UK Enacts Ban on Hidden Fees and Fake Reviews in Online Transactions
New consumer protection laws, effective April 6, 2025, mandate upfront pricing transparency and aim to restore trust in online marketplaces.
- The Digital Markets, Competition and Consumer Act 2024 officially bans hidden fees and fake reviews in the UK starting today.
- Businesses must now include mandatory fees, such as booking and administration charges, in upfront pricing, though optional extras remain excluded.
- Online platforms are legally required to prevent and remove fake reviews, addressing an issue that affects at least 10% of product reviews on third-party platforms.
- The Competition and Markets Authority will enforce the new regulations, ensuring compliance to create a fairer marketplace.
- Research shows hidden fees previously cost UK consumers £2.2 billion annually, while fake reviews undermined trust in the £217 billion online retail sector.