Andy Burnham, as Labour Party Prime Minister, has committed to making it simpler for consumers to cancel unwanted subscriptions. The government is expediting the implementation of new measures aimed at protecting users from subscription traps, advancing the introduction date from next spring to January 2027.
Under the forthcoming regulations, businesses will be required to provide clearer information at the point of subscription, send regular reminders to customers about active subscriptions, and ensure cancellation processes are straightforward.
Additionally, consumers will benefit from a 14-day cooling-off period following the conclusion of a trial or the renewal of a long-term contract. Government ministers estimate these changes could save consumers an average of £14 per month on unwanted subscription fees.
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Nearly half (49%) of UK adults currently subscribe regularly to entertainment and book services such as Spotify, Netflix, and Amazon Prime Video. This is followed by 29% who pay for product delivery services, and 16% for charitable donations and newspaper or magazine subscriptions. Around 27% of adults report not having any subscription services, with that figure rising to 40% among those aged 55 and over, compared to 14% of 18 to 34-year-olds.
Citizens Advice has welcomed the new rules but emphasised that further action will still be necessary. Business, Innovation, Science and Trade Secretary Jonathan Reynolds stated, “There’s nothing worse than realising you’ve been fleeced by a dodgy deal, or seen money leaving your account because of a subscription you didn’t want to renew or couldn’t easily cancel. This Government is on the side of families working hard to make ends meet, while making sure the rules are clear for businesses and easy to follow.”
Sue Davies MBE, Head of Consumer Rights Policy at Which?, commented, “Which? has repeatedly exposed businesses, including trusted household brands, ripping off customers with dodgy deals that aren’t what they seem - but regulators have often found it too difficult to take action. It’s great news that the government intends to tighten up the law and explicitly ban misleading pricing practices, while putting an end to subscription traps. The government must implement these rules swiftly to give consumers much-needed protection against sneaky pricing tactics and hold businesses to account with tough enforcement, including fines, if they fall short.”