Martin Lewis has explained a rule that applies in any shop, highlighting that price labels are not legally binding. In his BBC podcast, the consumer advocate noted that the label price is merely an 'invitation to treat', meaning shoppers can haggle for a better price. He emphasised that the contract is only formed when the retailer accepts your offer, usually at payment.
If you are charged more than the advertised price in store, Citizens Advice states you can return the item for a full refund or ask for the difference. Lewis advised taking a photo of the advertised price as evidence. Many big retailers also have scanning guarantees that honour the lower price.
For online shopping, the rules differ. Lewis explained that the contract is typically formed when the item is dispatched, not when payment is made. If an error occurs, such as a grossly mispriced item, the retailer may legally cancel the order before dispatch. However, if the contract is formed and it's not a genuine and obvious mistake, the company cannot usually cancel.
Consumers should check the retailer's terms and conditions to understand when the contract is formed. Knowing these rules can help shoppers secure better deals and understand their rights in case of pricing errors.
