UK Bans ‘Fake Reviews and Sneaky Hidden Fees’

The UK's Competition and Markets Authority (CMA) has banned "fake reviews and sneaking hidden fee…once and for all," in a move most consumers will welcome.
UK Bans ‘Fake Reviews and Sneaky Hidden Fees’
Written by Matt Milano

The UK’s Competition and Markets Authority (CMA) has banned “fake reviews and sneaking hidden fee…once and for all,” in a move most consumers will welcome.

Fake reviews have become a growing issue for online retailers, with Amazon and Google both struggling to combat the problem. An entire industry has sprung up around fake reviews, giving disreputable companies a cheap and easy way to purchase hundreds and thousands of fake reviews, all with the purpose of tricking consumers into purchasing a product they otherwise would not.

Similarly, hidden fees are costing consumers billions, with the CMA estimating “every year a whopping £2.2 billion is spent by consumers on unavoidable hidden fees.”

In response, the CMA has unveiled sweeping changes aimed at addressing both problems.

Hidden Fees

Under the new rules, businesses must disclose all mandatory fees in the headline price.

All mandatory fees, such as admin fees or ticket booking fees, must now be included in the headline price and can’t be deceptively dripped in throughout the checkout process, to dupe customers into paying more than they originally bargained for.

The ban aims to bring to an end the shock that online shoppers get when they reach the end of their shopping experience only to find a raft of extra fees lumped on top.

So, for shoppers buying train tickets – they won’t be stung by a hidden booking fee at the end of the checkout.

When buying a takeaway, the delivery and admin fees must be clear at the start of the process.

The same will apply to all online shopping experiences from concert tickets to trips to the cinema.

“From today consumers can confidently make purchases knowing they are protected against fake reviews and dripped pricing,” said Justin Madders, CMA Minister for Employment Rights.

“These changes will give consumers more power and control over their hard-earned cash, as well as help to establish a level playing field by deterring bad actors that undercut compliant businesses, helping to deliver economic stability as part of our Plan for Change.”

Fake Reviews

The CMA’s fake reviews rules should help both consumers and honest businesses alike.

Outlandish fake reviews will also be banned today – so customers know what they are buying when they shop online.

The legislation will prevent punters turning up to a restaurant with 5-star reviews only to be served 1-star quality food. Or ordering a product online from a top-rated seller only to find it never turns up, or that when it does, it doesn’t look anything like it did in the picture, despite what previous buyers said.

Reviews were found to be used by 90% of consumers and contributed to the £217 billion spent in online retail markets in 2023, underscoring the importance of these new consumer protection laws.

New laws will also help prevent well-intentioned and compliant businesses from being under-cut by those seeking to catch out consumers with stealthy additional prices and fake reviews.

“We will use these new provisions to safeguard people from harmful and unfair treatment, and to foster the level-playing field for the vast majority of businesses who want to do the right thing for their customers,” said Sarah Cardell, Chief Executive of the CMA. “We will be tackling the more egregious practices first and working hard to support businesses with compliance, conscious that – especially for small businesses – the burden of following the rules must be proportionate.”

The CMA makes clear that optional fees are still permissible, such as upgrades for airline luggage or better seats. Mandatory fees, however, must be clearly included in the price. Similarly, businesses are responsible for combating fake reviews, and will be required to take measures “to prevent and remove the publication of fake reviews t hat are published on their websites.”

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