The biggest changes to consumer rights in a generation came into place on October 2015, and now some 6 months later consumers and retailers are beginning to see the effects.
The Consumer Rights Act 2015
This landmark legislation finally took hold from 1 October 2015 after years of government debate.
Consumers in England and Wales spend £90 billion. That is £90 billion per month, which is why legislation that dates back over 30 years had to be modernised and also cater for the huge increase in consumers buying digital content such as music downloads, games and ebooks.
The Consumer Rights Act 2015 replaced the 3 main pieces of existing consumer legislation – the Sale of Goods Act 1979, Unfair Terms in Consumer Contracts Regulations 1999 and the Supply of Goods and Services Act 1982.
The main changes
The Consumer Rights Act 2015 is still a fairly hefty piece of legislation, but at least a single piece of legislation as opposed to a medley of a few.
The main change brings about a “tiered” system available to consumers who buy faulty goods.
In short, a consumer has a 30-day no quibble right to reject goods if they believe they are faulty. A retailer can offer to repair or replace the goods but the consumer is perfectly entitled to reject and be refunded the entire purchase price
After 30 days, the retailer has “one shot” to repair or replace the goods. If this one shot is unsuccessful, the consumer can still look to reject the goods. If the consumer allows the retailer to attempt a number of opportunities to repair or replace, he/she loses the right to reject but the retailer still faces the task of making sure the goods are adequately repaired or replaced.
Taking effect
Consumers have now had over 6 months to explore their new rights. At the same time retailers have to understand the impact of the new legislation and to consider ways of adapting the way they sell goods and the way in which they have to approach compensation for unhappy customers.
Despite a moderate level of press last autumn when the changes came into effect, it is now believed by consumer watchdogs and retail associations alike that consumers are becoming more and more aware of their rights. Naturally, retailers are responding by ensuring that the way they sell goods, such as amending their terms and conditions for example, works in harmony with this new legislation. Retailers simply have to otherwise their profits are likely to be hit hard.
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