United Kingdom: Adopted CMA compliance advice for trader recommendation platforms

On 12 November 2024, the Competition and Markets Authority (CMA) adopted the compliance guidance for trader recommendation platforms. Trader recommendation platforms are websites and apps commonly used by individuals seeking traders across various specialities, such as building and home improvements, plumbing, and home heating. The CMA conducted an analysis of these platforms and identified several concerns that could potentially harm consumers. These include making potentially misleading claims, lacking adequate vetting or verification processes for traders, inadequate handling and sanctioning of problematic traders, ineffective and inaccessible complaints procedures, and presenting consumer reviews in a misleading manner. In response to these identified concerns, the CMA's guidance sets out six principles to assist trader recommendation platforms in complying with their obligations under consumer protection laws.