UK Consumer Contract Terms — CRA 2015 + DMCC 2024

Last verified

Drafting reference for UK consumer terms — Consumer Rights Act 2015 implied terms, Consumer Contracts Regulations 2013, DMCC Act 2024 subscription rules.

UK consumer contract terms are the set of standard contractual provisions used by a trader to sell goods, services or digital content to consumers. The drafting baseline is the Consumer Rights Act 2015 (CRA) — which consolidated the implied-terms regimes of the Sale of Goods Act 1979 (consumer aspects), the Supply of Goods and Services Act 1982 (consumer aspects), the Supply of Goods and Services Act 1994, and the Unfair Terms in Consumer Contracts Regulations 1999. Layered on top is the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 (SI 2013/3134), which imposes pre-contractual information requirements and the 14-day right to cancel for distance and off-premises contracts. The Consumer Protection from Unfair Trading Regulations 2008 (CPUTR, SI 2008/1277) prohibits misleading and aggressive commercial practices. The Digital Markets, Competition and Consumers Act 2024 — Royal Assent 24 May 2024 — gives the CMA new civil enforcement powers and introduces specific subscription-contract rules.

See Website Terms of Use for the access-side contract, Privacy Notice for data-protection compliance, and Unfair Contract Terms for the underlying UCTA / CRA Part 2 framework.

“Consumer” — CRA s.2(3)

A “consumer” for CRA purposes is “an individual acting for purposes that are wholly or mainly outside that individual’s trade, business, craft or profession” (s.2(3) CRA). The “wholly or mainly” formulation reflects the EU Consumer Rights Directive 2011/83 and admits mixed-purpose use — a self-employed user buying a laptop predominantly for personal use is a consumer for the purposes of that purchase. Burden of proof falls on the trader (s.2(4)) where the consumer’s status is in issue.

A “trader” is “a person acting for purposes relating to that person’s trade, business, craft or profession, whether acting personally or through another person acting in the trader’s name or on the trader’s behalf” (s.2(2)).

CRA 2015 — Three Substantive Regimes

CRA Part 1 splits consumer-trader contracts into three regimes by subject matter:

Goods — ss.3-32

Where the contract is for the sale or supply of goods (including conditional sale, hire-purchase, contracts for transfer of goods, contracts for hire of goods), four implied terms apply automatically and cannot be excluded (s.31):

  • Satisfactory quality (s.9) — the goods must be of a standard that a reasonable person would regard as satisfactory, taking into account description, price and other relevant circumstances. Includes fitness for all purposes for which goods of that kind are commonly supplied, appearance and finish, freedom from minor defects, safety, and durability.
  • Fit for particular purpose (s.10) — where the consumer makes known a particular purpose, the goods must be fit for that purpose unless the consumer does not rely or unreasonably relies on the trader’s skill or judgment.
  • As described (s.11).
  • Matching sample (s.13) and matching model seen or examined (s.14) where applicable.

Tiered remedies for goods (ss.20-24):

  1. Short-term right to reject (s.20) — within 30 days of delivery (or possession passing). Full refund. Right is lost on acceptance — see Bowmaker (Commercial) Ltd v Day (1965) for guidance on what acceptance means in practice.
  2. Right to repair or replacement (s.23) — at the trader’s expense, within a reasonable time and without significant inconvenience to the consumer.
  3. Right to price reduction or final right to reject (s.24) — after one failed attempt at repair or replacement, or where repair/replacement is impossible or disproportionate. Price reduction by an appropriate amount up to the full price.

After the first six months, the burden of proof shifts from the trader to the consumer to show that the goods were not of satisfactory quality at the time of delivery (s.19(15)).

Digital Content — ss.33-47

Where the contract is for the supply of digital content (data produced and supplied in digital form — s.2(9)) for which the consumer pays a price (or which is supplied with other goods/services for which the consumer pays), three implied terms apply (ss.34-36):

  • Satisfactory quality (s.34).
  • Fit for particular purpose (s.35).
  • As described (s.36).

Remedies for digital content (ss.42-46):

  • Repair or replacement (s.43) — at the trader’s expense, within a reasonable time without significant inconvenience.
  • Price reduction (s.44) — appropriate amount up to the full price; available on first remedy failure or where repair/replacement impossible.
  • Refund for paid digital content (s.45).
  • Right against trader where digital content damages device or other digital content (s.46) — separate remedy for consequential damage.

Free digital content supplied with paid goods/services is also within ss.33-47 (s.33). Updates issued by the trader (security patches, feature updates) form part of the digital content and must not cause it to become non-conforming (s.40).

Services — ss.48-57

Where the contract is for the supply of services, three implied terms apply:

  • Reasonable care and skill (s.49) — the trader must perform the service with reasonable care and skill.
  • Reasonable price (s.51) — where the contract does not fix the price, a reasonable price is to be paid.
  • Reasonable time (s.52) — where the contract does not fix the time, the service must be performed in a reasonable time.

Remedies for services (ss.54-57):

  • Repeat performance (s.55) — where the breach is of the s.49 reasonable-care-and-skill term or of an express term as to the service. Free of charge, within a reasonable time, without significant inconvenience.
  • Price reduction (s.56) — where repeat performance impossible or has been undertaken without remedying the breach. Appropriate amount up to the full price.

Pre-contractual information that the consumer takes into account in deciding to enter the contract becomes a term of the contract (s.50). This is an important consumer-protection lever: marketing claims (timeliness, quality, scope) become enforceable contract terms.

Part 2 — Unfair Terms

CRA Part 2 (ss.61-76) replaces the Unfair Terms in Consumer Contracts Regulations 1999 and substantially extends the fairness regime. Key provisions:

  • s.62 fairness test — a term is unfair if “contrary to the requirement of good faith, it causes a significant imbalance in the parties’ rights and obligations under the contract, to the detriment of the consumer”. Unfair terms are not binding on the consumer.
  • s.64 core terms — the test does not apply to the assessment of (a) the appropriateness of the price, or (b) the main subject matter of the contract, provided the term is transparent and prominent.
  • s.65 negligence-PI prohibition — absolute prohibition on excluding or restricting liability for death or personal injury caused by negligence in consumer contracts (consumer notices also covered by ss.65-66).
  • s.68 plain-and-intelligible language — written terms must be transparent. Ambiguity construed in favour of the consumer (s.69 contra proferentem).
  • Schedule 2 Part 1 grey list — 20 indicative unfair terms, including: terms permitting trader to alter unilaterally (paragraph 11), terms enabling trader to dissolve contract on discretionary basis (paragraph 7), terms requiring consumer who fails to fulfil obligations to pay disproportionately high compensation (paragraph 4), terms enabling trader to alter unilaterally the characteristics of the product or service (paragraph 13).

The Competition and Markets Authority and Trading Standards have enforcement powers under Part 8 of the Enterprise Act 2002 and Schedule 5 CRA.

Consumer Contracts Regulations 2013 — Pre-Contract Information and Right to Cancel

SI 2013/3134 implements the Consumer Rights Directive 2011/83 (retained). Three classes of contract are covered:

  • On-premises contracts (reg 9 + Schedule 1) — basic pre-contract information.
  • Off-premises contracts (reg 10 + Schedule 2) — concluded simultaneously with both consumer and trader present somewhere other than the trader’s business premises. Extensive pre-contract information + 14-day right to cancel.
  • Distance contracts (reg 13 + Schedule 2) — concluded without simultaneous physical presence, exclusively using means of distance communication. Extensive pre-contract information + 14-day right to cancel.

Required Information — Schedule 2

Schedule 2 enumerates 24 items of pre-contract information that must be provided to the consumer in a clear and comprehensible manner. The most operationally significant include:

  • The main characteristics of the goods, services or digital content.
  • The identity of the trader (including trading name) and contact details.
  • The total price including taxes; or where the price cannot reasonably be calculated in advance, the manner of calculation.
  • All additional delivery, postage or other costs; where these cannot reasonably be calculated in advance, the fact that such additional charges may be payable.
  • The arrangements for payment, delivery, performance and complaint-handling.
  • Where applicable, the conditions, time limit and procedures for exercising the right to cancel — together with the model cancellation form in Part B of Schedule 3.
  • Where applicable, that the consumer will have to bear the cost of returning the goods on cancellation.
  • Where applicable, the consumer’s obligation to pay reasonable costs where the consumer exercises the right to cancel after having requested commencement of services / digital content during the cancellation period.
  • The conditions, time limits, and procedures for exercising the cancellation right or, where there is no cancellation right, an express statement that the consumer will not benefit from one.
  • The existence and conditions of after-sale services and commercial guarantees.
  • The duration of the contract or, if the contract is of indeterminate duration or is to be extended automatically, the conditions for terminating it.
  • The functionality, including applicable technical protection measures, of digital content.
  • Any relevant interoperability of digital content with hardware and software that the trader is aware of or can reasonably be expected to have been aware of.
  • Where applicable, the possibility of having recourse to an out-of-court complaint and redress mechanism.

14-Day Right to Cancel — regs 27-38

For distance and off-premises contracts the consumer has an unconditional right to cancel within 14 days of:

  • For goods, the day on which the consumer (or third party indicated by the consumer) acquires physical possession of the goods (reg 30(2)). Specific rules for multiple goods, partial deliveries, regular delivery contracts.
  • For services and digital content, the day on which the contract is concluded (reg 30(3) and (4)).

Cancellation requires the consumer to send a “clear statement of the decision to cancel” (reg 32(2)) — the model cancellation form in Schedule 3 Part B may be used but is not required.

Refund of all payments received from the consumer, including standard delivery, within 14 days of the cancellation (reg 34(1)). For goods, the trader may withhold the refund until the goods have been returned or the consumer has supplied evidence of return (reg 34(8)).

Return shipping — where the consumer bears the cost of return (which must have been disclosed pre-contract), the consumer is responsible for shipping back. Where the trader has not disclosed the cost obligation, the trader bears the cost.

Carve-Outs from the Right to Cancel — reg 28

Several contracts are excluded from the right to cancel:

  • Bespoke / made-to-order goods (reg 28(1)(b)) — goods made to the consumer’s specifications or clearly personalised.
  • Perishable goods (reg 28(1)(c)) — goods liable to deteriorate or expire rapidly.
  • Sealed goods unsuitable for return on health-protection or hygiene grounds once unsealed after delivery (reg 28(1)(g)).
  • Newspapers, periodicals or magazines, with the exception of subscription contracts (reg 28(1)(j)).
  • Digital content supplied not on a tangible medium — where the consumer has given express consent to performance beginning during the cancellation period and has acknowledged that the right to cancel will be lost on that beginning (reg 37(1)).
  • Services fully performed during the cancellation period where the consumer has expressly requested performance and acknowledged that the right to cancel will be lost when the service is fully performed (reg 36(1)).
  • Accommodation, transport, vehicle rental, catering and leisure-activity contracts for a specific date or period (reg 28(1)(h)) — common for hotel and event bookings.

Service / Digital Content Started Before Cancellation Window Expires — regs 36-37

Where the consumer requests the service / digital content to begin during the cancellation period and the consumer cancels before completion:

  • Services (reg 36): the consumer must pay a reasonable proportion of what is due under the contract, in relation to the full coverage of the contract, for the service provided up to cancellation.
  • Digital content (reg 37): where the consumer has consented to performance beginning and acknowledged the loss of cancellation right, the right is lost on first commencement. Where the consumer has not consented, the right is preserved but no payment is due for any content already supplied.

Digital Markets, Competition and Consumers Act 2024

The DMCC Act 2024 received Royal Assent on 24 May 2024 and is being commenced in phases through 2025-2026. It introduces:

CMA civil enforcement powers (Part 3). The CMA can:

  • Apply directly for civil penalties for breaches of consumer law — up to £300,000 or 10% of global annual turnover, whichever is higher.
  • Issue final infringement notices and require remedial steps.
  • Accept undertakings.

The previous regime — court action by the CMA, Trading Standards or the OFT predecessors — remains for some breaches but is supplemented by the direct-action route.

Consumer subscription contracts (Part 4 Chapter 2). New rights for consumers entering into subscription contracts:

  • Pre-contract subscription disclosure — clear and prominent display of the key terms, including price, duration, renewal mechanism, and cancellation procedure.
  • Right to short-notice cancellation — consumers must be able to cancel by a single straightforward action.
  • Reminder notices — traders must remind consumers before automatic renewal events.
  • Subscription “trap” prohibition — practices designed to make cancellation disproportionately difficult are unlawful.

The subscription provisions implement secondary legislation that is being developed by the Department for Business and Trade through 2025-2026.

Direct consumer remedies for unfair commercial practices (Part 4 Chapter 1). Replaces and consolidates the consumer redress provisions previously in CPUTR 2008 — new statutory rights of unwind, damages and price reduction for consumers misled by trader practices.

CPUTR 2008 — Unfair Commercial Practices

The Consumer Protection from Unfair Trading Regulations 2008 (SI 2008/1277) implements Directive 2005/29/EC (retained). The Regulations prohibit:

  • General clause (reg 3) — unfair commercial practices that contravene the requirements of professional diligence and materially distort or are likely to materially distort the economic behaviour of the average consumer.
  • Misleading actions (reg 5) — practices containing false information or that are likely to deceive the average consumer.
  • Misleading omissions (reg 6) — failure to provide material information.
  • Aggressive practices (reg 7) — practices involving harassment, coercion or undue influence.
  • 31 blacklisted practices (Schedule 1) — automatically unfair regardless of effect: bait advertising, false endorsements, false free claims, false time-limited offers, hidden commercial intent, persistent unsolicited solicitations, false claim of regulatory approval, pyramid schemes, etc.

DMCC 2024 modernises some terminology and gives direct enforcement effect.

Consumer Credit and Other Sectoral Layers

Where the consumer contract is a regulated credit agreement under the Consumer Credit Act 1974 (CCA) — credit, hire-purchase, conditional sale, regulated guarantee or indemnity — additional formal and substantive requirements apply: APR disclosure (CCA s.20 + the Consumer Credit (Total Charge for Credit) Regulations 2010), form regulations (CCA s.60 + the Consumer Credit (Agreements) Regulations 2010 SI 2010/1014), pre-contract information sheet (CCA s.55 + the Consumer Credit (Disclosure of Information) Regulations 2010 SI 2010/1013), and the FCA Consumer Credit sourcebook (CONC).

For financial services more generally, the Financial Services and Markets Act 2000 + FCA Handbook (including the Consumer Duty under PRIN 2A from 31 July 2023) imposes overlapping consumer obligations.

ADR and ODR

The Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015 (SI 2015/542) implements Directive 2013/11/EU (retained). Traders must:

  • Provide consumers with information about a relevant ADR provider on their website and in their general terms (reg 19) where the trader is committed to or obliged to use ADR.
  • Where a dispute cannot be settled directly, inform the consumer of the relevant ADR provider and whether the trader will use it (reg 19A — DMCC 2024 strengthening).

The Online Dispute Resolution Regulation 524/2013 (retained as UK ODR) requires online traders selling to consumers to provide a link to the ODR platform. The EU ODR platform was retained as UK-relevant until its EU sunset; the UK has indicated a domestic replacement is under consideration.

Sample Consumer-Terms Structure

A compliant consumer-terms document typically includes:

  1. Identification. Trader legal name, trading names, registered office, company number, contact details (Reg 6 ECR 2002 overlap).
  2. Description of products / services. Main characteristics, technical specifications, applicable interoperability and functionality (for digital content).
  3. Price. Total price including VAT; how additional charges (delivery, optional features) are calculated; payment methods accepted.
  4. Order acceptance. When and how the contract is formed — typically on the trader’s confirmation email rather than at order placement.
  5. Delivery / performance. Timeframes; partial-delivery treatment; risk transfer (CRA s.29 — risk passes on delivery to consumer).
  6. Right to cancel. 14-day cooling-off period for distance / off-premises contracts; cancellation procedure; model cancellation form; carve-outs (bespoke, perishable, sealed-for-hygiene, started-digital-content); refund mechanism and timeframe; return shipping responsibility.
  7. Consumer rights under CRA. Reference to satisfactory quality, fit for purpose, as described; tiered remedies; complaints procedure.
  8. Subscription terms. Where applicable — duration, renewal mechanism, reminder, cancellation route (DMCC 2024-aligned).
  9. Payment and ownership. Title transfer; retention-of-title where applicable; payment terms; consequences of late payment.
  10. Warranty / commercial guarantee. Additional rights beyond the CRA statutory rights.
  11. Complaints. Internal complaints procedure; ADR availability; ODR link where applicable.
  12. Liability. Within CRA Part 2 fairness and s.65 limits.
  13. Termination. Symmetric rights; refund treatment.
  14. Data protection. Cross-reference to privacy notice.
  15. Governing law and jurisdiction. English law (or relevant UK jurisdiction); courts of England (or relevant); preservation of consumer mandatory rights.
  16. Effective date. Version and last-updated.

Recent CMA Enforcement

The CMA has been active on consumer-protection enforcement in 2023-2025:

  • Online dating apps — 2023-2024 CMA action on auto-renewal and cancellation-friction practices in dating-app subscriptions.
  • Drip pricing and hidden fees — DMCC 2024 explicitly addresses; CMA market study on consumer-facing pricing transparency.
  • Fake reviews — DMCC 2024 introduces a specific prohibition on fake or paid-for reviews (commencement Q1-Q3 2025 secondary legislation).

Bibliography

Cross-references

Disclaimer: Handbook content is informational, not legal advice. DMCC 2024 commencement is rolling through 2025-2026 and secondary legislation on subscription contracts is in development. CMA enforcement priorities evolve. Consult a solicitor admitted in England and Wales for binding decisions about your specific consumer-contract drafting. Last verified 2026-05-11.