Andy Burnham Accelerates Crackdown on Subscription Traps and Fake Discounts

Prime Minister Andy Burnham announced a series of everyday fixes to combat the cost-of-living crisis, centering on a crackdown against subscription traps and deceptive retail discounts. The government is accelerating the implementation of easy to exit rules, moving the start date from Spring 2027 to January 2027. These regulations will require businesses to provide clearer upfront information, send mandatory reminders before 12-month contracts renew, and simplify the cancellation process. A new 14-day cooling-off period will also allow consumers to cancel after a trial ends or a long-term subscription renews.

Downing Street estimates that UK consumers waste approximately £1.6 billion annually on unwanted subscriptions, and these measures could save households an average of £14 per month. Simultaneously, the government will launch a consultation this autumn to determine if fake was prices and misleading recommended retail prices should be banned under the Digital Markets, Competition and Consumers Act. This move targets retailers who artificially inflate prices to create a false sense of value, a practice estimated to cost shoppers £400 million annually.

While consumer advocacy groups like Citizens Advice welcomed the acceleration, the News Media Association criticized the rushed timeline. Opposition leaders dismissed the plans as tinkering, with Shadow Chancellor Mel Stride describing the policies as reheated. In contrast, Business Secretary Jonathan Reynolds stated the government is protecting families from dodgy deals while maintaining clear rules for businesses. The announcements precede a summer tour of the United Kingdom by the Prime Minister.