CMA Crackdown on Online Sales Practices: What Business Owners Need to Know

The UK's Competition and Markets Authority (CMA) is taking a tougher approach to online sales practices. Businesses must be clear about prices, discounts and urgency messages from the start of the customer journey.

This tougher approach is demonstrated by two recent cases:

1. StubHub UK was fined £889,200 and ordered to pay more than £590,000 in refunds for adding mandatory fees late in the checkout process.
2. Emma Sleep was forced to change its online sales practices after the CMA raised concerns about countdown timers, "high demand" messages and discount claims.

StubHub UK and drip pricing

StubHub's case concerned unlawful “drip pricing”. This is where a business advertises a price but adds unavoidable charges later in the purchasing process. The CMA found that StubHub added mandatory delivery and service fees only at the final stage of checkout rather than including them in the advertised price from the outset. StubHub admitted the breach, cooperated with the investigation and agreed to an early settlement, which reduced its fine by 40%, leading to the fine and refunds noted above.

StubHub has faced regulatory scrutiny over its pricing practices before, having been the subject of an Advertising Standards Agency ruling on drip pricing in 2018 and, in 2020, a CMA warning to amend its website or potentially face court action.

Emma Sleep and dark patterns

Emma Sleep's case concerned dark patterns and urgency claims. Dark patterns are website features or marketing messages that push customers into buying quickly or make an offer seem more urgent than it really is. The CMA's concerns included misleading countdown timers, inaccurate "high demand" messages and discount claims that could unduly pressure customers into purchasing.

Following a lengthy investigation, the CMA secured a High Court-approved settlement after Emma Sleep admitted breaching consumer law. Emma Sleep agreed to stop using misleading urgency claims, ensure future marketing is accurate, avoid rolling "limited-time" promotions where similar offers continue after the deadline, and implement compliance and monitoring measures.

These commitments are legally binding and enforceable by the court. Although pursued under the CMA's previous regime, the case indicates the practices likely to attract scrutiny now that the CMA has direct enforcement powers.

Why this matters

These new powers come from the Digital Markets, Competition and Consumers Act 2024, which took effect on 6 April 2025. Since then, the CMA can decide for itself whether a business has broken consumer law, issue fines and require refunds without first going to court. The potential penalties are significant: fines can reach up to 10% of a company's worldwide annual turnover. This means pricing and online sales messages are no longer just marketing issues; they are compliance risks.

Practical steps for business

• Show the full price upfront, including any mandatory fees.
• Make sure discount claims are accurate and easy to understand.
• Only use countdown timers or "limited time" messages if they are genuine.
• Do not use stock or demand messages unless they are true and up to date.
• Review checkout pages, delivery fees and promotional wording regularly.

What can we do to help?

For further advice on how your business can ensure compliance with the DMCCA and consumer protection law, please contact either James Sarjantson on 0113 201 0401 – ku.oc1784127761.fcl@1784127761nostn1784127761ajras1784127761j1784127761 or Thomas Taylor on 0113 204 0407 – ku.oc1784127761.fcl@1784127761rolya1784127761tt1784127761.

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