Tag: Business and Trade Department

The press release issued by the Department for Business and Trade on 15 February 2024.

The next generation of business leaders have received over £100 million worth of support from the Government backed Start Up Loan Scheme.

• 15,000 loans have now been delivered to support small business owners aged 18-24 since 2012.
• Access to finance and advice is available as part of the Help to Grow Scheme to drive government’s ambition to make the UK the best place to start and scale a small business.

15,000 Start Up Loans worth over £100 million have now been issued to young business founders aged 18-24 since 2012.

The Start Up Loan Scheme is government backed finance delivered through British Business Bank, which has delivered over £1 billion in loans to SMEs across the country since the scheme launched in 2012.

The scheme provides invaluable support to young entrepreneurs who are looking to set up a small business – a group which often struggles to get business finance from other sources – and offers an effective pathway into employment, with almost a third of recipients aged 18-24 leaving unemployment thanks to this scheme.

Of all the loans distributed to entrepreneurs under 25, 39% have also gone to female business owners and 24% to business owners from ethnic minority backgrounds. Outside of London, the North West has received the highest volume of loans (1,992), followed by West Midlands (1,591) and the South East (1,291). London has received 3,099 loans in total since 2012.

Among those to receive one of these loans, the most popular industries to launch a business in include retail (£8.5m), hospitality (£5.8m) and arts and entertainment (£2.5m).

Access to finance is a key part of the refreshed Help to Grow Campaign, a one-stop shop for SMEs to find the information they need to start, scale up and grow their own business. The new site brings together the support on offer from the government into one place, making it quicker and more convenient to find the resources business leaders and budding entrepreneurs need to succeed.

Starting a business for the first time, particularly for younger entrepreneurs can be a daunting process. That’s why the government has also – for the first time ever – created a step-by-step guide on how to set up and grow a business in the UK as part of the Help to Grow website.

Small Business Minister Kevin Hollinrake said:

Every large firm started off as a small business and today’s aspiring young entrepreneurs could be the next success story. I urge them to explore how a Start Up Loan could launch their ambitions today.

Through the British Business Bank, and the Help to Grow campaign, we’ve backed the next generation of business leaders with over £100 million in government backed finance and we’re not stopping there.

The single biggest way we’re backing businesses is by creating the economic conditions for them to thrive, which is why the government is working hard to deliver on our priorities to halve inflation, grow the economy and cut debt. We’ve made significant progress and it’s clear the economy is turning a corner.

The government is also tackling a key issue affecting small firms – late payments. We are determined to make the UK the best place in the world to do business, which is why Minister Hollinrake launched the Prompt Payment and Cash Flow Review in 2023. Since the report was unveiled, we are looking at how to prosecute large firms who persistently and knowingly fail to adhere to the Payment Practice Reporting Regulations.

We’re also backing businesses through our £4.3 billion package to support SMEs with business rates, the Small Business Rates relief taking a third of properties out of paying rates completely, and extending the Retail, Hospitality and Leisure relief for a fifth year, we are helping businesses navigate challenging economic times.

Business owner Cory Hibbin, aged 20, is one of the recipients of a Start Up Loan. He took out a £14,500 loan in March 2023 to launch Techie Services. The company, based in Hastings, offers security solutions for residential clients, estates and corporate buildings, including CCTV, alarm systems and network management.

Cory doesn’t live with family or have any financial support from them so his aspiration of setting up Techie Services would not have been possible without the help of the bank’s funding.

He left school at 16 and started an apprenticeship as an IT engineer at a consultancy firm. After developing his skills, he started offering surveillance services on the side of this day job. The client was so impressed that they asked him to work for them full-time.

Cory, founder of Techie Services, said:

I’m not the sort of person who can take on learning from behind a desk so I left school at 16 to do an apprenticeship with a local IT consultancy company. While working there, I was working on the side in the evenings and at the weekends. Having been there for four years, I felt like I had gained enough experience to start my own company, which is when Techie Services began. I started with one large client, who quickly recommended me to other businesses and individuals, so I took on five new clients in our first six weeks.

It hasn’t been easy but it’s the best decision I’ve ever made. The money from Start Up Loans was invaluable in the success of the business – I used it to buy tools for installations as well as supplies for the office. While it might seem a big leap of faith to some people, you can’t let the fear of failure stop you from trying in the first place. I urge anyone 18 or above to look into the finance options available to them if they need a hand getting off the ground.

Richard Bearman, Managing Director, Small Business Lending, British Business Bank said:

It’s amazing to see people in their late teens and early twenties with such ‘can-do’ attitudes and motivation to achieve success in working life.

Our £100 million funding milestone is a significant landmark and testament to the hard work of Start Up Loans, ensuring anyone with a good business idea like Cory’s, no matter their age, has the access to the funding needed to bring it to life. The impact of this on communities across the UK has been huge and we’re determined to keep backing aspirational young people with money and mentoring.

The press release issued by the Department for Business and Trade on 8 February 2024.

The Prime Minister has today made two new appointments to his Trade Envoy programme.

The appointments are:

• Tom Hunt MP to Bangladesh
• Stephen Metcalfe MP to Dominican Republic, Panama and Costa Rica

Trade Envoys support the UK economy by supporting British businesses to take advantage of the opportunities arising from the UK’s global trade agenda. They champion Global Britain and promote the UK as a destination of choice for inward investment across all regions of the UK, helping to level up the country.

The new appointments will extend the total number of Trade Envoys to 37 parliamentarians, covering 67 markets.

The Trade Envoys will work with the Department for Business and Trade’s global network to strengthen the UK’s trade and investment relationships within their appointed markets and break down barriers to doing business for UK firms.

Background

• The role as a Prime Minister’s Trade Envoy is unpaid and voluntary with cross-party membership from both Houses.

The press release issued by the Department for Business and Trade on 8 February 2024.

UK to support Ukrainian businesses by extending tariff-free trade until 2029.

• UK and Ukraine extend tariff-free trade on majority of goods for an additional five years.
• Move designed to help Ukrainian businesses impacted by the war and is the most generous tariff break offered by any country.
• UK Trade Minister Greg Hands and Ukraine’s First Deputy Prime Minister Yuliia Svyrydenko to sign extension in a virtual ceremony today.

Most UK-Ukraine trade will remain tariff-free until at least 2029, thanks to an extension agreed today to support Ukraine’s long-term economic recovery from the war.

The commitment forms part of the UK’s efforts to support Ukraine following Russia’s full-scale and illegal invasion, which has disrupted supply chains and transport routes and impacted Ukraine’s ability to export goods.

The UK was the first country to remove tariffs on all its trade with Ukraine two years ago. Today’s announcement to significantly extend this existing agreement sees the UK continue that leading role, giving Ukrainian businesses and exporters much needed economic support and certainty.

UK Minister of State for Trade Policy Greg Hands will formally sign the agreement to extend the liberalisation measures with Ukraine’s First Deputy Prime Minister and Minister for Economic Development and Trade Yuliia Svyrydenko in a virtual ceremony today.

UK Minister for Trade Policy Greg Hands said:

This agreement provides much needed long-term economic support to Ukraine, its businesses and people – critical to its recovery from Putin’s illegal invasion.

The UK will continue to do everything in its power to support Ukraine’s fight against Putin’s invasion, for as long as is needed.

William Bain, Head of Trade Policy, British Chambers of Commerce, said:

The extension of zero tariff trading terms for a further five years for qualifying goods is a welcome development. It plays a vital part in helping Ukraine’s economy at a time when they are under huge pressure, easing supply chain access.

Alongside the Digital Trade Agreement, which aims to bolsters e-commerce trade between our countries, this extension will boost opportunities for Ukrainian business in key sectors such as oils, grains and other agri-foods.

In May 2022, the UK removed all tariffs under the UK-Ukraine Free Trade Agreement until March 2024. This precedent has been followed by similar initiatives from the EU and other partners.

This latest agreement will see tariff-free trade extended on all goods for five years, except eggs and poultry which will be extended for two years.

Ukraine has also agreed to match the UK’s approach, meaning British businesses can also benefit from tariff-free exports to Ukraine.

Tariff liberalisation forms an important part of UK Government’s overall support to Ukraine, along with the military, humanitarian and economic aid.

The Ukraine Recovery Conference held in London last year strengthened international support for Ukraine and raised over $60 billion towards Ukraine’s recovery and reconstruction.

Background

• The UK Government originally offered tariff-free trade in May 2022 on a nonreciprocal basis, with no expectation or ask of the Ukrainian Government in return, however Ukraine insisted they also remove tariffs on UK goods entering Ukraine.
• The tariff-free trade agreement signed in May 2022 was due to expire on 31 March 2024. The five-year extension of liberalisation is for all goods except for poultry and eggs, which will be liberalised for two years.
• The signing builds on the Prime Minister’s commitment that the UK will provide £2.5 billion in military aid to Ukraine in 2024/25, an increase of £200 million on the previous two years, which will include the largest delivery of drones to Ukraine from any nation. The UK has provided over £10 billion in military, humanitarian and economic support to the UK since Putin’s full-scale invasion in 2022.

The press release issued by the Department for Business and Trade on 8 February 2024.

The UK’s creative industries will be able to seize future opportunities and drive investment in the UK, thanks to new export funding.

• Kemi Badenoch invites over 100 UK creators, innovators and exporters to a north London SME hub to promote thriving UK creating industries
• Announces £1.6 million in Music Export Growth Scheme funding to boost 67 artists from across the UK and support homegrown musical talent
• Scheme has promoted the careers of prize-winning artists and created a more than ten-fold return on investment for the UK

The UK’s creative industries will be able to build on recent trade wins to seize future opportunities and drive investment in the UK, thanks to new government efforts to promote British exporters announced today (Thursday).

Business and Trade Secretary Kemi Badenoch will host businesses for a meeting of the recently revamped Board of Trade at Tileyard, a creative industries hub in King’s Cross, London. The site is home to 150 music studios and 175 businesses, including some of the UK’s cutting-edge music, tech, and film and TV exporters.

The Secretary of State will announce grants of £1.6 million via the Music Export Growth Scheme (MEGS) to boost British music exports. The scheme supports small and medium sized music companies to build on their commercial potential by profiling their artists in overseas markets. The uplift in funding – the biggest in the history of the scheme – will support 67 artists from across the UK.

In the past ten years, MEGS has supported the international careers of more than 300 British artists including Dave, Jungle, Rina Sawayama, Kae Tempest and 2023 Mercury Prize winners Ezra Collective. Through 22 rounds, MEGS has invested over £6 million in British music, leading to an estimated £55.5 million financial return to the UK economy and a return on investment of nearly £14 for every £1 received from Government.

Business and Trade Secretary and President of the Board of Trade Kemi Badenoch said:

SMEs are the cornerstones of our communities and the lifeblood of our economy – their success is Britain’s success and we are backing them all the way.

Whether it’s removing burdensome regulations, tackling access to finance or helping them to export overseas, my Department is working around the clock to help them grow their business.

I’m delighted we’re able to back more artists than ever before. I congratulate the successful acts and look forward to seeing them bang the drum for Britain across the globe.

The Board of Trade is one of the government’s highest profile advisory bodies on trade and economic issues. The Board was revamped by Kemi Badenoch last year in an effort to boost British exports around the world, and is now comprised of CEOs from leading food and drink, education and creative industry companies including Sir Lucian Grainge, CEO of Universal Music, and Paul Golding CBE, Chair of Pinewood Group.

Building on the Government’s recently launched Help to Grow campaign and new Small Business Council, today’s Board meeting will discuss how to break down trade barriers so UK exporters can sell more products and services around the world.

Culture Secretary Lucy Frazer said:

The Music Export Growth Scheme has been launching careers internationally for a decade, supporting more than 300 artists, including some of Britain’s most successful acts like Dave, Rina Sawayama and Ezra Collective, while generating more than £55 million for the economy.

Thanks to this latest round of funding – the biggest in MEGS’ history – the scheme will maximise the potential of a new generation of home-grown talent, as part of our ambitious plans to grow the creative industries by £50 billion and support one million more jobs by 2030.

Dr Jo Twist OBE, BPI Chief Executive said:

We’re delighted to announce the biggest round of MEGS funding to date, supporting close to 70 talented and diverse UK artists to take their careers to the next level – building new fanbases globally while boosting British exports.

At a time when UK artists face more competition than ever, we’re grateful to Government for its recognition of the scheme as an essential resource in enabling new British talent to break through on the global stage, while seeing excellent financial returns for music exports.

We only need to look at the success of artists that MEGS has supported over the last ten years to showcase its cultural and financial importance. Therefore, it’s vital that Government continues its support to ensure the UK remains a global music power.

The Music Exports for Growth Scheme sits alongside other government work to drive the international success of our creative industries. DBT’s flagship International Showcase Fund, for example, is supporting a range of SMEs to attend world’s most prominent domestic and international events this year, including London Fashion Week, Cannes Lions, and South by South West (SXSW), which takes place in Austin Texas next month. Since 2020, MEGS has supported a total of 33 artists to perform at SXSW.

Today’s event comes during National Apprenticeship Week. As part of that, ministers and advisers will also meet companies who train apprentices at Tileyard, including Small Green Shoots, who work with young and disadvantaged people via apprenticeships in the music industry.

Today’s Board of Trade event will culminate in a celebration of UK innovation and creativity for over 100 businesses, marking one year since DBT’s formation as a government department. The reception will feature a performance from George Bone, a singer singer-songwriter based at Tileyard.

Nick Keynes, Tileyard London Co-Founder, said:

Tileyard London is absolutely delighted to be hosting the first Board of Trade event of 2024 to help celebrate the ‘year of the SME’. Tileyard is home to some of UK’s leading creative businesses, content creators, creative entrepreneurs and innovators, so we very much look forward to welcoming the Board of Trade and their many affiliates to our campus for this exciting initiative.

Our mission for the past 10 plus years has been to create an environment within which members of our community can build and grow thriving creative businesses, and our continued dedication to this is at the core of everything that we do here at Tileyard.

Notes to editors:

• Alongside the Board of Trade, the Department for Business and Trade provides a range of country and market specific support to exporters of all sizes. This includes the Export Support Service, Export Champions, International Trade Advisors and UK Export Finance, all targeted at getting businesses across the UK exporting more. Since the start of 2022, the department has resolved trade barriers estimated to be worth over £15 billion to UK businesses over a five year period. In 2023, this was equivalent to removing around £1 million of trade barriers every single hour.

Statistics:

• UK exports were £870 billion in the 12 months to end of November 2023, an increase of £44 billion (5%) in current prices compared to the 12 months to November 2022. Source: https://www.ons.gov.uk/economy/nationalaccounts/balanceofpayments/bulletins/uktrade/november2023
• At the start of 2023 there were 5.5 million SME businesses (with 0 to 249 employees), 99.9% of the total business population. Source: https://www.gov.uk/government/statistics/business-population-estimates-2023

2.5 million people were employed in the UK creative industries between July 2022 and June 2023, of which 69% were employed outside London. Source: https://www.gov.uk/government/statistics/economic-estimates-employment-in-dcms-sectors-and-digital-sector-july-2022-to-june-2023

The press release issued by the Department for Business and Trade on 7 February 2024.

The UK and Egypt signed a Memorandum of Understanding to deepen cooperation in infrastructure development.

His Majesty’s Ambassador to the Arab Republic of Egypt Gareth Bayley and Deputy Chairman of The New Urban Communities Authority Eng. Amin Ghoneim signed a Sustainable Cities and Infrastructure Memorandum of Understanding (MoU) on Tuesday 6th February 2024 in Cairo.

The new partnership between the UK and the Government of Egypt will boost cooperation in the development of sustainable cities and infrastructure in Egypt by establishing a joint working group that will meet twice a year in London and Cairo.

This working group will bring together government bodies and industry representatives from both countries to exchange technical knowledge, training, expertise and best practice in the prioritisation, financing, and management of infrastructure projects.

The MoU aims to position both countries to draw on their strengths to support the delivery of infrastructure projects in Egypt. It will seek to grow the bilateral trading relationship and increase foreign investment into the Egyptian construction sector. Projects will be identified by the working group and delivered in accordance with international quality and sustainability standards.

British Ambassador to Egypt Gareth Bayley said:
This agreement reinforces our commitment to sustainable development, fostering economic growth, and attracting foreign investment into the Egyptian infrastructure sector.

It sets yet another example of a stronger and growing green partnership between both our countries, while boosting bilateral trade relations.

I am confident this collaboration will pave the way for a more sustainable and resilient future for Egypt.

The two countries already share a strong trading relationship. Total trade in goods and services between the UK and Egypt was £4.8 billion in the 12 months to September 2023, of which total UK exports to Egypt amounted to £2.6 billion.

The MoU also builds upon the UK and Egypt’s commitment to the UN’s sustainable development goals and action on climate change. In November 2022, Egypt, as COP27 President, developed the Sustainable Urban Resilience for the Next Generation Initiative in collaboration with the UN.

The initiative is committed to achieving sustainable and resilient urban cities, which the UK and Egypt are dedicated to delivering via this MoU.

The new agreement commits both countries to making progress on the sustainable development goals and climate change mitigation and adaption, including by deploying innovative climate technologies.

The press release issued by the Department of Business and Trade on 31 January 2024.

UK and North Carolina host the third working group meeting since the signature of the UK / North Carolina Memorandum of Understanding.

The press release issued by the Department for Business and Trade on 30 January 2024.

Baroness Philippa Stroud has today (Tuesday 30 January 2024) been announced as the Chair of the Low Pay Commission (LPC). She replaces Bryan Sanderson, who has been Chair of the LPC since 2019.

Nigel Cotgrove and Andrew Goodacre have also been announced as Commissioners.

The LPC is an independent body that advises the government about the National Living Wage and the National Minimum Wage.

Business Minister Kevin Hollinrake said:

Baroness Philippa Stroud is a fantastic appointment to this role. Her extensive leadership background and specialised experience in social justice will ensure the LPC continues its vital work on pay for our lowest paid workers.

I’m grateful to Bryan Sanderson for all his hard work in his time as Chair and wish him well for the future.

I’d also like to welcome Nigel Cotgrove and Andrew Goodacre in their roles as Commissioners.

Biographies

Baroness Philippa Stroud biography

Baroness Philippa Stroud is a British think tanker and the co-founder of Forum. She is a Member of the House of Lords, CEO of the Alliance for Responsible Citizenship and Chair of the Social Metrics Commission. Prior to this, she was the CEO of the Legatum Institute and Co-Founder and Chief Executive of the Centre for Social Justice.

She was created a life peer on 1 October 2015 taking the title Baroness Stroud, of Fulham in the London Borough of Hammersmith and Fulham.

Nigel Cotgrove biography

Nigel Cotgrove is a Trustee Director of the BT Pension Scheme and a member of the Prison Service Pay Review Body.

Nigel worked for the Communication Workers’ Union for 31 years. He served as a National Officer for over 20 years representing workers in the telecoms, ICT and financial services sectors. Prior to that, he worked as a CWU Research Officer.

Andrew Goodacre biography

BIRA (British Independent Retailers Association) CEO Andrew Goodacre has devoted his career to strengthening Britain’s high streets and the communities they support.

Since taking over BIRA’s leadership in 2018, Andrew has expanded membership by nearly a third, by ensuring the needs of independent retailers are heard by government decision makers.

Andrew represents BIRA on the Department of Business Retail Sector Council and serves as a member of the British Retail Consortium’s Policy Board and the Welsh Retail Council.

Prior to leading BIRA, Andrew spent many years in the hospitality industry, which helped to reinforce his belief of the importance of local high streets to the fabric of local communities and their contribution to the government’s levelling-up agenda.

Notes for editors

• The LPC Chair is remunerated £530.96 per day (3 days per month). This appointment has been made in accordance with the Cabinet Office’s Governance Code on Public Appointments. The appointments process is regulated by the Commissioner for Public Appointments. Under the Code, any significant political activity undertaken by an appointee in the last five years must be declared. This is defined as including holding office, public speaking, making a recordable donation, or candidature for election. Baroness Stroud has declared that she is a Conservative Member of the House of Lords.
• LPC Commissioners are remunerated £242.12 per day (16 days per annum). These appointments have been made in accordance with the Cabinet Office’s Governance Code on Public Appointments. The appointments process is regulated by the Commissioner for Public Appointments. Under the Code, any significant political activity undertaken by an appointee in the last five years must be declared. This is defined as including holding office, public speaking, making a recordable donation, or candidature for election. Both Commissioners have declared no significant political activity.

The press release issued by the Department for Business and Trade on 24 January 2024.

Businesses are set to benefit from savings as import labels are made digital for the first time.

The press release issued by the Department for Business and Trade on 24 January 2024.

The government is committing £500,000 to help UK professionals such as architects, auditors and accountants export their services around the world.

More UK professionals will be able to provide their services around the world thanks to new government funding to help get UK qualifications recognised overseas.

Grants of up to £75,000 will be awarded to UK regulators and professional bodies as part of the Recognition Arrangements Grant programme. The fund can help them strike deals with counterparts around the world to help make it easier, quicker and cheaper for UK professionals to have their qualifications recognised overseas.

From engineers and architects to accountants and lawyers, the UK is world-renowned for its high-quality services companies. We are second biggest exporter of services in the world – behind only the US – and the UK’s services exports are currently at a record high.

However, qualifying as an architect, accountant or lawyer in the UK doesn’t generally qualify you to practise abroad which means UK companies miss out on opportunities internationally. The Government is therefore pledging £500,000 to help facilitate agreements which can reduce the need for professionals to gain additional qualifications in foreign countries or go through potentially costly and burdensome bureaucracy.

Minister for Trade Policy Greg Hands said:

Obtaining professional qualifications in foreign countries can be expensive and slow for professionals like lawyers and accountants who want to export their world-class services overseas.

Part of the answer is to secure mutual recognition agreements between the UK and other countries, to acknowledge each other’s professional qualifications.

This new round of funding will help open new doors for UK-qualified professionals, allowing them and their firms to focus on winning contracts, exporting their expertise abroad and growing their businesses.

This third round of funding follows previous successful rounds which led to:

• Agreements between the UK’s Financial Reporting Council and their New Zealand and Swiss counterparts for auditors, allowing UK audit firms to sell their services more easily in those countries.
• Work towards arrangements in sectors like legal services, accountancy and architecture with a range of jurisdictions such as Morocco, Hong Kong, and India.

The new funding has been welcomed by UK regulators and professional bodies.

Executive Director of Supervision at the Financial Reporting Council Sarah Rapson said:

The Recognition Arrangements Grant Programme has been invaluable in supporting the FRC to successfully secure mutual recognition of audit qualifications with New Zealand and Switzerland with more agreements likely in 2024. This will boost the UK’s audit market and further strengthen the UK’s close financial ties with key overseas markets. The funding has specifically enabled the FRC to utilise independent technical expertise to provide confidence in our assessment process and ensure UK audit quality is robustly upheld.

Chair of the Architects Registration Board Alan Kershaw said:

The Architects Registration Board has recently entered into mutual recognition agreements with counterpart organisations in Australia, New Zealand and the USA, and we are currently exploring options for further agreements with other countries.

The Recognition Arrangements Grant Programme has helped us expand the speed and scale at which we can pursue new agreements with other countries, which will open up international opportunities while maintaining the high standards and safety that the public expect from architects here in the UK.

More global recognition agreements can help businesses and professionals access new markets, reduce barriers to trade, and make it easier for UK businesses to export their services worldwide.

UK services exports were £472 billion in the year ending November 2023, up £65 billion (16%) in current prices from the previous year.

The Recognition Arrangements Grant programme will run until 31 March 2025, with grants of up to £75,000 per financial year awarded to UK regulators and professional bodies.

The press release issued by the Department for Business and Trade on 24 January 2024.

New laws to be introduced to ban unavoidable hidden fees to force businesses to be upfront with customers.

• Fake reviews will be added to banned practices
• Unavoidable hidden fees cost consumers £2.2 billion every year

Fake reviews, shop labelling and hidden fees that make shopping more difficult and expensive for consumers will all be targeted head on to clamp down on unfair trading practices.

Following a consultation into consumer transparency and as part of the Digital Markets, Competition and Consumer Bill (DMCC), the Department for Business and Trade will officially add fake reviews to a list of banned business practices, outlaw dripped fees that are unavoidable for consumers and ensure that businesses provide clearer labelling for prices on supermarket shelves.

These measures will be legislated for as part of the DMCC Bill as it progresses through Parliament.

Sneaky hidden fees, or dripped prices that are unavoidable will be banned. Drip pricing occurs when consumers are shown an initial price for a good or service while additional fees are revealed (or “dripped”) later in the checkout process.

Research suggests it is widespread and occurs in more than half of providers in the entertainment (54 percent) and hospitality (56 percent) industry, and almost three quarters across transport and communication (72 percent) sectors.

Every year, unavoidable fees cost consumers £2.2 billion, which is why these laws are being designed to ensure online shoppers have a clear idea of what they are spending upfront, to inform them as much as possible and as soon as possible before making purchases.

To make it easier for consumers to compare products and services, fees that are mandatory must be included in the headline price or at the start of the shopping process – these include booking fees for cinemas and train tickets. Optional fees such as airline seat and luggage upgrades for flights will not be included in these measures.

Minister for Enterprise, Markets and Small Business Kevin Hollinrake said:

From supermarket shelves to digital baskets – modern day shopping provides customers with more choice than ever before. But with that, comes the increased risk of confusion, scams and traps that can easily cost the public more than they had planned.

Today’s announcement demonstrates the clear steps we’re taking as a government to ensure customers can compare purchases with ease, aren’t duped by fake reviews, and have the sting of hidden fees taken away.

Reviews were found to be used by 90% of consumers and contributed to the £224 billion spent in online retail markets in 2022, which is why this government is committed to ensuring that the information available online is accurate and fair.

Working with the Competition and Market’s Authority, new guidance will be created in the coming months to tackle fake reviews which will be added to the list of banned practices, with website hosts held accountable for reviews on their pages.

The Price Marking Order (PMO), a piece of Retained EU Law, will also be reformed now we have taken back control of our laws.

The PMO requires traders to display the final selling price and, where appropriate the final unit price (e.g., price per litre/kilogram) of products in a clear way. The EU’s PMO laws were last updated 20 years ago and no longer reflect modern shopping habits.

We will be working with stakeholders and businesses to create new, simpler and clearer guidance for pricing labels that works best for British businesses and improves the shopping experiences for UK customers. This is expected to be issued in the spring.

Our proposed changes will ensure unit pricing is consistently applied, including to promotions and special offers, helping consumers compare products easily and identify what items represent the best value to them.

Small shops that are currently exempt from the PMO will continue to be exempt from those specific measures.

Graham Wynn, Assistant Director, British Retail Consortium said:

The BRC looks forward to continuing to work with officials as practical detailed implementation plans are developed. We are committed to ensuring information given to consumers is clear and they are not misled in any way.

We will also be making provision for the PMO in relation to the Deposit Return Scheme so the cost of the deposit is displayed separately on price labels.

In addition to fake reviews and hidden fees, the DMCC Bill will also look at other consumer issues including subscription traps, and will provide the CMA with stronger tools to investigate competition problems and take faster, more effective action, including where companies collude to bump-up prices at the expense of UK consumers.