The Competition and Markets Authority (CMA) has ordered Stubhub to refund thousands of customers after the ticketing platform failed to include mandatory fees in the upfront price of tickets. The CMA found that Stubhub's pricing practices misled consumers by hiding additional charges until the final stage of the checkout process.
CMA Investigation and Findings
According to the CMA, Stubhub breached consumer protection law by not displaying the full price of tickets from the outset. The regulator stated that mandatory booking fees and delivery charges should have been included in the initial advertised price. Instead, these fees were only revealed later, leaving customers with a higher total than expected.
The investigation covered tickets sold for events including concerts, sports matches, and theater performances. The CMA estimates that thousands of customers are eligible for refunds, with the total amount to be repaid potentially reaching millions of pounds.
Stubhub's Response and Next Steps
Stubhub has agreed to comply with the CMA's order and will contact affected customers directly. The company has also committed to changing its pricing practices to ensure full transparency in the future. A Stubhub spokesperson said: "We take our responsibilities to customers seriously and are working with the CMA to resolve this matter."
Customers who purchased tickets from Stubhub and were charged hidden fees may be entitled to a refund. The CMA advises affected consumers to check their email for communication from Stubhub or to contact the company directly.
Impact on Consumers and Industry
This action is part of a broader crackdown by the CMA on hidden fees in the online ticketing market. The regulator has previously taken enforcement action against other major ticket resellers, including Viagogo and Get Me In. The CMA's ongoing efforts aim to ensure that all consumers see the full price upfront when buying tickets online.
Consumer advocacy groups have welcomed the decision, calling it a significant step toward greater transparency in the secondary ticketing market. The CMA's ruling sets a precedent that could lead to further investigations and enforcement actions against other companies that use similar pricing tactics.
