UK to tighten B2C unfair terms rules on pricing and cancellation

The UK law commissions are recommending fine-tuning to two aspects of the unfair terms regime. The proposed changes would clarify when a term relating to price is exempt from the fairness test and would add three new terms to the ‘Grey List’ (terms presumed to be unfair and therefore unenforceable). The proposed changes will have the greatest impact on consumer financial services, utilities and mobile contracts — but could apply to any scenario where a low headline price disguises hidden charges. Businesses should ensure pricing terms are not buried in the small print and should health-check their consumer terms to minimise the risk of challenge by consumers or regulators.

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