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BBC News·3 min read·medium

Trainline, Virgin Atlantic and RED Driving School investigated over 'drip pricing'

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Trainline, Virgin Atlantic and RED Driving School investigated over 'drip pricing'
AI Summary

The UK's Competition and Markets Authority is investigating Trainline, Virgin Atlantic, and RED Driving School for 'drip pricing' practices. This involves failing to include mandatory fees in the initial advertised price, potentially misleading consumers.

Why it matters

This investigation aims to protect consumer rights and ensure price transparency across the travel and education sectors.

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Image source, Getty Images Image caption, The CMA said customers should pay the price they see

Trainline, Virgin Atlantic and RED Driving School are being investigated by the consumer watchdog over concerns they are not showing full prices upfront to customers.

The Competition and Markets Authority (CMA) is examining whether the three companies engaged in so-called 'drip pricing', which is an illegal practice where mandatory fees are not included in the headline price shown to customers.

If the CMA concludes that the firms have broken the law, it can fine them or order them to compensate customers.

Trainline and Virgin Atlantic said they were committed to transparency for customers and would engage fully with the CMA.

In the case of Trainline, the CMA said it observed fees of up to £2.79 being added on to headline train fares, and up to £1.50 for coach bookings.

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