Many of us in the UK have experienced it—the gym membership that required endless emails and phone calls to cancel, the obscure app subscription that silently deducts money from your account each month, or the streaming service that makes you jump through hoops to unsubscribe. But good news is on the horizon. The US Federal Trade Commission (FTC) has approved a game-changing rule known as “Click to Cancel” that will make opting out of subscriptions as simple as signing up.
While the rule is US-specific, the implications of these kinds of regulations are often felt globally, especially for major international companies. Here’s a deep dive into what this rule means, how it can influence UK consumers, and actionable steps you can take today to save yourself money.
What Is Click to Cancel and Why Should You Care?
The Click-to-Cancel rule mandates that subscription services must provide an equally simple way to unsubscribe as they do to subscribe. In other words, if you can sign up for a service with one or two clicks, you should be able to cancel with the same ease—no lengthy retention calls or complicated processes.
For companies that refuse to comply, hefty fines and penalties will be imposed. While this rule is still awaiting full enforcement in the US, it sets a precedent that could nudge UK companies toward similar practices, particularly as consumers demand fairer subscription policies.
When Will Click to Cancel Take Effect?
In the US, companies have been given 180 days to comply with the new regulations. For UK consumers using US-based services like streaming platforms and subscription apps, this means you could see easier cancellation processes by April next year.
While the UK government hasn’t yet introduced a similar rule, pressure is mounting for stricter controls over subscription services. In the meantime, you can take proactive steps to keep your subscriptions in check.
Are You Paying for Subscriptions You Don’t Use?
Research consistently shows that people underestimate how much they spend on subscriptions. A 2022 study by C+R Research revealed that consumers thought they were spending £70 a month, but bank statements told a different story—actual monthly costs often exceeded £175.
Here in the UK, with the rising cost of living, it’s crucial to identify and cut back on unused subscriptions. Here’s how to conduct your own subscription audit and free up valuable cash.
1. Conduct a Financial Audit of Your Subscriptions
Start by gathering a year’s worth of bank and credit card statements. Subscription charges can be monthly or annual, so it’s important to review a full year to catch any infrequent payments.
What to Look For:
- Charges you don’t recognise.
- Services you forgot you subscribed to.
- Subscriptions you no longer use or only use seasonally.
Pro Tip:
Consider pausing services instead of outright cancelling if you only use them during specific times—such as a streaming service during your favourite show’s season.
2. Let Technology Do the Work
There are several apps designed to help you track and cancel unwanted subscriptions. Here are some of the most popular options available in the UK:
Lumio
- How it works: Trim connects securely to your bank accounts and flags recurring bills and subscriptions for both you, and your partner.
- Cost: You can get started with Lumio for free
Simplifi by Quicken
- How it works: Simplifi provides a robust financial overview and identifies recurring subscription costs. However, you need to manually cancel subscriptions yourself.
- Cost: £2.99 per month.
3. Check Your Smartphone for App Subscriptions
We’ve also written a separate article on this specifically that you may wish to check out here.
Many app subscriptions renew automatically, often at a higher rate after a free trial. If you’ve forgotten about an app, you could be losing money without realising it.
For iPhone Users:
- Open Settings.
- Tap your name and then Subscriptions.
- View active and inactive subscriptions.
- Tap on a subscription to cancel it.
For Android Users:
- Open the Google Play Store.
- Tap Subscriptions.
- Select the subscription you want to cancel.
- Follow the cancellation prompts.
Important: Deleting an app doesn’t cancel its subscription—you need to manually stop the charges.
Additional Ways to Save Money on Subscriptions
1. Negotiate with Customer Support: When you begin the cancellation process, many companies will offer a discounted rate to retain you. It’s common to get discounts of up to 50% or even more with a short chat or phone call.
2. Downgrade Your Subscription: Instead of cancelling outright, consider switching to a lower-tier plan. For instance, many streaming services offer ad-supported plans at a lower cost.
3. Share Subscriptions with Family or Friends: For services like Netflix, Spotify, and Amazon Prime, consider sharing costs through family plans. Just be sure to check terms and conditions to avoid any account suspensions.
4. Cancel Free Trials Before They Expire: Many people forget to cancel free trials, which then convert to full-priced subscriptions. Set reminders to cancel trials a day or two before they expire.
Why Consumer Awareness Is Key
The Click-to-Cancel rule reflects a growing global demand for greater transparency and fairness from subscription-based businesses. While we wait for similar reforms in the UK, taking control of your subscriptions can save you hundreds of pounds annually.
By conducting regular financial audits, leveraging tech tools, and negotiating with providers, you can minimise unnecessary expenses and ensure you’re only paying for services you truly value. Remember, every pound saved adds up—especially in today’s economic climate.
Take action today to streamline your subscriptions and keep your hard-earned money in your pocket where it belongs.
Too Many Subscriptions Draining Your Budget? New FTC Click-to-Cancel Rule Aims to Simplify Cancellations
Many of us in the UK have experienced it—the gym membership that required endless emails and phone calls to cancel, the obscure app subscription that silently deducts money from your account each month, or the streaming service that makes you jump through hoops to unsubscribe. But good news is on the horizon. The US Federal Trade Commission (FTC) has approved a game-changing rule known as “Click to Cancel” that will make opting out of subscriptions as simple as signing up.
While the rule is US-specific, the implications of these kinds of regulations are often felt globally, especially for major international companies. Here’s a deep dive into what this rule means, how it can influence UK consumers, and actionable steps you can take today to save yourself money.
What Is Click to Cancel and Why Should You Care?
The Click-to-Cancel rule mandates that subscription services must provide an equally simple way to unsubscribe as they do to subscribe. In other words, if you can sign up for a service with one or two clicks, you should be able to cancel with the same ease—no lengthy retention calls or complicated processes.
For companies that refuse to comply, hefty fines and penalties will be imposed. While this rule is still awaiting full enforcement in the US, it sets a precedent that could nudge UK companies toward similar practices, particularly as consumers demand fairer subscription policies.
When Will Click to Cancel Take Effect?
In the US, companies have been given 180 days to comply with the new regulations. For UK consumers using US-based services like streaming platforms and subscription apps, this means you could see easier cancellation processes by April next year.
While the UK government hasn’t yet introduced a similar rule, pressure is mounting for stricter controls over subscription services. In the meantime, you can take proactive steps to keep your subscriptions in check.
Are You Paying for Subscriptions You Don’t Use?
Research consistently shows that people underestimate how much they spend on subscriptions. A 2022 study by C+R Research revealed that consumers thought they were spending £70 a month, but bank statements told a different story—actual monthly costs often exceeded £175.
Here in the UK, with the rising cost of living, it’s crucial to identify and cut back on unused subscriptions. Here’s how to conduct your own subscription audit and free up valuable cash.
1. Conduct a Financial Audit of Your Subscriptions
Start by gathering a year’s worth of bank and credit card statements. Subscription charges can be monthly or annual, so it’s important to review a full year to catch any infrequent payments.
What to Look For:
- Charges you don’t recognise.
- Services you forgot you subscribed to.
- Subscriptions you no longer use or only use seasonally.
Pro Tip:
Consider pausing services instead of outright cancelling if you only use them during specific times—such as a streaming service during your favourite show’s season.
2. Let Technology Do the Work
There are several apps designed to help you track and cancel unwanted subscriptions. Here are some of the most popular options available in the UK:
Trim
- How it works: Trim connects securely to your bank accounts and flags recurring charges. It also negotiates bills (like broadband and phone plans) for you.
- Cost: Trim takes a 15% cut of any savings they secure on your behalf.
Rocket Money (formerly Truebill)
- How it works: This app finds and cancels subscriptions at your request and renegotiates bills.
- Cost: Rocket Money takes 30-60% of the savings on the free plan or charges £6 to £12 per month for its premium plan.
Simplifi by Quicken
- How it works: Simplifi provides a robust financial overview and identifies recurring subscription costs. However, you need to manually cancel subscriptions yourself.
- Cost: £2.99 per month.
3. Check Your Smartphone for App Subscriptions
Many app subscriptions renew automatically, often at a higher rate after a free trial. If you’ve forgotten about an app, you could be losing money without realising it.
For iPhone Users:
- Open Settings.
- Tap your name and then Subscriptions.
- View active and inactive subscriptions.
- Tap on a subscription to cancel it.
For Android Users:
- Open the Google Play Store.
- Tap Subscriptions.
- Select the subscription you want to cancel.
- Follow the cancellation prompts.
Important: Deleting an app doesn’t cancel its subscription—you need to manually stop the charges.
Additional Ways to Save Money on Subscriptions
1. Negotiate with Customer Support: When you begin the cancellation process, many companies will offer a discounted rate to retain you. It’s common to get discounts of up to 50% or even more with a short chat or phone call.
2. Downgrade Your Subscription: Instead of cancelling outright, consider switching to a lower-tier plan. For instance, many streaming services offer ad-supported plans at a lower cost.
3. Share Subscriptions with Family or Friends: For services like Netflix, Spotify, and Amazon Prime, consider sharing costs through family plans. Just be sure to check terms and conditions to avoid any account suspensions.
4. Cancel Free Trials Before They Expire: Many people forget to cancel free trials, which then convert to full-priced subscriptions. Set reminders to cancel trials a day or two before they expire.
Why Consumer Awareness Is Key
The Click-to-Cancel rule reflects a growing global demand for greater transparency and fairness from subscription-based businesses. While we wait for similar reforms in the UK, taking control of your subscriptions can save you hundreds of pounds annually.
By conducting regular financial audits, leveraging tech tools, and negotiating with providers, you can minimise unnecessary expenses and ensure you’re only paying for services you truly value. Remember, every pound saved adds up—especially in today’s economic climate.
Take action today to streamline your subscriptions and keep your hard-earned money in your pocket where it belongs.
- Too Many Subscriptions Draining Your Budget? New FTC Click-to-Cancel Rule Aims to Simplify Cancellations – And What it Means for the UK - January 14, 2025
- How to Cancel Digital Subscriptions on Your Apple and Google Accounts (in 2025) - January 14, 2025
- Top 5 UK Budgeting and Money Management Apps for Couples in 2025 - January 6, 2025
