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UK to tighten subscription and discount rules by January 2027
The government says the changes, including easier contract exits and tougher “pretend prices” rules, are expected to save consumers up to £170 per person a year.
The UK government will bring forward a package aimed at ending so-called subscription traps and cracking down on misleading discount pricing, with new rules promised to start by January 2027, BBC Business reports.
Under the plan announced by Prime Minister Andy Burnham, companies will be required to provide clearer up-front information, regular reminders, and a much easier exit from contracts that auto-renew at higher prices.
The government also plans to outlaw retail “pretend prices,” which it says can mislead shoppers by using misleading “was” prices, made-up discounts, or inflated recommended retail prices to promote deals. A consultation will be launched this autumn on how the measures should be implemented.
The rules were previously set to begin next spring, BBC Business reports. When the proposals were unveiled in April, the government said they would save consumers £400 million per year in total, based on estimates that there are 10 million unwanted active subscriptions across the UK, including people rolled from free or discounted trials and those caught by unexpected auto-renewals.