The UK government has announced plans to bring forward new consumer protection measures designed to reduce the cost-of-living burden, including a crackdown on unwanted subscriptions and misleading pricing.
Prime Minister Andy Burnham said the measures would make it easier for consumers to cancel subscriptions and prevent people from being automatically moved onto expensive contracts without their knowledge. What will change? The government plans to: Make subscriptions easier to cancel, tackling so-called “subscription traps”.
Prevent consumers from being rolled onto more expensive contracts without clear knowledge or consent. Crack down on “pretend prices”, including fake “was” prices, invented discounts and misleading recommended retail prices. Launch a consultation this autumn on how the new pricing rules should be implemented.
The subscription reforms were originally announced under former Prime Minister Sir Keir Starmer in April and were expected to take effect next spring. Burnham’s government now intends to implement them by January 2027. The government previously estimated that the subscription changes could save consumers around £400m annually, equivalent to as much as £170 per person.
Reaction Consumer organisation Which? welcomed the announcement, saying it had repeatedly found misleading deals from businesses, including major household brands. However, Shadow Chancellor Mel Stride criticised the plans as a repeat of measures already announced by the previous government.
The reforms build on the Digital Markets, Competition and Consumer Act 2024, which introduced protections against issues including hidden fees and fake online reviews and made subscription cancellations easier.
The government has also introduced other cost-of-living measures, including a £2 bus fare cap in England and a VAT reduction on household electricity bills.
Further pressure is expected on the government to announce larger measures in the upcoming 28 October Budget, although Chancellor John Healey has pledged to maintain strict control over government spending.
