The Price Marking Order 2004 (PMO) took effect in Great Britain in 2004. Its aim was to provide greater transparency to consumers about the prices of goods. Unless an exemption applies, the PMO requires the selling price of a product to be displayed and sets out the circumstances in which a product must clearly display a unit price too. The PMO has recently come under review to ensure that, in light of the trend in pricing and promotional offers, traders are mandated to provide consumers with sufficient information to make comparisons between products.
The Price Marking (Amendment) Order 2024 was laid before Parliament on 23 October 2024 and amends the PMO. Originally, it was going to take effect from 1 October 2025, but was later delayed to 6 April 2026 and further amendments were made.
The government has now published new guidance on the PMO. The PMO requires traders to display the 'selling price' which is the price that a consumer will pay for the actual weight or volume purchased. The selling price should include any taxes. The PMO also requires traders, where applicable, to display the 'unit price' – which is the price which would be charged for the relevant unit of the goods, depending upon how the goods are sold.
Display and presentation
Prices must be unambiguous, easily identifiable, clearly legible, and close to the product (or its description online). Both selling and unit prices must be displayed for promotional offers and loyalty discounts, unless an exemption applies. If a product is offered at more than one price (for example loyalty schemes), all applicable prices and the conditions for each must be clearly shown. Care should be given to not give one set of prices prominence over the other.
General reductions
For large-scale, short-term discounts (for example, "20% off all paint" which runs over a bank holiday weekend), a general notice may be used instead of changing every price label, but only if it is not reasonably practicable to update each one. However, the guidance gives a different example where a pet shop sells multiple brands of cat litter. They run a planned offer for the month of December of 25% off one brand of cat litter. As the offer applies to specific products with a set reduction, it would be reasonably practicable to update the pricing on the affected products.
Accessibility
The guidance reminds traders about their obligations under the Equality Act 2010 when displaying prices and that they need to take account of the particular needs of people with protected characteristics, such as the elderly, and people with disabilities. Traders may wish to take account of the Royal National Institute for the Blind's Clear Print Guidelines. Online retailers may also wish to refer to the Web Content Accessibility Guidelines (WCAG).
Enforcement
Breaches can result in criminal prosecution (unlimited fines) or civil enforcement through the courts (fines up to 10% of global turnover). Trading standards deal with criminal enforcement.
The Competition and Markets Authority can also enforce breaches of the PMO directly using its new enforcement and substantial fining powers.
This guidance only applies in Great Britain. In Northern Ireland, the Price Marking Order (Northern Ireland) 2004 applies.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
