The UK's subscription-contract regime is designed around a simple problem: consumers can sign up quickly but often find it harder to understand renewals or leave. Chapter 2 of Part 4 of the Digital Markets, Competition and Consumers Act 2024 creates a dedicated framework for recurring consumer contracts.

Businesses should distinguish the statutory framework from its implementation date. The Act sets the architecture, but the government has said secondary legislation is required to put the full regime into operation. As of June 2026, companies should be preparing rather than assuming every detailed subscription provision is already live.

Pre-contract information has to make the recurring cost clear

The framework requires key information before a consumer enters a subscription. The government's implementation materials highlight matters such as how often a contract renews, the frequency and cost of payments and how the customer can end it.

That means the compliance issue is not solved by placing full terms behind a link. Important recurring-payment information needs to be presented clearly enough for the consumer to understand the commitment before signing up.

Reminder notices and cooling-off rights are built into the model

The Act provides for reminder notices and renewal-related protections intended to stop consumers drifting into payments they did not consciously expect. It also creates initial and renewal cooling-off rights in specified circumstances.

The detailed operation of refunds, returns and some notice requirements depends on secondary rules. Businesses building systems in advance should therefore avoid hard-coding assumptions that go beyond the final regulations.

The government's April 2026 response said consumers must be able to exit subscriptions in a straightforward way without unnecessary hurdles and that, where consumers can sign up online, they must be able to exit online.

For digital businesses, that turns compliance into a user-experience question. Cancellation journeys, account settings, reminder emails and billing systems may all need engineering work before the regime is fully commenced.

Subscription regime: areas businesses should prepare for
AreaExpected requirement
Before sign-upClear key and full pre-contract information
RenewalReminder and renewal information
Cooling-offInitial and specified renewal cancellation rights
CancellationStraightforward exit arrangements
ImplementationSecondary legislation completes the detailed regime