Announcement of new CMA consumer powers
On 20 April 2022, the Government included new plans to strengthen consumer law and protect the public. In conjunction with stronger powers for the CMA to tackle anti-competitive behaviour such as price-fixing and “killer acquisitions”, the Government announced:
- new legislation to make it clearly illegal to pay for fake reviews;
- new rules to make it easier for consumers to opt out of subscriptions (to tackle to so called “subscription trap”);
- a requirement for prepayment schemes to fully protect consumer’s money through trust accounts or insurance; and
- new powers for the CMA allowing it to directly enforce consumer law and fine businesses up to 10% of global turnover.
These new powers will have a significant impact on consumers, consumer facing businesses and the enforcement of consumer law; in particular, the introduction of powers allowing the CMA to directly fine businesses for consumer law breaches is a watershed moment.
Chambers is offering training on the new powers and the implications for those in the industry. If you are interest in the training please contact email@example.com
The Government’s press release can be read here: New rules to protect consumers’ hard-earned cash