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CMA opens consultation on new price transparency guidance for retailers

Draft rules to crack down on hidden charges and drip pricing under new consumer law

CMA opens consultation on new price transparency guidance for retailers

Price tags displayed at Walthamstow Market in London

Photo: iStock

The Competition and Markets Authority (CMA) has launched a public consultation on new draft guidance to help businesses comply with updated rules on price transparency under the Digital Markets, Competition and Consumers Act 2024.

Retailers and trade bodies have until 8 September 2025 to respond to the proposals, which aim to tackle misleading pricing practices and ensure consumers are given clear, upfront information about the total cost of products and services.


The draft guidance, published on 3 July, outlines the CMA’s expectations for how traders should present pricing information when making an “invitation to purchase” — which includes adverts, listings or any other communications that mention a product and a price. According to the CMA, this must include all material pricing information needed to make informed decisions.

Stronger rules, clearer prices

The guidance builds on existing protections but introduces new legal requirements designed to combat practices like:

 
  • Drip pricing – where additional mandatory fees appear late in the purchase process.
  •  
  • Partitioned pricing – where components of the price are listed separately without giving the total.
 

From online retailers and travel sites to supermarkets and service providers, all businesses will be expected to disclose the total price — including unavoidable extras like booking fees, delivery charges or service fees — at the outset. If it’s not possible to calculate the full price in advance, businesses must explain clearly how the final price will be determined.

The CMA is seeking feedback on specific sections of the draft, including how to handle unavoidable fees, clarity of presentation, and the treatment of sector-specific pricing. Industry stakeholders are invited to attend upcoming webinars and roundtable discussions during July and September. See details in the consultation document.

Written submissions can be emailed to consumerguidance@cma.gov.uk.

Once finalised, this new guidance will replace part of the CMA’s earlier guidance on unfair commercial practices, which covered all material information that must be provided when making invitations to purchase.

See the draft guidance here.