Advice to business - Pricing of Goods and Services

Traders must display prices for most of the goods they sell. Any pricing information given must be clear and meaningful.

What the Law Says

• Normally, when goods are offered by a retailer there must be a written indication of the selling price
• If goods are exposed for sale, the price can be on the goods themselves or on a ticket price list close to them. If the goods are not on view, the price must be on a price list or in an advertisement or catalogue
• Each price must be unambiguous, easily identifiable with the goods, and clearly legible
• Any price given for goods or services must not be misleading
• All retail prices must include VAT. If there are any non-optional extras which must be purchased with the goods, their price must either be included in the main price or displayed just as prominently together with an explanatory statement
• Price comparisons should be factual. Do not use descriptions such as 'worth' or 'valued at'. The abbreviation 'RRP' and 'man, rec. price' are permissible. All other abbreviations should be avoided.
• All price companies must be clearly explained and must not mislead in any way. You should compare like with like and where a reduced price is claimed then the product should have been offered for sale at the Higher price for at least 28 days in the previous 6 months in the same outlet. If your comparison does not meet these criteria then you should provide an explanation which is not ambiguous, easily identifiable and clearly legible to the consumer.

How to comply with the law.

• Regularly check your stock to ensure that it is properly priced and that prices are up to date
• If you employ staff make sure they are properly trained and supervised
• Make sure you are able to substantiate any price comparison you make. Always keep records
• Make sure your price indications are clear and meaningful. Avoid using vague or complicated comparisons

Important

• Never overcharge
• Regularly check your staff and pricing systems
• Regularly check that your price tickets apply to the correct goods
• Ensure price reductions and special offers are clearly explained

Contact Details

Consumer Advice and Information in Solihull, is now provided by our partners at Consumer Direct West Midlands. Consumer Direct is a telephone and online consumer advice service, which is supported by local authorities (Trading Standards) and Central Government. If you do need support or assistance from Trading Standards, you will of course be referred to them by Consumer Direct.