The Competition & Markets Authority, the competition and markets authority that protects consumers in the United Kingdom, has ordered the StubHub UK platform to refund 50 thousand consumers and pay a fine of 900 thousand pounds, equivalent to over one million euros.
The live event ticket marketplace did not display the total price of tickets from the start of the purchase process, as required by UK law, adding mandatory fees late in the process.
For 50 thousand or more consumers, a total of over 590 thousand pounds will go, over 680 thousand euros, with an average reimbursement of around ten pounds each, around 11.50 euros. The practice subject to the fine is known as drip pricing and is practiced by online retailers who indicate an initial price which however does not correspond to the final price due to the addition of service commissions and other charges to be paid by the buyer.
Having admitted the presence of hidden costs and agreed to close the case early, StubHub UK obtained a 40% reduction in the fine. “Thanks to its new consumer protection powers,” it said in a statement, the Competition and Markets Authority “has so far obtained over £1.95 million in refunds for customers and issued fines of more than £5.7 million.”
