dynamicdoodle

Start

WHAT THE REGULATOR FOUND

Same seat,
different price.

Some prices move with demand, minute by minute.

A quiet airport departure lounge with rows of empty seats facing tall windows and an unmarked plane on the stand at dusk
AI-generated image, not a photograph of a real person or place.

Airlines, hotels, rail and ride-hailing apps often adjust prices as bookings come in. The UK's Competition and Markets Authority looked at how it works, when it helps buyers and when it does not.

TOTAL PRICEshown up front

Check a purchase

Keep in mind

  • Flexible buyers can gain
  • One-off events, less so
  • The price must be clear
  • Know the rules before you queue

THE SHORT ANSWER

Not always unfair,
never secret.

The CMA says dynamic pricing can work for buyers.
It worries when people are kept in the dark or rushed.

TRAVEL

Flex and you may save

Where there are alternatives, such as a flight at a different time, the CMA says flexible buyers can take advantage of a better deal.

Check a purchase

EVENTS

Few alternatives

For a one-off live event, most fans see few substitutes, so dynamic pricing is more likely to mean higher revenue for sellers with little benefit for buyers.

See the numbers

THE LAW

The total price, up front

Sellers must show the total price you will pay, and changing it after you reach checkout may break the law.

Before you buy

General information only, not financial advice. For advice on your own situation, speak to a regulated financial adviser or a free money-advice service.

A QUICK PURCHASE CHECK

What are you
buying?

Pick a purchase to see how dynamic pricing usually plays out there, according to the CMA's 2025 review. The bar shows how much room a flexible buyer has to find a better price.

Purchase check

Choose a purchase
A flightFlex the date

Air travel commonly uses dynamic pricing as part of revenue management. If you can fly at a different time, a cheaper seat may be available.

A hotel roomShop around

Hotels often price by demand and remaining rooms. Another night or another hotel can be a real substitute, which the CMA says can benefit buyers overall.

A ride-hailing tripSurge has a purpose

Fares can rise at busy times. The CMA notes this may encourage more drivers onto the road, though you may have to wait or pay more.

A one-off live eventLittle room to flex

Most fans see few alternatives to one concert, so dynamic pricing is more likely to raise sellers' revenue with little benefit to buyers.

Source: Competition and Markets Authority, Update: dynamic pricing (2025).

Based on the CMA's 2025 update on dynamic pricing. General information, not legal advice.

TWO NUMBERS WORTH KNOWING

Labels and fines
both matter.

One figure from the CMA's look at a big 2024 ticket sale,
one on what breaking consumer law can now cost.

≈ 2.5× higher

Price of ‘platinum’ seats vs standard

In a 2024 stadium ticket sale of more than 900,000 tickets, the CMA was concerned that ‘platinum’ seats sold for near 2.5 times the price of equivalent standard tickets without extra benefits.

TICKET LABELS · CMA

10% of turnover

Maximum fine for breaking consumer law

Under the Digital Markets, Competition and Consumers Act 2024, the CMA can decide when consumer law has been broken and fine firms up to 10% of global turnover.

FINES · DMCC ACT

The CMA found no evidence that prices in that sale were adjusted in real time by an algorithm. Cheaper standing tickets sold out first, then the rest were released at a much higher price, without clear warning to fans waiting in the queue.

FOUR CHECKS BEFORE YOU BUY

Know how the
price can move.

The CMA suggests sellers using dynamic pricing should tell you that prices can change, why they change and the likely range. Look for that information before you commit.

A crowd seen from behind at an outdoor evening concert, hands raised towards a stage washed in coloured light
AI-generated image, not a photograph of a real person or place.

Step 1

Ask whether prices change

Look for a statement that prices are not fixed. If you cannot find one, prices may still move.

Step 2

Look for the reason and the range

Good practice is to explain what drives the price, such as how close to the date you book, and the lowest and highest likely prices.

Step 3

Be flexible where you can

A different day, time or venue is where dynamic pricing can work in your favour, especially for travel and hotels.

Step 4

Check the total at checkout

The price shown in an invitation to buy should be the total you pay. A change after you reach checkout may break the law.

WHY SELLERS DO IT

Empty seats
can't be sold later.

A neatly made hotel bed in a calm room with a window looking out over city rooftops in soft morning light
AI-generated image, not a photograph of a real person or place.

The CMA says dynamic pricing is most common where supply cannot quickly change and the product is ‘perishable’, like a seat on a particular flight that is worthless once the plane leaves. Moving prices helps firms fill capacity and can fund new capacity.

In Which?'s 2025 focus groups, people judged dynamic pricing fairer when it was transparent, predictable, optional and shared some benefit with customers, and felt most aggrieved when prices rose after they had joined a queue.

Questions

Questions on the way

What is dynamic pricing?

The CMA uses the term for prices that firms adjust rapidly and frequently in response to changing demand. It is sometimes called surge pricing and is common in air travel, hotels, rail and ride-hailing apps.

Is dynamic pricing legal in the UK?

Consumer law does not generally ban particular pricing strategies, including dynamic pricing. It does require sellers to give the information you need to make an informed decision and not to mislead you.

Can a price go up after I reach checkout?

The CMA says the price in an invitation to purchase must be the total price, and changing it after an item is in your basket and you have clicked through to checkout may infringe the law.

Does dynamic pricing ever help buyers?

It can. Where people can switch to another time or option, such as a different flight, flexible buyers may find a better deal, and higher fares at busy times may bring more ride-hailing drivers onto the road.

What can the CMA do about unfair pricing?

Since April 2025 the CMA can decide itself when consumer law has been broken and fine firms up to 10% of global turnover, without first going to court.

Destination

ABOUT THIS NAME

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