Tackling the subscription trap

Help! £49.99 just disappeared from my bank account! What’s it for?

It’s happened to lots of us. The “subscription trap” of those sneaky services that start as free trials and quietly turn into costly monthly or annual bills.

Across the UK, there are 155 million active subscriptions. Yet, it is estimated that nearly 10 million of them are unwanted.

Many people don’t realise they’ve been rolled from a free or discounted trial into a full‑price contract until money disappears from their account.

Research shows that 3.5 million consumers are caught this way each year, while another 1.3 million face unexpected autorenewals.

These traps are most seen in sectors such as streaming, fitness and subscription boxes, and have generated widespread objections in the past few years.

That’s why the Government is introducing new rules that are designed to put households firmly back in control of their spending. 

So, here’s the plan.

Companies will have to provide clear, simple information before anyone signs up. No more confusing small print or hidden renewal dates.

You will receive reminders before a free trial ends, or before any contract of 12 months or more renews automatically.

If you signed up online, there will have to be a way to cancel online too, ending the frustrating hunt for obscure phone numbers and long call‑centre queues. That’s something I get lots of casework about.

A new 14‑day cooling‑off period will apply after a trial ends or when a long contract renews, giving residents time to change their minds and request a full or proportionate refund.

Consumer groups like Which have welcomed the reforms, saying they will bring much‑needed fairness and transparency

A consultation’s been held and later this year MPs like me will be voting on the detailed regulations to make this happen.

That’s good news to give everyone fewer financial surprises and more control over the household budget.