Prime Minister Andy Burnham has vowed to outlaw fake discounts and crack down on stealth subscriptions as part of a push to address the cost of living. He has proposed banning businesses from advertising "rip-off" discounts and will accelerate existing plans to make subscriptions easier to cancel.
The government intends to ban retailers from making misleading claims about discount values, including fake reductions and misleading recommended retail prices. This measure is expected to save British shoppers around £400m annually.
Burnham also stated he will speed up plans to compel businesses to simplify subscription cancellations and increase payment plan reminders. These measures include a 14-day cooling-off period for consumers to refund unwanted auto-renewals or roll-on fees, with ministers estimating an average saving of £14 per month per consumer. Brits reportedly spend about £1.6bn per year on unwanted subscriptions.
The News Media Association, representing publishers, expressed disappointment, stating the government "rushed ahead" without sufficient engagement. However, Sue Davies, head of consumer rights policy at Which?, welcomed the plans, urging swift implementation and tough enforcement.
Shadow chancellor Mel Stride criticised Burnham, accusing him of using "reheated" policy ideas, noting that former Prime Minister Sir Keir Starmer had previously set out plans to address subscription traps.