Today : Nov 18, 2025
Business
18 November 2025

CMA Targets Eight Firms In Major Online Pricing Crackdown

UK regulators launch first investigations under new consumer protection law, targeting drip pricing and hidden fees across ticketing, driving schools, gyms, and homeware sectors.

The United Kingdom’s Competition and Markets Authority (CMA) has thrown down the gauntlet against misleading online pricing practices, launching its first-ever enforcement actions under the newly minted Digital Markets, Competition and Consumers Act 2024. On November 18, 2025, the regulator revealed it is investigating eight major companies—StubHub, Viagogo, AA Driving School, BSM Driving School, Gold’s Gym, Wayfair, Appliances Direct, and Marks Electrical—over concerns ranging from hidden fees to questionable sales tactics. This marks a significant escalation in the UK’s efforts to protect consumers navigating the sometimes-murky waters of online shopping.

The CMA’s move follows a sweeping review that began in April, scrutinizing more than 400 businesses across 19 different sectors for compliance with price transparency rules. The regulator’s focus? Practices like “drip pricing”—where shoppers see an attractive headline price, only to be hit with mandatory charges later in the checkout process—along with pressure selling, misleading countdown clocks, and automatic opt-ins for extra services. According to the CMA, these tactics can leave consumers feeling duped and out of pocket, while also distorting competition for businesses that play fair.

Sarah Cardell, Chief Executive of the CMA, didn’t mince words about the stakes involved. “At a time when household budgets are under constant pressure and we’re all hunting for the best deal possible, it’s crucial that people are able to shop online with confidence, knowing that the price they see is the price they’ll pay, and any sales are genuine,” she stated, as reported by BBC. “Whether you’re spending your hard-earned cash on concert tickets or driving lessons, joining a gym or buying furniture and appliances for your home, you deserve a fair deal. It’s our job to protect consumers from misleading prices and illegal pressure selling and today marks an important milestone as we take action across the economy to make sure businesses do the right thing by their customers.”

At the heart of the CMA’s enforcement package are the eight companies now under formal investigation. StubHub and Viagogo, both well-known for secondary ticket sales, are being scrutinized over whether consumers are shown all mandatory fees—like taxes and booking charges—right at the start of their purchase journey. The AA Driving School and BSM Driving School face questions about how transparently they present booking fees to potential customers, specifically whether these charges are clear from the beginning of the transaction process. Gold’s Gym is under the microscope for allegedly introducing a one-off joining fee partway through its sign-up process, potentially leaving customers with unexpected costs not reflected in advertised membership prices.

Meanwhile, homeware retailers Wayfair, Appliances Direct, and Marks Electrical are being investigated for their use of time-limited sales and automatic opt-ins for additional services, such as old appliance removal or installation. The CMA is examining whether these sales actually end when advertised and if customers are being automatically signed up for extras without explicit consent. According to the regulator, such practices may violate both the new 2024 Act and longstanding consumer protection laws like the Consumer Protection from Unfair Trading Regulations 2008.

It’s not just these eight firms feeling the heat. The CMA is also reaching out to 100 other businesses across 14 sectors—including holidays, rail and coach travel, cinemas, live event tickets, food delivery, gyms, fashion, and online vouchers—urging them to review their pricing practices. These advisory letters put companies “on notice,” requiring them to ensure their approaches align with the CMA’s new guidance on price transparency and unfair commercial practices. Failure to comply could bring future enforcement actions, potentially resulting in hefty fines or demands for customer compensation.

The scale of the issue is hard to overstate. According to CMA findings, drip pricing is rampant: a staggering 93% of event ticket businesses reviewed engaged in the practice, as did 69% of cinema ticket sellers and 60% of gym membership providers. The sectors targeted by the CMA collectively serve tens of millions of UK consumers each year. For example, in the first half of 2025 alone, UK residents made over 44.7 million trips overseas, spending an estimated £38.6 billion, while at home, 11.5 million people belong to a gym and nearly a third of adults order fast food for delivery at least monthly. Secondary ticketing sites are used by one in ten UK consumers, 72% of whom report concerns about additional fees, as highlighted in the CMA’s review.

Under the new regime, the CMA’s powers are formidable. No longer must the regulator slog through lengthy court proceedings to hold companies accountable. Instead, it can directly determine whether consumer laws have been breached and, if so, order businesses to pay compensation to affected customers and fine them up to 10% of global turnover. The CMA can also impose penalties for failing to provide information, concealing evidence, or providing false information, with fines of up to 1% of global turnover and additional daily penalties for continued non-compliance.

For now, the CMA has emphasized that it has “reached no conclusions about whether the law has been broken in any of these investigations,” as reported by BBC and echoed in statements from the companies involved. Nick Glynne, chief executive of Buy It Direct (parent company of Appliances Direct), remarked, “We are one of the largest appliance retailers in the UK, selling over two million items each year. I am not aware of a single customer complaint about our promotions.” A spokesperson for Wayfair UK said the company was “taking the investigation seriously” and cooperating fully, adding, “Our priority is to ensure that we continue to operate in full compliance with all regulatory requirements.”

The AA Driving School and BSM Driving School, both operated by Automobile Association Developments Limited, responded, “We are comfortable that the £3 booking fee for lessons is already transparent and in line with the CMA’s rules and are more than happy to additionally notify customers earlier in the journey as well, which we have already done.” Viagogo echoed a similar sentiment, saying, “We have continually engaged constructively with the CMA and will be fully cooperating with their investigation.” Marks Electrical underscored its commitment to compliance, noting, “Our checkout has endeavoured to present these services with clear descriptions, clear pricing, and a simple one-click option to remove them. Product prices and service costs are shown separately and prominently, ensuring customers can make informed decisions before completing their purchase.”

Consumer advocacy groups have welcomed the CMA’s actions. Rocio Concha, director of policy and advocacy at Which?, stated, “It’s encouraging that the regulator is taking this action. It shouldn’t hesitate to use its new consumer enforcement powers to fine any firms that have broken the rules.”

Looking ahead, the next updates on these investigations are expected in March 2026. The CMA has made it clear: this is just the beginning. As the regulator continues to flex its new powers, businesses across the UK’s digital economy are being put on notice—transparency is no longer optional, and those who skirt the rules may soon find themselves in hot water.

With the landscape of online shopping evolving rapidly, the CMA’s crackdown signals a new era of accountability, aiming to ensure that consumers can trust the deals they see and that honest businesses aren’t left at a disadvantage.