Hidden fees, deceptive online pricing, and hard-to-cancel subscriptions will be targeted in a Government crackdown on “”.
When buying concert tickets, flights, and clothes online, additional costs often won’t pop up until the check-out.
The Government has said it wants to stamp out these “tricky tactics”.
What are they?
Hidden fees
When you want to buy something online, such as concert tickets, often there will bethat aren’t advertised.
Online shopping can also require people to pay ‘service’ charges or a ‘booking’ fee.
The practice is called ‘’ — adding fees until the.
The Australian Competition and Consumer Commission (ACCC) says this often happens when buying tickets, accommodation, and rental cars online.
Dynamic pricing
Ever tried to get a ride-share after a busy event and found the price is higher than usual? Or that it’s changing during the checkout process? That’s called.
Under this system, prices match the level of demand. If hundreds of people try to get a ride home after a concert, the cost of rideshare services will increase based on how many people are trying to get a ride.
The Government said the practice has also been used by organisers selling tickets to concerts or sporting events.
Subscriptions
Streaming platforms and gym memberships generally require.
The Government says “arduous and confusing steps” can make it difficult to end a subscription. It calls these “subscription traps”.
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In August, the Consumer Policy Research Centre surveyed 1,000 Australians, finding three-quarters have had a negative experience trying to cancel a subscription.
Govt plans
Prime Minister Anthony Albanese said businesses engaging in “unfair trading practices” are “on notice”.
“Hidden fees and traps are putting even more pressure on the cost of living and it needs to stop.”
The Government will look at updates to consumer law, which it expects to introduce to Parliament next year.
Proposed changes include strengthening consumer protections, giving more power to the ACCC to crack down on “dodgy” practices, and fining companies that don’t comply with new rules.
Opposition
Shadow Treasurer, Angus Taylor, told TDA: “This is the third plan for a plan from Labor in as many weeks dressed up as a policy.”
“To end Labor’s homegrown inflation, we need strong economic management and reduce Labor’s wasteful spending. Not commission more reviews.“
Taylor did not confirm whether the Coalition would support the Government’s reforms.
Live Nation
The announcement comes after ABC program, Four Corners, alleged ticketing and touring company Live Nation conceals several different fees from customers.
The ABC found examples of tickets being up to $40 more expensive than the advertised price.
The U.S-based company told the ABC it complies with the law.
It made around $US23 billion ($AU34 billion) in revenue in 2023.
