Trainline, Virgin Atlantic and Red Driving School investigated over hidden ticket fees
Summary
The UK’s Competition and Markets Authority (CMA) is investigating Trainline, Virgin Atlantic, and Red Driving School for showing prices that look cheaper than they really are by not including all the required fees upfront. This practice, called "drip pricing," is illegal because it hides extra costs until late in the buying process.Key Facts
- The CMA is checking if these companies mislead customers by not showing the total price at the start.
- "Drip pricing" makes a product seem cheaper by leaving out fees initially.
- The CMA’s new powers allow it to investigate and fine companies without going to court.
- Trainline said it is working with the CMA and will improve how it shows fees.
- Virgin Atlantic said mandatory fees appear during booking and it will cooperate with the investigation.
- If found guilty, companies can be fined up to 10% of their global sales and may have to pay customers compensation.
- The CMA has fined other companies like StubHub and the AA recently for similar issues.
- The UK government is focused on stopping unfair business practices that increase living costs.
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