More than 51,000 music and sports fans are set to receive automatic refunds after the Competition and Markets Authority (CMA) found StubHub UK had hidden mandatory fees until the final stage of checkout. The watchdog also fined the ticket reseller £889,200 for breaking consumer law.
Between 6 April and 7 December last year, customers buying tickets for gigs and sports events on StubHub UK were charged delivery and service fees that were unavoidable but only appeared at the last moment – an illegal practice known as drip pricing. The average refund per transaction is expected to be about £10.33, with total payouts exceeding £590,000.
“StubHub UK fined £889,200 and ordered to refund over 51,000 customers for hidden ticket fees.”
"Hitting customers with hidden fees is illegal," said Emma Cochrane, executive director of consumer protection at the CMA. "It's not fair to draw people in with what looks like a good deal, only for them to find the real price is higher when they get to the checkout due to extra charges that can't be avoided."
StubHub International, which operates in Europe, described the issue as an "isolated platform error" and said its UK platform is designed to display all fees upfront. "We identified and corrected the issue promptly, and all affected customers will receive an automatic refund," a spokesperson said. The company added that it fully cooperated with the investigation.
The fine was reduced by 40% because StubHub admitted breaking the law and chose to settle the case. The CMA said StubHub has taken steps to end the conduct.
Cochrane added: "Going to a live gig or sports game is an event many people save for – and our action today means thousands of fans will get back money taken unfairly through hidden fees." She warned businesses: "Be transparent on costs or risk CMA action."
The investigation into StubHub was part of a wider CMA crackdown on online pricing practices. Last year, the regulator launched investigations into eight companies, including rival reseller Viagogo UK, AA Driving School, BSM Driving School, Gold's Gym, Wayfair, Appliances Direct and Marks Electrical. The CMA is examining practices such as pressure selling, drip pricing and misleading countdown clocks.
Under the Digital Markets, Competition and Consumers Act introduced last year, the CMA now has powers to decide whether consumer law has been broken without going through the courts, and can order businesses to pay compensation directly to affected customers.