Burnham’s subscription crackdown is a win for consumer but let’s not pretend the job is done, writes Dean Dunham KC

And I should say straight away: I’ve been calling for precisely this kind of action for some time.

Millions of consumers have fallen victim to what have become known as “subscription traps”, signing up for a free or discounted trial, only to find themselves automatically rolled into a paid subscription which is then considerably easier to join than it is to cancel.

The numbers are staggering. There are around 155 million active subscriptions in the UK and consumers are estimated to be wasting £1.6 billion every year on subscriptions they simply don’t want. The Government believes tackling this could save consumers around £14 a month.

Burnham now says new rules will come into force from January 2027, requiring businesses to provide clearer information, remind consumers before payments are taken, make cancellation straightforward and provide a 14-day cooling-off period.

So, is this the big consumer victory Burnham says it is?

Yes, but with an important caveat.

The reality is that much of this is not new. These protections have been in the pipeline for some time and, back in April, I questioned why consumers were being made to wait until 2027 when everyone already accepted there was a serious problem.

Burnham deserves credit for accelerating the timetable, but bringing forward protections that consumers should arguably already have is not quite the consumer revolution some might portray it as.

There is also a bigger issue: enforcement, and I’ve seen nothing on how this will be tackled.

Consumer protection laws are only as good as the consequences for businesses that ignore them. If cancelling a subscription still involves hunting around websites, navigating deliberately confusing menus or sitting endlessly on hold, the new rules will have failed.

My test is very simple: if I can subscribe with one click, I should be able to cancel with one click. No hoops. No tricks. No excuses.

So yes, Burnham should take credit for moving this forward. It is a meaningful win for consumers and will undoubtedly save people money.

But this must be the start, not the victory lap.

Because after years of consumers losing £1.6 billion annually to unwanted subscriptions, the real question isn’t whether businesses have had enough time to prepare, it’s why consumers have had to wait this long.

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Dean Dunham KC presents LBC's Consumer Hour every Sunday from 9pm-10pm.

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