New rules are on the way to help you cancel subscriptions – but what are they?
It’s a familiar feeling in the modern age. You’ve grown bored of a subscription or it’s become too expensive, and now you want to get out.
But the dread grows as you learn what that could involve: a long, deliberately drawn-out phone call where a stranger takes up your entire afternoon trying to offer new deals – or worse, leaves you on hold forever.
That could soon become a thing of the past. New measures announced by the government aim to make it as straightforward as possible to cancel subscriptions.
According to ministers, the new measures will save Brits £400 million every year.
Consumer Protection Minister Kate Dearden said: ‘There’s nothing more frustrating than seeing money you’ve worked hard for, disappear from your account for a subscription you’ve forgotten you had.
‘These new rules will put consumers back in control of their money – making subscriptions clearer, fairer and far easier to cancel.’
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What are the new rules on ‘subscription traps’?
Under the new measures, people will get ‘clear, simple information’ on exactly what a subscription will involve before they sign up.
Reminders will be sent out before free or discounted trials come to an end, or before contracts automatically renew.
Cancellations will become more straightforward – if you’re able to sign up online, you’ll also be able to cancel online.
When trials come to an end or contracts auto-renew, a new cooling-off period will allow people to cancel or get a full or proportionate refund up to 14 days afterwards.
Any companies that don’t follow the rules can be fined up to 10% of their global turnover by the courts or the Competition and Markets Authority.
There’s a bit of a wait for the rules to come into force, though – that’s expected to happen in spring 2027, to allow companies some time to put changes in place.
And there’s an exemption for ‘certain memberships of charitable, cultural and heritage organisations’ too, the government said, owing to their ‘unique role’ in giving the public access to culture and landscapes.
What is the current situation with subscriptions?
The Department of Business and Trade says nearly 10 million of the 155 million active subscriptions across the UK are believed to be unwanted.
Social media is full of nightmare stories about the challenges people have faced when trying to get out of an unwanted subscription.
These complaints range from extortionate cancellation fees to the complexity of escaping after a free trial turns into a paid-for contract.
Sue Davies, Which? Head of Consumer Rights Policy, said: ‘The strengthening of subscription laws will be welcome news for those struggling with rising costs.
‘These new rules will help put consumers in the driving seat with proper transparency and protection.’
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