Burnham Cracks Down on Subscription Traps Amid UK Inflation
UK Prime Minister Andy Burnham has announced plans to tackle rising living costs by cracking down on 'subscription traps'. The move aims to make it easier for consumers to cancel unwanted subscriptions and provide clearer information when signing up. According to government figures, the average person spends around £500 a year on three active subscriptions.
Burnham's plan includes banning misleading pricing practices that give shoppers false impressions of discounts. This means retailers will no longer be able to inflate prices before cutting them to make it appear as though customers are getting a better deal.
The government is accelerating the introduction of new protections, bringing forward their implementation from next spring to January 2027. The rules will force businesses to provide clearer information when people sign up and make it easier for customers to cancel subscriptions. Consumers will also be given a 14-day cooling-off period after a trial ends or a long-term contract renews.
Ministers estimate that consumers will save an average of £14 per month on each unwanted subscription they are able to leave early.