The Digital Markets, Competition and Consumers Act has officially received Royal Assent and is now law in the UK. This new legislation aims to safeguard consumers and promote fair competition, particularly focusing on large technology firms.

Key Points of the Act:

Consumer Protection:

  • Transparent Subscriptions: Businesses must provide clear information about subscription costs, notify consumers when trials are ending, and simplify the cancellation process.
  • Upfront Costs: All costs, including hidden fees, must be disclosed upfront, eliminating unexpected charges during online checkouts.
  • Ban on Fake Reviews: The Act prohibits fake reviews, ensuring consumers can trust online feedback.

Empowering Regulators:

  • Enhanced CMA Authority: The Competition and Markets Authority (CMA) now has greater power to prevent big tech companies from unfairly disadvantaging competitors and consumers.
  • Market Conduct Rules: The CMA can establish specific regulations for dominant tech companies to ensure fair treatment of users and competition.

Penalties:

  • Significant Fines: Companies violating these rules could face substantial fines, potentially reaching tens of billions of pounds.
  • Direct Enforcement: The CMA can directly enforce these rules, allowing for swift action against violators.

Additional Oversight:

  • Fuel Price Monitoring: The Act grants new powers to the CMA to oversee road fuel prices, helping prevent malpractice in that sector.

In summary, this Act is designed to create a fairer, more transparent market environment, particularly in the digital space. It benefits both consumers and businesses by promoting honest practices and fair competition.

For more details, visit: Digital Markets, Competition and Consumers Act Receives Royal Assent.