limited, existing brands and own-label ranges are well established, and the CMA found no significant growth in these markets to suggest that new entrants or expanding rivals could offset the loss.

Mustard cleared

The watchdog reached a different conclusion on mustard. It found that American-style mustard sold under McCormick's French's brand competes in a separate market from Unilever's English-style Colman's and French-style Maille products.

Evidence from supermarkets indicated that shoppers generally do not see the different mustard styles as interchangeable, so the CMA found no realistic prospect of competition concerns in mustard.

What happens next

The companies have until 18 November to offer remedies that address the concerns in dry mixes and dry sauces. If no remedies are offered, or the regulator finds them insufficient, the deal will move to a phase two investigation, in which an independent panel examines the merger in greater depth.

A phase two investigation is a longer and more detailed process, and it can lead to the deal being cleared, cleared with conditions, or prohibited in whole or in part. For now, the outcome remains open.

The deal in context

The planned transaction, announced in March 2026, covers substantially all of Unilever's global food business, with some food businesses staying with Unilever. Under the merger agreement, Unilever would receive McCormick shares and the right to appoint members of its board, and completion remains conditional on competition clearances, including from the CMA.

The CMA invited comments on the deal in July and August, then formally launched its phase one merger inquiry on 16 September 2026. The phase one decision was due on 11 November.

For shoppers, nothing changes immediately. The deal has not completed, and the brands involved remain under separate ownership while the regulatory process continues. The next milestone is the remedies deadline on 18 November.

Frequently asked questions

Has the CMA blocked the McCormick-Unilever deal? No. The CMA has found that the deal may be expected to weaken competition in dry mixes and dry sauces. It will be referred to a phase two investigation unless the companies offer acceptable remedies by 18 November.

Which products raised concerns? Dry ingredient mixes and dry sauces sold to UK retailers. The CMA cleared mustard, finding that French's American-style mustard and Unilever's Colman's and Maille mustards sit in separate markets.

What happens on 18 November? That is the deadline for McCormick and Unilever to offer undertakings to address the CMA's concerns. If they do not, or the offers fall short, the merger goes to an in-depth phase two investigation.

Source: Competition and Markets Authority, McCormick / Unilever merger inquiry