The legislation in force affects how UK tour and activity operators present their prices online, particularly if your booking system adds fees during checkout.
The Department for Business and Trade is cracking down on what it calls “drip pricing” where customers only see the full cost of a product or service after they’ve started the purchase process. That means any unavoidable or mandatory fees (like booking charges or service fees) must be made clear up front, not buried at the end of the payment journey.
This was part of the Digital Markets, Competition and Consumer Bill. Does it affect your online sales tickets?
What’s changing?
Put simply, the government wants customers to see the total cost before buying. That means all mandatory fees must be included in the initial price displayed, or at the start of the booking process.
This includes:
- Booking or service fees
- Platform or system fees that apply to every customer
- Any other charges that are unavoidable
What doesn’t count? Optional extras. Upgrades like premium seats or add-ons like travel insurance won’t be affected, provided they are optional and marked as such.
Why does this matter for tour and activity businesses?
Hidden fees frustrate consumers and hurt businesses. According to the government, hidden or unclear pricing costs UK consumers £2.2 billion a year and leads to more abandoned checkouts, lower conversion rates, and fewer repeat bookings.
It’s not just about fines or compliance. Customers don’t like surprises. If they see one price on the product page and a higher one at checkout, you risk losing their trust before they’ve even joined your tour.
A global trend towards transparency
The UK isn’t acting alone. Similar laws are already in place elsewhere:
- In Australia, the ACCC has taken action against companies like Trivago and ticketing platforms for misleading pricing practices
- Canada introduced regulations requiring the total cost to be visible in advertised prices
- In the United States, the Federal Trade Commission (FTC) has proposed a “click to cancel” rule and guidelines to stamp out hidden fees
- The European Union has pushed for price transparency for years under its Unfair Commercial Practices Directive
In short, the tide is turning. And UK businesses need to be ready.
Who’s most affected?
This change is particularly relevant for operators using third-party booking platforms that add fees late in the purchase process. For example, if your system adds a 6% “platform fee” just before the customer clicks pay, you could breach the new rules without showing that cost earlier.
It’s not enough to say, “That’s how the software works.” You are responsible for what the customer sees, regardless of whether you or your provider set the fee.
Here’s a quick checklist to review:
- Can you remove the fee or absorb it yourself?
- Can you clearly show it on the product page?
- Is it unavoidable, and if so, is it evident to the customer right from the start?
If the answer is no to any of the above, it’s worth raising the issue with your reservation platform now.
What to do next
1. Walk through your checkout like a customer
Go through your booking journey. Look at what’s shown up front, what gets added later, and whether any fees feel hidden or unclear. If there’s a surprise, you can bet your customer notices it too.
2. Speak to your booking system provider
Ask how fees are displayed. Can they be moved earlier in the process? Can you control or absorb them? If not, you may need to reconsider your setup.
3. Work with transparent providers
Some systems, like Palisis and TourCMS, don’t add extra fees at the end of checkout. What the customer sees is what they pay. If transparency matters to your business, look for platforms that align with that principle.
4. Stay ahead of the law
This legislation is part of a broader consumer protection bill that also addresses fake reviews, misleading pricing, and subscription traps. Expect enforcement to follow once the bill passes. Taking action now keeps you compliant and ahead of the curve.
A better experience for everyone
Ultimately, this isn’t just about rules. It’s about creating a better customer journey. No one wants to feel misled, especially when making travel plans. Transparent pricing builds trust, improves conversions, and reduces friction in the sales funnel.
And if your competitors still use hidden fees, you’ve got an easy way to stand out: be the brand that’s honest from the start.