Government considers full-cost ad rule
A Report in The Sunday Mail says that the Federal Government may introduce laws forcing airlines and retailers to advertise the full cost of their products, and not exclude hidden fees and taxes.
Assistant Treasurer Chris Bowen said the Government was concerned over complaints about retailers who reveal extra costs after customers have committed to a purchase.
“It’s when you make the purchase decision … you need to have all the details in front of you,” he said.
The Government says airlines and telecommunication companies are among retailers who advertise an initial price then add other charges closer to the moment of purchase.
But Qantas executive director John Borghetti claimed fuel levies made ticket pricing more transparent, adding, “The reason for having a surcharge rather than building this additional cost into the base fare is so we can reduce or remove it if fuel prices go down,” he said.
The Government will consider an amendment to the Trade Practices Act, aiming to address consumer concerns but not add more administrative costs to businesses.
A Report by The Mole from the Sunday Mail
John Alwyn-Jones
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