Britain's competition watchdog has opened investigations into eight major companies over suspected illegal online pricing practices. The Competition and Markets Authority (CMA) targets StubHub, Viagogo, AA Driving School, BSM Driving School, Gold's Gym, Wayfair, Appliances Direct and Marks Electrical in what marks the first enforcement action under its new consumer protection powers.
The investigations follow a cross-economy review of online pricing and sales tactics. The CMA said it suspects the companies of breaking consumer law through hidden fees, misleading time-limited offers or automatically adding optional charges to purchases.
The watchdog is also writing to 100 businesses across 14 sectors to outline concerns about their pricing practices.
What Each Company Faces
Secondary ticketing platforms StubHub and Viagogo are under scrutiny over mandatory additional charges applied when consumers buy tickets. The CMA is examining whether these fees were included upfront in the displayed prices.
AA Driving School and BSM Driving School face investigation over their presentation of mandatory fees. The watchdog is checking whether these charges were included in the total price shown at the start of the purchase process.
Gold's Gym is being investigated over its one-off joining fee for annual membership. The CMA is examining whether the gym broke the law by introducing this fee partway through the sign-up process without including it in advertised membership costs.
Wayfair faces scrutiny over time-limited sales. Marks Electrical is being investigated for default opt-ins, while Appliances Direct is under review for both time-limited sales and default opt-ins.
Watchdog's Warning
CMA chief executive Sarah Cardell said: "At a time when household budgets are under constant pressure and we're all hunting for the best deal possible, it's crucial that people are able to shop online with confidence, knowing that the price they see is the price they'll pay, and any sales are genuine."
She added: "Whether you're spending your hard-earned cash on concert tickets or driving lessons, joining a gym or buying furniture and appliances for your home, you deserve a fair deal."
Cardell emphasized the watchdog's commitment to enforcement. "Since the launch of the new regime, we've been working hard to help businesses understand the law. But alongside supporting businesses to comply, we've always been clear that we will take swift action where we suspect potentially serious breaches of the law," she said.
She warned: "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."
The CMA has reached no conclusions about whether the law was broken in any of these investigations.
Note: This article was created with Artificial Intelligence (AI).
