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Britain’s competition watchdog is investigating whether Facebook is abusing its dominance of the digital advertising market, which could mean huge fines for the company.

The Competition and Markets Authority (CMA) will decide if Facebook has gained an unfair advantage over rivals in online classified adverts and dating space through its advertising data.

The watchdog says it wants to determine if Facebook has prevented smaller rival businesses from succeeding and has reduced customer choice. A similar inquiry has been launched by the European Commission, with the two planning to work closely together.

The CMA’s investigation will examine if Facebook abused its position by using the huge amounts of data it gathers on users from its advertising service to build extra features that could overtake competitors. Such



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