Nearly 40,000 customers are set to receive refunds after a major home appliance retailer was found to have breached consumer law, following an investigation by the Competition and Markets Authority (CMA). The case centres on allegations that customers were charged for optional extras without clear consent.
CMA Finds Customers Were Automatically Charged for Extra Services
The watchdog found that Marks Electrical, a retailer selling items such as washing machines, dishwashers and TVs, pre-selected additional services at checkout, meaning customers were charged without explicitly agreeing to them.
These charges included services such as unpacking new appliances and removing old ones, which should have been optional under consumer protection rules.
£600,000 Refund Scheme Ordered for Affected Customers
Following the investigation, the CMA has ordered the company to repay around £600,000 in total refunds to affected customers. The retailer has also been issued a £720,000 penalty for breaching consumer law.
The refunds will be distributed automatically to eligible customers, with no action required in most cases. Payments will be returned to the original method of purchase where possible, or issued via cheque if necessary.
Thousands expected to receive average £15 payout
Around 40,000 customers who purchased appliances during the affected period are expected to benefit from the compensation scheme. The average refund is expected to be around £15 per customer, although individual amounts will vary depending on the level of additional charges applied.
CMA warns firms over hidden charges
Consumer watchdog officials said the law clearly requires businesses to give customers a genuine choice when purchasing optional extras. Automatically adding services without consent was described as unacceptable under consumer protection rules.
The CMA stressed that customers buying expensive household appliances should not be subjected to hidden costs or unclear add-ons at checkout.
Purchases under review period
The investigation covered sales made between April and November 2025, meaning only customers who bought appliances during this timeframe are likely to be eligible for refunds.
Consumers are being advised to check their payment history or receipts if they believe they may have been affected, although refunds will be processed automatically where records are available.
No action required for most customers
Affected customers will not need to apply for compensation, as the retailer is required to issue refunds automatically. If a payment method is no longer valid, a cheque will be sent instead.
The case forms part of a wider crackdown on unclear pricing practices and hidden fees in online and retail transactions across the UK.
