Prime Minister Andy Burnham has promised a series of measures aimed at easing the cost of living, including a ban on misleading discounts and making it simpler for consumers to cancel unwanted subscriptions. This crackdown on what he calls “rip-off” business practices is projected to benefit consumers by £400m annually.
The government intends to ban misleading pricing tactics used by retailers, such as fabricated “was” prices and invented reductions. Ministers will consult this autumn on the specific practices to be covered and how the ban will be implemented, with changes expected through secondary legislation.
New protections against subscription traps are also being fast-tracked, with an introduction moved from next spring to January. These rules will require businesses to provide clearer information at sign-up, send regular reminders about subscriptions, and simplify the cancellation process. Customers will also receive a 14-day cooling-off period after a trial ends or a long-term contract renews.
Government figures suggest the average person has around three subscriptions, spending approximately £500 a year. It is estimated that £1.6bn is spent annually on unwanted subscriptions across the UK, and ministers believe consumers could save an average of £14 a month for each unwanted subscription they are able to cancel early.