News

Government to investigate companies like Trainline and Virgin Atlantic for ‘misleading’ pricing

No conclusions have been reached about whether these firms have broken the law as of yet.

Emily Sergeant - 20th August 2026

The Government is investigating a number of companies for 'misleading' pricing practices.

The Competition and Markets Authority (CMA) has launched three new consumer protection investigations into Trainline, Virgin Atlantic, and RED Driving School over concerns that customers were not shown the total price upfront when buying things like train and coach tickets, holidays, or even driving lessons.

The investigations are part of a wider CMA clampdown on misleading pricing practices - in this instance, where mandatory charges are separated from the headline price, or added later in the buying process, which is known as drip pricing.

These practices leave consumers facing 'unexpected' costs or having to calculate the so-called true cost themselves.

Such practices can also impact competition between businesses, as a firm using drip pricing may falsely appear to be cheaper than a competitor pricing correctly, and therefore attract more customers.

Trainline is being investigated over whether all mandatory fees have been included in the upfront prices displayed to consumers buying tickets in advance on its app and website, while Virgin Atlantic's investigation will focus on whether mandatory resort fees and local taxes have been included in the upfront prices shown to customers buying package holidays.

RED Driving School is being investigated over how a mandatory booking fee and 'digital' fee have been displayed to people booking driving lessons - specifically whether these fees have been included in the total upfront price.

"At a time when many households are watching every pound they spend, it is important that people are not surprised by extra fees," commented Emma Cochrane, who is the Executive Director for Consumer Protection at the CMA.

"Clear pricing helps people compare offers confidently and choose the option that works best for them.

"Unexpected mandatory charges make this much harder, which is why the CMA initially put these firms on notice over concerns about their pricing practices and is now opening formal investigations."

The CMA says it's at the beginning of its investigations and has reached no conclusions about whether these firms have broken the law.

If it finds there has been an infringement of the law, the CMA can order businesses to pay compensation to affected customers or be charged up to 10% of global turnover. 

Featured Image - PNW Productions (via Pexels)