Government to introduce ban on ‘subscription traps’
"You can check out any time you like, but you can never leave" - Hotel California
The Labor government will introduce new legislation in 2026 that will prevent companies from making it more difficult to cancel a subscription than to sign up for one.
In a speech made on Monday at Manning Clark House in Canberra, Andrew Leigh, assistant minister for productivity and competition, announced that the government will consult stakeholders on draft legislation in early 2026 before introduction later in the year.
The law will be designed to stop ‘subscription traps’, which means all businesses will be required to disclose key terms before sign-up, provide timely reminders of upcoming automatic renewals at critical points and remove unreasonable barriers to cancellation.
