What is the CMA investigating?

Following a price transparency review of more than 400 businesses across nineteen different sectors, the CMA has launched investigations into eight businesses as follows:

• StubHub and viagogo are being investigated regarding the mandatory additional charges applied when consumers buy tickets from their secondary ticketing sites, and whether or not these fees are brought to consumers’ attention at the right stage of the purchase process
• The AA Driving School and BSM Driving Schoolare also being investigated over their presentation of mandatory fees on their websites
• Gold’s Gym is under investigation over its presentation of a one-off joining fee for its annual membership, which is introduced part way through the sign-up process and not including it in advertised membership costs
• Wayfair, Appliances Direct, and Marks Electrical are being investigated to determine whether their time-limited sales ended when they said they would and/or whether customers are being automatically opted in to purchasing additional services.

The CMA has also issued advisory letters to more than 100 companies, outlining concerns about their use of additional fees and online sales tactics.

The CMA has said that this marks the start of a substantial enforcement wave and updates to its guidance confirm the expectation businesses must understand how to navigate this new regime.

Commenting on its work, the CMA’s Chief Executive, Sarah Cardell said: “This is just the start of our work. Any businesses who break consumer law should be in no doubt we will stamp out illegal conduct and protect the interests of consumers and fair-dealing businesses.”

Does this apply to me?

If you sell online, you’re in scope. The CMA has identified fourteen sectors of potential concern for price transparency compliance:

• Holidays (including package travel)
• Driving schools
• Homeware retailers
• Rail travel
• Parking and airport parking
• Bus and coach travel
• Luggage storage providers
• Cinemas
• Live event tickets
• Food and drink delivery companies
• Letter and parcel delivery
• Gyms and fitness
• Fashion
• Online vouchers

However, even if your business does not fall within these sectors, but has an online presence, this matters to you.

Businesses should also note that, unlike many types of conduct the CMA may investigate using its competition law powers, these issues are relatively easy to spot. Through the use of AI tools, large numbers of websites can also be reviewed quite quickly. This increases the enforcement risk for individual businesses.

What has changed?

While drip pricing and misleading headline prices have long been prohibited under consumer law, the DMCCA strengthens the CMA’s enforcement powers and its ability to act quickly.

The CMA now has direct enforcement powers, enabling it to impose fines of up to 10% of global annual turnover, and additional daily penalties for ongoing breaches, without lengthy court proceedings. This significantly heightens the risk for businesses.

Practical steps for businesses

To mitigate the risk of CMA scrutiny, it is important for businesses to:

Audit the checkout process

• Check every stage of your checkout process and ensure all mandatory fees are included upfront.
• Highlight any optional extras and require active consent from consumers for these.

Kill the clock (if it is not real)

• Remove countdown timers or “limited stock” claims unless they are accurate and verifiable.
• Document the basis for any urgency messaging.

Train your teams

• Conduct training sessions for your employees on the new regime.
• Embed compliance checks into sign-off processes.

Prepare for scrutiny

• Keep records of pricing logic, promotional terms, and compliance decisions.
• Be ready to respond quickly to CMA information requests.

Expected to come into force in Autumn 2026, additional rules pertaining to subscription traps will require that auto-renewal terms are clear, with simple cancellation options available.

How we can support you

Our experts can help you stay ahead with:

• Risk reviews of your online content.
• Tailored training sessions for marketing, product, and compliance teams.
• Template compliance checklists for promotions and subscriptions.
• Strategic advice on CMA engagement and enforcement risk mitigation.

If you’re unsure whether your practices meet the new standards, now is the time to act. If you would like to know more, please get in touch.