The UK is banning “fake reviews and sneaky hidden fees” to protect people shopping online. Under the Digital Markets, Competition and Consumer Act 2024, online platforms must now transparently include all mandatory fees in the advertised price of a product, including booking or admin fees.
The law mainly targets those platforms that display additional charges (e.g. platform service fees) during the checkout, so that the customer pays more than they had calculated. The ban “aims to end the shock that online shoppers experience when they get to the end of their purchases to find a series of extra charges on top,” according to Justin Madders, the UK Minister for Employment Rights, Competition and Markets.
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The legislation will apply to things like delivery services and ticket booking platforms, requiring mandatory delivery and handling fees to be built into the total price or clearly displayed at the beginning of the purchase process. However, optional fees, such as those for airline seat selection or upgrading baggage allowances, will not be affected.
Also, in addition to additional fees, fake reviews by businesses themselves, which try to artificially inflate online ratings, are prohibited. Website providers are responsible for monitoring online reviews . According to the law, “anyone who publishes or provides access to consumer reviews or consumer review information” will be required to take “reasonable and proportionate measures” to remove and prevent fake reviews, or face investigation.
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The UK Competition and Markets Authority (CMA) can impose fines of up to 10% of a company's annual global turnover if a breach is found.
"Starting today, consumers can shop knowing they are protected from fake reviews and fake prices," Madders said. "These changes will give consumers more power and control over their hard-earned cash and help create a level playing field."
With this law, the government is trying to ensure that users have access to reliable and accurate information. By punishing businesses that engage in dishonest practices, the government aims to level the playing field and support honest businesses that rely on genuine customer feedback and full transparency about charges.
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The new measures not only promote transparency, but also strengthen the trust that users show in the platforms.
Additionally, this move serves as a reminder to businesses that reputation management should not involve deceptive tactics. Instead, businesses services should focus on providing great products and.
Source: www.theverge.com
