- CMA opens investigations into five firms over review practices
- Concerns include hidden negative reviews and inflated ratings
- New law allows regulator to impose fines up to 10 per cent of global turnover
The UK’s competition watchdog, Competition and Markets Authority (CMA), has launched a fresh round of investigations into how companies handle online reviews, raising questions about whether consumers are always seeing the full picture before making decisions.
The probe, which centres on fake reviews and misleading ratings, targets five firms including Autotrader, Just Eat, Dignity, Feefo and Pasta Evangelists. The move is part of a broader crackdown on online review systems, which millions rely on before spending money.
Are bad reviews being quietly filtered out?
At the heart of the investigation is whether some platforms are shaping what users see. The CMA is looking into claims that one-star reviews may have been excluded on Autotrader, with moderation handled by Feefo, potentially giving a more favourable impression of sellers than warranted.
In another case, Dignity is being examined over whether staff were encouraged to post positive reviews about its cremation services. Meanwhile, Just Eat’s system is under scrutiny for possibly inflating restaurant and grocery ratings, raising doubts about how reliable those star scores really are.
Pasta Evangelists, on the other hand, is being investigated over whether customers were offered discounts in exchange for leaving five-star reviews on delivery apps.
The CMA has stressed that no conclusions have been reached yet on whether any laws were broken.
Why this matters more than ever
Online reviews have become a key part of everyday decision-making. According to Which?, 89 per cent of people check reviews before buying a product or service. That makes the integrity of those reviews critical, especially at a time when household budgets are under pressure.
“Fake reviews strike at the heart of consumer trust,” CMA chief executive Sarah Cardell reportedly said in a news report, adding that people need to know they are getting genuine information rather than being pushed towards the wrong choice.
The regulator now has stronger powers under the Digital Markets, Competition and Consumers Act, introduced in April. These allow it to act directly without going through lengthy court proceedings. If violations are found, companies could face fines of up to 10 per cent of their global turnover.
Sue Davies of Which? reportedly said in a news report that enforcement will be key, warning that regulators must be prepared to take tough action if companies fail to follow the rules.
Companies respond, but questions remain
The companies involved have said they are cooperating with the investigation. Autotrader stated it aims to operate as a responsible business, while Just Eat said it is working closely with the CMA to ensure transparency. Feefo has defended its system, saying its reviews are based on genuine consumer intent and supported by verification processes.
Still, the wider concern remains: if reviews cannot be trusted, the entire system that guides consumer choice starts to weaken.
The CMA’s latest action brings the total number of businesses under review to 14, signalling that this is unlikely to be a one-off crackdown.
