(Adds CMA quote in paragraph 3)
LONDON, Sept 12 (Reuters) - Britain's competition regulator said Vodafone's $19 billion merger with CK Hutchison's Three UK could lead to higher prices for mobile customers and that it would explore potential solutions to its concerns before it makes a final decision about the deal in December.
The Competition and Markets Authority $(CMA)$ conceded that the deal could improve the quality of mobile networks and accelerate the deployment of next generation 5G, as argued by both operators.
"We will now consider how Vodafone and Three might address our concerns about the likely impact of the merger on retail and wholesale customers while securing the potential longer-term benefits of the merger, including by guaranteeing future network investments," CMA inquiry chair Stuart McIntosh said on Friday.
(Reporting by Prerna Bedi and Yadarisa Shabong in Bengaluru and Paul Sandle in London; Editing by Rashmi Aich)
((Prerna.Bedi@thomsonreuters.com; +91 98052 24616;))
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