Trading Standards Fine of £300,000 Against Tesco For Misleading Customers Over Prices

Tesco has been hit with a fine of £300,000 over the price of strawberries after maintaining a promotional price for so long that it became misleading.

The fruit had been on sale at £3.99 for a week and then for a short period at £2.99. Tesco then sold the same size pack of strawberries for £1.99 labelled as half price for a month. A complaint to the store manager and to Tesco’s head office did not result in a change and the unhappy customer took it up with Birmingham Trading Standards.

Tesco was found guilty of a contravention of consumer protection regulations and fined such a large amount to represent what the promotion was estimated to have added to the profits of Tesco.

All retailers must be aware of the range of selling practices that are unlawful under those regulations. They include the notorious practices of never-ending closing down sales and fake claims of limited stock at special prices as well as many other tactics considered to be unfairly misleading of consumers.

Forbes can assist with specialist advice on what is permissible and what might land a retailer in the sort of trouble experienced by Tesco. For help with consumer law and the similar regulations affecting business to business selling practices contact us on 01254 222399 or contact Daniel Milnes in the Business Law Team.

Daniel Milnes

About Daniel Milnes

Dan is a Partner and Head of Contracts & Projects. Dan’s blogs cover the areas in which his specialities lie in commercial, regulatory and governance law which cover a broad range of matters dealing with contracts, projects, corporate and group structures, funding and compliance with a range of legal regimes including data protection. This also involves writing and advising on various forms of commercial contracts including joint ventures, development and construction agreements and intellectual property contracts including IT agreements, sponsorships and other rights licensing arrangements.

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