The commission has announced plans to promote coordinated enforcement efforts and help member states share best practices in light of a review of the Unfair Commercial Practices Directive.
The directive introduced standardised rules across the EU five years ago, including bans on unfair business-to-consumer commercial practices, bans on misleading consumers, fake free offers, consumer baiting, hidden advertising and direct marketing to children. However, the European Commission found that consumers and businesses are still uncertain about how the new rules need to be applied by national authorities., reports Out-Law.com.
“Consumer spending accounts for 56% of EU GDP, but a lack of consumer confidence in shopping across EU borders means we are still not tapping into the full potential of the Single Market,” said EU Justice Commissioner Vivienne Reding. “We have good rules in place to protect consumers, but we need to make sure they are better enforced, especially in cross-border cases.”
Reding stressed that rogue traders should not be tolerated and that consumers have to know exactly what they are buying. Consumers must be sure they are not getting ripped off in the process, especially when they are spending across the border. The EC found that only 40 percent of EU consumers shop across EU borders online. British retailers are leading the cross-border e-commerce charge, so this should be good news for them, provided the EC doesn’t botch it.
The commission said that consumers are a lot more interested in making cross-border purchases now than they were in 2006, before the Directive came into force. However, plenty of other factors contributed to growth and the Directive was just a small piece of the puzzle.