UK to consider banning fake discount claims under new consumer protection rules

Prime Minister Andy Burnham announced a drive to eradicate phoney bargains, insisting that advertised half-price offers must truly be half price. The government plans an autumn consultation to decide if fabricated discount claims, such as invented previous prices or misleading recommended retail prices, should be added to the 32 prohibited practices under the Digital Markets, Competition and Consumers Act 2024. Although the Act already bans unfair commercial practices, regulators like the Competition and Markets Authority and Trading Standards must meet strict thresholds to prove a discount misled consumers, a process that can take months.

Consumer group Which? and competition lawyer Hafsah Nawaz argue that a specific ban would make enforcement clearer and discourage retailers from testing loopholes. The Chartered Trading Standards Institute offers non-binding guidance urging retailers to use genuine reference prices, ensure the higher price was offered for a reasonable period, and demonstrate significant sales at that price. Experts caution that ambiguous wording could leave loopholes, so precise drafting is essential.