How new laws should put an end to nasty hidden fees

Finally some good news! Shopping online is about to get much easier thanks to a ban on ‘drip pricing’.

- MARTYN JAMES

This is when businesses quote a price to lure you in, then add on additional, unavoidable fees that you can't opt out of. As a result, what you are charged out at the checkout can be much higher.

Drip pricing is a big deal The Department for Business and Trade (DBT) found that these unavoidable fees cost us all £2.2 billion every year. The charges affect over half of all entertainment and hospitality transactions and nearly three quarters of transport and communication charges.

These new rules are part of the Digital Markets, Competition and Consumer Bill (DMCC). Drip pricing and fake reviews all both now banned and stronger enforcement powers have been granted to the Competition and Markets Authority (CMA) to enforce the rules.

Not all additional charges are being banned though. Here’s my guide on what to watch for.

How do the new rules work?

Even though drip pricing is being banned, you won't see the end of all add-on charges. The fees themselves aren't being banned - the business must tell you up front about them.