UK PM Burnham vows to end 'subscription traps' amid cost-of-living crisis
LONDON: British Prime Minister Andy Burnham has vowed to crack down on hard-to-cancel subscriptions and fake discounts as part of measures to tackle the cost-of-living crisis, Downing Street said Sunday.
British Prime Minister Andy Burnham has pledged to tackle the issue of hard-to-cancel subscriptions and misleading discount claims as part of his efforts to address the cost-of-living crisis, according to Downing Street. The announcement was made as Burnham, the new Labour leader, returned from a vacation to kick off a tour of the country to discuss financial pressures with the public.
In a statement, Burnham expressed frustration at people's growing anger over "rip-off discounts and subscription traps," where subscriptions are difficult to cancel or automatically renew at a higher cost. His government aims to make it as easy to leave a subscription as it is to join. Currently, British consumers are estimated to be spending £1.6 billion ($2.2 billion) each year on subscriptions they do not want.
New regulations will be implemented in January next year, requiring businesses to provide clearer upfront information, regular reminders, and simplified exit procedures for contracts. Additionally, a 14-day cooling-off period will be introduced to allow consumers to cancel after a trial period or when a long-term contract renews.
Burnham also vowed to combat misleading discount claims based on inflated full-price figures. With his roots in regional politics, Burnham emphasized his intent to bring politics beyond Westminster, touring all parts of the United Kingdom, including economically challenged areas like Port Talbot in Wales. He promised to engage with constituents and ask the question: "What would actually make your life better?"
Despite his promises, opposition politicians from both sides have criticized his measures as insufficient.
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