Deal or no deal? How to know if the retail price is right

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Deal or no deal? How to know if the retail price is right

The Guardian · 1 hour ago

The government is planning to crack down on misleading discounts in shops and online, with Andy Burnham pledging to end "phoney bargains" such as fake "was" prices and endless closing-down sales. A consultation this autumn will consider whether false discount claims, invented reference prices and misleading recommended retail prices (RRPs) should be explicitly added to the list of banned practices under the Digital Markets, Competition and Consumers Act 2024, making enforcement easier for regulators. This matters because current rules, while technically covering such practices as "unfair commercial practices", require a lengthy and costly process to prove that misleading pricing actually changed a shopper's decision.

The Competition and Markets Authority can already fine retailers up to 10% of global turnover and order refunds without going to court, but investigations typically take three to six months due to the legal thresholds involved. The government wants to add dodgy discounting to the 32 practices already automatically banned, removing the need to prove consumer harm case by case. Which? research found that of 175 Black Friday offers from eight retailers examined last year, most items were the same price or cheaper at other times of year. Historically, guidance suggested items should be sold at a higher price for at least 28 consecutive days within the prior six months before that price could be used as a discount reference point, though lawyers note the 2024 Act instead focuses on retailers' intent when setting prices.

  • Government plans autumn consultation to ban fake discount tactics outright
  • CMA can already fine up to 10% of turnover, but proving harm is slow
  • Which? found most "Black Friday deals" were no cheaper than usual

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