CMA’s new consumer enforcement powers under
\nthe Digital Markets Competition and Consumers Act 2024<\/a>. The
\ndraft plan commits the CMA to implementing this new enforcement
\nregime and to double down on clear breaches of the law,
\nparticularly in areas of essential household spend.<\/p>\nThe CMA’s overarching goal is simple, to “put money
\nback in people’s pockets” while supporting fair
\ncompetition. It intends to use its new enhanced powers to deliver
\nthis.<\/p>\n
The consultation on the draft Annual Plan is open until 18
\nFebruary 2026, with the final version due in March 2026.<\/p>\n
The big picture<\/p>\n
This plan is the “first detailed implementation
\nstep” under the CMA’s 2026-2029 Strategy, which puts
\n“championing consumers” at the heart of driving economic
\ngrowth and improving household prosperity. The CMA wants people to
\ntrust the markets they buy from and for fair-dealing businesses to
\ncompete on a level playing field.<\/p>\n
A central part of the CMA’s strategy is its transformational
\n“4Ps” operating model: pace,
\npredictability, proportionality and process.
\nThe CMA says it will embed these principles in its consumer
\nprotection work by actively streamlining cases to focus on the most
\nimportant concerns and by publishing regular information about
\ninvestigation progress including timings and next steps.<\/p>\n
Where the CMA will put its enforcement energy<\/p>\n
While the CMA says it will help businesses understand the new
\nrules and sort out problems early, it is also clear that where the
\nlaw is certain, and the harm is serious, it will not hesitate to
\nact decisively.<\/p>\n
Priority also goes to tackling “egregious practices”
\n(i.e. practices that are obviously and seriously wrong),
\nincluding:<\/p>\n
\nproviding objectively false information to consumers;
\n
\naggressive sales practices that prey on vulnerable
\nconsumers;
\n
\nbanned practices, such as fake reviews;
\n
\nhidden fees; and
\n
\nclearly imbalanced and unfair contract terms (e.g. unfair exit
\ncharges).
<\/p>\n
The CMA commits to progressing its first investigations under
\nthe new regime with a focus on price transparency and online choice
\narchitecture, in sectors such as secondary ticketing, homeware and
\npersonal fitness. It will also drive sector-wide change by issuing
\nadvisory letters, highlighting compliance risks and encouraging
\nfixes without the need for a formal investigation.<\/p>\n
What this means for consumer-facing brands<\/p>\n
Consumer facing businesses should check their customer journeys
\nfor price transparency and to ensure there are no design choices
\nthat could unfairly steer or mislead consumers. Now is the time to
\nget compliant!<\/p>\n
Given the explicit focus on “cost-of-living”
\npressures, businesses should also expect closer scrutiny of pricing
\nclaims, how add-ons and options are presented, and whether key
\nterms are fair, especially when operating in sectors that are key
\nto household budgets.<\/p>\n
The content of this article is intended to provide a general
\nguide to the subject matter. Specialist advice should be sought
\nabout your specific circumstances.<\/p>\n","protected":false},"excerpt":{"rendered":"Jen Dinmore\u2019s articles from Lewis Silkin are most popular:
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