All power to the UK competition watchdog’s war on ‘drip pricing’

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All power to the UK competition watchdog’s war on ‘drip pricing’

The Guardian · 3 hours ago

The Competition and Markets Authority has opened investigations into Trainline, Virgin Atlantic and Red Driving School over alleged "drip pricing" — the practice of not being upfront about mandatory add-on charges. The move aligns with the government's wider push against hidden fees, though the CMA's crackdown actually predates the current administration, having been enabled by the previous government's 2024 Digital Markets, Competition and Consumers Act, which gave it powers to enforce consumer protection rules directly rather than through the courts.

The regulator has already opened eight such cases since last November, with driving schools AA and BSM and ticketing site StubHub UK fined. Trainline shares fell 14% on the news, even though the sums involved appear modest, with the CMA citing additional fees ranging from 50p to £2.79 on around 30% of journeys. Trainline said it had been in talks with the CMA for months and was working to make its fees clearer, prompting questions over why a formal investigation was needed if cooperation was already under way; the probe also comes as Trainline awaits news on whether state-owned Great British Railways will launch a rival fee-free booking app.

  • CMA investigates Trainline, Virgin Atlantic and Red Driving School over hidden fees
  • Trainline shares dropped 14% despite small fees of 50p–£2.79
  • Crackdown predates PM Andy Burnham, using 2024 consumer protection powers

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