The ex-chair of the Competition and Markets Authority has criticised PCR tests for travel as becoming “a predictable Covid rip-off”,
Lord Tyrie said the competition regulator had been “too slow to react” to complaints about testing providers.
The slow response of the CMA was likely to mean it was too late to offer a full remedy to the market before the peak holiday season comes to a close and people return to work and school in September, he warned
Travel trade leaders and consumers have objected to high prices and poor service from many of the 400-plus test firms listed on the government’s website.
Tests cost about £75 on average, but prices can reach hundreds of pounds.
Health secretary Sajid Javid last week requested the CMA to investigate “excessive” pricing and “exploitative practices” among PCR Covid travel test firms.
The CMA initially said it would take up to a month to report back.
But it said it was reviewing the situation “immediately” after criticism from the travel industry.
Lord Tyrie told the BBC that the CMA “could and should have been better prepared”.
“It should either be acting already directly using existing powers. Or if deemed inadequate for the job, it should be advising the government on how to obtain a quick remedy, whether by legislation or by other means,” he said. “This advice should already be with the government.”
He left the competition watchdog last summer after two years in the post, suggesting the role prevented him leading a more aggressive campaign for change.
He added: “The CMA acted much more quickly to quell price-gouging on hand sanitiser and other Covid-related products 18 months ago. Far from building on this success, boldness appears to have taken a back seat.”
Lord Tyrie said that “the CMA is full of able and highly motivated people, keen to tackle detriment like this”.
“Their energies need to be released from an excess of caution at the highest levels,” he added.
The cost of NHS coronavirus tests for international arrivals to the UK was reduced at the weekend.
Criticism of the government’s decision to implement PCR Covid testing for all UK arrivals has been significant from the travel sector.
Manchester Airport Group, Gatwick and Tui last week cited the testing policy as a major barrier to travel resumption and industry recovery.
The government said its top priority was to protect public health and it continued to work with industry to help them navigate this difficult period.
A CMA spokesperson said: “These comments are inaccurate. The CMA gave advice to DHSC officials about the PCR testing market in April and we gave further advice to the secretary of state last week.
“We continue to work closely with DHSC in reviewing the market and, as we have made clear, we will not hesitate to take enforcement action ourselves if there are breaches of consumer law.
“Since the start of the pandemic, the CMA has secured hundreds of millions of pounds in refunds for people who have been treated unfairly, in sectors including holiday accommodation and package travel.”