Trainline, Virgin Atlantic and RED Driving School investigated over 'drip pricing'
The consumer watchdog said they were trying to find out if the three companies were not showing full prices upfront to customers.
The Competition and Markets Authority (CMA) is investigating Trainline, Virgin Atlantic, and RED Driving School for alleged "drip pricing" practices, which involve not showing full prices upfront to customers. If found guilty, the firms could face fines or be ordered to compensate customers. Trainline and Virgin Atlantic stated they are committed to transparency and would cooperate with the CMA's investigation.
The CMA observed fees of up to £2.79 being added to Trainline's train fares and up to £1.50 for coach bookings, as well as mandatory resort fees and local taxes that can significantly increase the cost of package holidays with Virgin Atlantic. RED Driving School is being investigated to determine if mandatory booking fees and digital fees were included in the upfront price shown to customers buying driving lessons.
The CMA emphasized that the first price customers see should be the price they pay, especially at a time when many households are watching every pound they spend. Virgin Atlantic and Trainline both stated they are reviewing the CMA's findings and will cooperate fully with the investigation.
Written by urgent.news from BBC Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
