Consumer Affairs

Harriett Baldwin Excerpts

Thursday 11th September 2025 Westminster Hall

[Dame Harriett Baldwin (West Worcestershire) (Con)]

It is a pleasure to speak for the Opposition in this interesting debate; I congratulate the hon. Member for Warwick and Leamington (Matt Western) on securing it. I add my congratulations to the hon. Member for East Renfrewshire (Blair McDougall) on his appointment. I look forward to potentially confronting him, but sometimes agreeing with him, at the Dispatch Box on numerous occasions.

It has been an interesting debate. The hon. Member for Warwick and Leamington is right to raise concerns about a range of different challenges with pricing practices. Consumers often find them confusing and frustrating, and sometimes find themselves completely out of pocket, which is a very annoying feeling. I think we can all agree that transparency and fairness need to be at the heart of our consumer markets. My particular pet peeves, quite a few of which were listed by the hon. Member, include subscription traps—they have definitely got me quite a few times—and the meal deal where I think I have the elements right but have not, and end up paying more than I should. Unclear sizes is another issue. There are also the three-for-two offers where we do not buy the right three things but do not realise that until we are in the queue for the checkout. The one thing that I think is probably a good thing, though, is the shrinkflation of the Mars Bar; we probably need to welcome that as a sign of human progress.

We have also heard some really interesting contributions this afternoon from the hon. Members for Strangford (Jim Shannon) and for Hackney South and Shoreditch (Dame Meg Hillier). I have the honour of serving on the Treasury Committee, which is chaired by the hon. Lady, and today she outlined many of the different ways in which consumers can encounter challenges in the financial sector. The hon. Member for Torbay (Steve Darling) also made a very interesting speech.

The one thing that I want to pick up on in my remarks is flexible or variable pricing, because the hon. Member for Warwick and Leamington outlined some of the drawbacks of such pricing, and how we can feel—particularly if we have to use the railway at peak times—how unfair it is. However, I will just caution colleagues against throwing the baby out with the bathwater regarding flexible pricing, because the flipside of it is that it allows businesses to offer much cheaper prices when demand is low. Consequently, it helps consumers to access goods and services at a price they can afford that they might otherwise miss, and it enables venues to fill their seats, airlines to fill their planes and retailers to manage their stocks efficiently. So long as flexible pricing is transparent, there are benefits for consumers and businesses.

Key to consumers getting good prices is creating good competition in markets and keeping inflation down but, frankly, both those things are being exacerbated by the Government’s current economic approach, particularly inflation, because last year’s Halloween Budget included the tax hikes, the increased national insurance contributions and the reduced business rates relief that are pricing a lot of small businesses out of the market. Those are the very businesses that drive competition, and that can keep prices down. Without them, consumers face fewer choices and therefore higher costs.

I will give an example from the night-time economy. According to the Night Time Industries Association, we have seen a worrying decline in venues across the UK. Recent research has revealed that over a quarter of our towns and cities that had a nightclub before the pandemic now have none, and that 16% of our towns and cities across this country have lost all their late-night venues entirely.

We will hear from the Minister about the Government’s plans to cap ticket resales. Those plans risk making things worse. Capping resale profits at 10% might sound like a fair idea, but in practice it risks harming small venues and up-and-coming artists. It places additional costs on already stretched businesses, and opens the door to the black market and scams. We have seen this play out. We can learn from the state of Victoria in Australia, where a 10% profit cap on ticket resellers did not stop tickets from being sold above the price cap; it just resulted in a spike in the number of scammers, and tickets only being available to international buyers. So, the Minister might want to ask his team about that situation.

We have also seen that in Ireland, a 10% tax on ticket resellers caused an increase in scams. And last year, at the wonderful Paris Olympics, viagogo was banned. Because viagogo is a ticket resale company, that meant that there were empty seats at many Olympic events. So, the ban deprived fans of spontaneous access to the Olympics, and athletes of full audiences.

I urge the Minister to be wary of unintended consequences and to look closely at the proposals. The Government’s approach, as we understand it, risks penalising fans, artists and venues alike. This issue is not just about ticket touts; it is about ensuring a vibrant cultural sector, in which people can access live events safely and affordably. Regulation, if it is done badly, risks moving all of this activity underground.

I wholeheartedly endorse what the hon. Member for Warwick and Leamington said about keeping consumers informed, making sure that information is clear and ensuring that consumers are not misled. Let us support competition; let us enable a thriving small business sector and not stifle it; and let us back businesses that make our economy dynamic, diverse and responsive to consumer needs.

In summary, I agree that we need to be vigilant about unfair practices, but we must also be pragmatic. The best protection for consumers is thriving, competitive markets, not ones burdened by excessive regulation and shrinking opportunity.