Subscription trap legislation brought forward to ease cost of living crisis
Prime Minister Andy Burnham has announced bringing forward the ban on “subscription traps” to ease the cost of living crisis but it is action that has already been delayed twice before!
The Digital Markets, Competition and Consumers Act 2024 (DMCC) came into force on 6 April 2025. This covered drip pricing and reviews but plans for subscription reform were not expected to come into force until April 2026 and are now due in Autumn 2026.
On 23 March, when I asked why the implementation had been delayed until Autumn 2026, the Department for Business and Trade said that it recognised that all stakeholders, particularly businesses, “needed time to prepare”.
I was on Radio London, Jumoké Fashola stands in for Eddie Nestor talking about subscriptions. From 13.00.
I am regularly in the media talking about consumer rights and topical issues in various sectors such as retail, telecoms, motor, travel and finance. See my media page for examples and showreel.
TikTok video on the subscriptions announcement:
@thecomplainingcow Subscription trap and what it actually means #subscriptions #consumerrights #refunds #burnham #consumer
How to avoid subscription traps
- Be aware of the “free” and very cheap trials of subscriptions. Most, if not all, will ask for payment information when you sign up. Set yourself a reminder to cancel a day before the first payment is due. In some cases you will be able cancel on that day and still be able to use the free trial until the end of the period.
- Check the cancellation rights before signing up to anything but be aware that you may still be able to challenge these in certain circumstances.
- Think about how to pay. Using Direct Debit, companies usually have to give advance notice before changing the amount they collect and you are protected by the Direct Debit Guarantee. However, paying by credit card could give you Section 75 protection for eligible purchases (for amounts over £100), while debit and credit cards may also offer chargeback rights in some circumstances.
- When you cancel with the company, also inform your bank to ensure that the subscription payment is cancelled. You will then also be covered by the Direct Debit Guarantee, which ensures a full and immediate refund of the amount paid from your bank or building society if a mistake is made. It also helps with evidence for credit and debit card chargebacks and Section 75 requests.
How to try to get your money back on a subscription you haven’t used
It can be really difficult to get your money back because you have signed up to the terms and conditions to make the payment. However, you can try the following:
- Write to the company. If it doesn’t provide an email address or they refuse and you want to try a second time, use ceoemail.com to find the CEO email address and point out that you haven’t used the service. Some companies will be decent and refund you. For example, Amazon will usually do this for unused Prime and Audible subscriptions. Others may refund you the most recently paid month as a “goodwill gesture”.
- If the company rejects your request, contact your bank. A credit card company may try to obtain a refund for you but only for up to 3 months. They are required to allow the retailer 60 days to respond to your claim.
- If you think you have been misled, write to the company stating that under the DMCC a company cannot mislead customers by omitting or providing inaccurate information. If it has then it should refund you in full. The company must put you back to the position you were in financially before taking the decision.
If you had no intention of taking out a paid subscription, it is always worth trying to get a refund. Be polite, objective and explain clearly what you would like as a solution.
TikTok video about the situation now and what you can do:
@thecomplainingcow Law changes to “subscription traps” how long overdue but on their way. See part one previous video but for now how can you prevent being caught out by a subscription trap and what can you do if you have been caught out? #subscription #refunds #trials #consumerrights #moneysavingtips
The changes coming into force
- Provide simple and clear information to consumers before they enter a subscription contract.
- Issue a reminder to consumers that a “free trial” or low-cost “introductory offer” is coming to an end, send a reminder before a contract auto-renews onto a new term.
- Ensure consumers can exit a contract in a straightforward, cost-effective and timely way. This includes being able to cancel online if you signed up that way.
- Subscription providers will be required to remind consumers before a contract rolls over or automatically renews.
- 14-day cooling off period will be added. This means that if a consumer takes out a free or discounted trial or they miss the auto-renewal date at 12 months, they will receive a full or partial refund.
National Trading Standards research revealed that 4.7 million people were paying for a subscription they didn’t know they had signed up for.
The Government says that there are “…around 155 million active subscriptions in the UK, with consumers spending an estimated £1.6 billion a year on ones they don’t actually want, a direct hit to family budgets.”
It is probably more difficult to find people who haven’t been caught out by a subscription trap than those who have! Particularly if you have ADHD, see ADHD Tax: Why it hits even the financially savvy and what can be done about it?! These changes can’t come in soon enough and the Competition and Markets Authority (CMA) needs to be swift to take enforcement action, where necessary.
Adobe subscription investigation
On 24 March 2026 the CMA launched an investigation into some of Adobe’s subscription models. See my article: CMA investigates Adobe over concerns about cancellation fees.
These include the popular design programs Photoshop, Illustrator and Premiere. The CMA is investigating cases where consumers are having to pay 50% of the yearly cost if they cancel after the 14-day cooling off period and whether this is unfair. It is also looking at whether consumers received the full information from Adobe to make an informed decision.
TikTok video regarding CMA investigation
@thecomplainingcow Adobe is under investigation by the UK regulator 👀 The Competition and Markets Authority (CMA) is looking into whether cancellation fees on certain subscription plans are unfair ⚖️ #subscriptions #adobe #cma #consumerprotection #consumerrights
More help on subscriptions
Streaming services: How to cut subscriptions and save money.
Think before you sign – top 10 tips to save on subscriptions
More help with complaining effectively
For more general advice on resolving complaints see Top 20 Tips on how to complain effectively
For masses of information, tips, guidance, laws and regulations and templates GET THE BOOK! How To Complain: The ESSENTIAL Consumer Guide to Getting REFUNDS, Redress and RESULTS!
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