From guidance to enforcement: The CMA, the DSA and the new Consumer Protection Landscape

A five‑star rating online and a net‑zero pledge in advertising material have more in common than might first appear: both are consumer‑facing representations, and both are now squarely in the sights of regulators and stakeholders across Europe.

In March 2026, three independent processes were launched with common themes: (i) the CMA commenced five new investigations into fake and misleading online reviews under the Digital Markets, Competition and Consumers Act 2024 (DMCCA); (ii) the European Commission opened formal proceedings against Shein under the Digital Services Act (DSA); and (iii) a German environmental group forced Shein to retract its net‑zero claims under Germany’s Act Against Unfair Competition. The targets and legal frameworks may differ, but the underlying message to businesses does not.

The CMA investigations

The DMCCA, in force since 6 April 2025, marked a step change in UK consumer protection. It allows the CMA to decide whether core consumer laws have been breached and to impose fines of up to 10% of annual global turnover. Schedule 20 lists 32 “banned practices” which are automatically unfair. Banned practice 13, in paragraph 13 of Schedule 20, creates a framework around “fake‑reviews” by outlawing fake or concealed‑incentivised reviews, misleading publication of reviews or review information, and services that procure or facilitate such reviews. It also requires traders who publish reviews or review information to take reasonable and proportionate steps to prevent and remove non‑compliant reviews.

On 27 March 2026, under the DMCCA’s provisions, the CMA opened investigations into fake and misleading reviews involving Autotrader, Feefo, Dignity, Just Eat and Pasta Evangelists, spanning car sales, food delivery and funerals. This is the third wave of cases under the new regime and brings the total number of businesses under review using the CMA’s consumer powers to 14. The CMA is examining whether one‑star reviews moderated by Feefo were excluded from Autotrader’s platform and aggregate ratings; whether Dignity asked staff to write positive reviews of crematoria services; whether Just Eat’s ratings system inflated some restaurants’ and grocers’ star ratings; and whether Pasta Evangelists offered undisclosed discounts in exchange for five‑star reviews on third‑party delivery apps. No findings of infringement have yet been made. Even so, the investigations underline that review risk is not confined to a business’s own website: the investigation of Pasta Evangelists shows that brands may come under scrutiny where it is suspected they are involved in, or benefit from, problematic review practices on external platforms.

The EC’s investigation of Shein

On 17 February 2026, the European Commission opened formal proceedings against Shein under the DSA, following its designation as a Very Large Online Platform in April 2024. The Commission is investigating Shein’s handling of illegal products, the design of its interface, the transparency of its recommender systems and compliance with data‑access obligations, with potential fines of up to 6% of global annual turnover.

Deutsche Umwelthilfe’s action against Shein

In Germany, Deutsche Umwelthilfe (DUH) recently brought a consumer‑law action against the Dublin‑based operator of Shein’s platform, targeting Shein’s 2050 net‑zero target. DUH pointed to Shein’s own disclosures of a steep year‑on‑year increase in emissions in 2024 and argued that Shein had failed to explain how it would achieve net‑zero in the face of such growth, alleging a breach of Germany’s Act Against Unfair Competition (UWG) even though the target had been validated against the Science Based Targets initiative Corporate Net‑Zero Standard. Shein responded by signing a legally binding cease‑and‑desist declaration, removing the net‑zero claims in Germany and accepting contractual penalties for any future breach.

Comment

Taken together, these developments show real shifts in the consumer protection landscape. The CMA appears ready to address fake‑reviews with appropriate strength and is using its powers across multiple sectors, while the DSA proceedings and the German UWG action against Shein highlight the growing focus on how digital platforms present information to consumers. For businesses, the common thread is that both ratings and sustainability pledges will be assessed not only on their substance, but on how clearly and fairly they are communicated, and non-compliance with the various frameworks may have serious consequences.