Subscription Contracts: Right to Cancel

Lord Parkinson of Whitley Bay Excerpts

Tuesday 2nd December 2025 Lords Chamber

[Lord Leong (Lab)]

Every consumer has a right to do that under current consumer protections. They have a cooling-off period of 14 days to cancel that subscription if it is a distance subscription. Under the new Act, if the subscription is taken up or renewed in person, the cooling-off period is extended to 14 days, so consumers will have the right to cancel or stay within the subscription.

[Lord Parkinson of Whitley Bay (Con)]

My Lords, the problem has been well set out by my noble friend Lord Moynihan and repeated admirably by the Minister. It is a problem that was identified when this Act was going through your Lordships’ House. At the time, my noble friend Lord Offord of Garvel committed to closing this loophole through secondary legislation. Of course, the election interceded, but that is now a year and a half ago. As we have heard, this is a pressing issue for organisations that are beset by cuts to the DCMS budget, the rising impact of national insurance contributions and much more. Will the Minister commit to working urgently to make sure that this loophole is not open in a way that will affect so many arts, cultural and heritage organisations that are loved across the country?

[Lord Leong (Lab)]

I thank the noble Lord for that. I assure him that my officials and I are working to ensure that we get this right. The new subscription regime will ensure that in particular situations, including after the contract automatically renews on to a 12-month term, consumers have a 14-day window in which to cancel. Should any changes be needed in secondary legislation that we publish, they will not commence until autumn 2026, so there is plenty of time for charities and heritage organisations to put their houses in order before this regime kicks in.