New consumer protection laws have come into effect in the UK, banning fake reviews and hidden fees in a bid to enhance transparency and protect shoppers. The reforms, led by the Competition and Markets Authority (CMA), are part of the government's broader "Plan for Change" aimed at creating economic stability and empowering consumers.
Under the new rules, all mandatory fees — including admin and ticket booking charges — must be clearly included in the upfront price. This move is intended to end the practice of "drip pricing", where fees are only revealed at the checkout stage, often misleading customers.
The government estimates that consumers spend around £2.2 billion annually on unavoidable hidden fees. The new legislation will not only enable clearer comparisons between products and services but also prevent deceptive practices that undercut honest businesses.
Outlandish and misleading online reviews are also being banned. With 90% of shoppers relying on reviews, which influenced £217 billion of online retail spending in 2023, the crackdown aims to prevent consumers from being misled by false experiences or fake endorsements.
Employment Rights Minister Justin Madders stated: 'These changes will give consumers more power and control over their hard-earned cash.' Sarah Cardell, Chief Executive of the CMA, added: 'We will use these new provisions to safeguard people from harmful and unfair treatment.'
The CMA will prioritise targeting the most severe breaches first while offering guidance to ensure compliance, especially for smaller businesses. The government also pledged to minimise regulatory burdens and keep future rules proportionate.
The changes are seen as a significant step towards a fairer marketplace and a level playing field for compliant businesses.
Source: www.bigfurnituregroup.com