Ministers set to crackdown on ‘subscription traps’ costing Brits £1.6bn per year
MINISTERS will crackdown on dodgy “subscription traps” that leave Brits out of pocket, the Sun on Sunday can reveal.
Online firms will no longer be able to rope in customers with free deals or low cost offers and not warn them when they start paying the full price.
The traps cost the public around £1.6bn every year - with many not even realising they are paying full price.
Companies will also have to spell out the details of the subscription and make it easier for punters to exit.
The powers will come in the upcoming Digital Markets, Competition and Consumers Bill.
A Whitehall insider said: “Subscriptions are a convenient way of purchasing items, but for too long, subscription traps have silently eaten away at people’s bank balances month after month.
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“We’re taking action to bring this to an end.
“Businesses will now need to be upfront about what consumers are signing up for, mustn’t put up unnecessary barriers when consumers wish to exit, and must provide clear and timely reminders, so that people aren’t losing money unnecessarily.”
The government is concerned businesses make it unreasonably difficult for customers to cancel a subscription.
The bill will also tackle fake reviews so customers aren’t cheated by bogus ratings.
