Oct 11 (Reuters) - Britain's antitrust regulator said on Wednesday it has decided to refer for an in-depth investigation into Turkish domestic appliances maker Arcelik's proposed purchase of Whirlpool's appliances business in Europe.

The Competition and Markets Authority (CMA) said the decision for a Phase 2 probe was taken after the parties informed the regulator they would not offer any undertakings towards addressing any potential substantial lessening of competition within the UK due to the deal.

The CMA last month

said

the deal could reduce choices in the supply of major household appliances.

The deal would include Arcelik and Whirlpool setting up a new entity comprising the two companies' European units, selling small and major domestic appliances and consumer electronics, the duo had announced in January.

If the deal were to go ahead, the new entity would be the largest individual supplier of washing machines, tumble dryers, dishwashers and cooking appliances in the UK, where the market is worth more than 3.8 billion pounds ($4.67 billion), the CMA said.

($1 = 0.8139 pounds) (Reporting by Aby Jose Koilparambil in Bengaluru; Editing by Savio D'Souza and Sohini Goswami)