By Abby Damen
Communications and Campaigns Adviser | Kaitohutohu Whitiwhiti Kōrero, Kaupapa Whakatairanga
Consumer NZ calls for stronger protections for New Zealanders ahead of World Consumer Rights Day.
Recent research by the consumer watchdog indicates that New Zealanders are struggling with an increasingly complex and confusing consumer landscape.
Consumer NZ chief executive Jon Duffy says, "The cost of living remains people’s top concern, and most complaints we receive suggest that too many businesses are not meeting their obligations under the Consumer Guarantees Act or are engaging in misleading and unfair practices.
“Consumer issues are also becoming more complex and urgent, including challenges like dark patterns (deceptive, online sales tactics), excessive surcharges, rising insurance premiums, and the desperate need for stronger scam protections.
"New Zealand consumers deserve better. There’s no shortage of work to be done. Our role as an independent, non-profit organisation is to ensure that New Zealanders can trust the local marketplace and get a fairer deal."
Consumer NZ meets with new minister
The watchdog recently met with new Minister for Commerce and Consumer Affairs, Scott Simpson, to discuss the importance of addressing critical consumer issues that are increasingly impacting all New Zealanders.
"It’s essential the government acts to ensure New Zealand’s consumer protections are fit for purpose and on par with other countries" says Duffy.
The scope for action over the coming year is huge, says Duffy. Areas where Consumer will continue to push for change in 2025 include the following.
Card payment surcharges
Consumer is calling on the Commerce Commission to consider banning hidden and excessive card payment surcharges, similar to the regulations introduced in the UK and EU.
Scam protections
With New Zealanders losing an estimated $200 million annually to scams, Consumer is pushing for stronger protections. The organisation is calling for laws that will hold banks, telcos and tech platforms accountable for facilitating or failing to block fraud through their systems.
Flight rights
Consumer is advocating for stronger consumer rights when flights are cancelled or delayed. Next month, amendments to the Civil Aviation Act will give the minister for transport the power to introduce regulations that require airlines to provide passengers with information about their rights when flights are disrupted. Consumer is urging the minister to use those powers to bring New Zealanders’ rights in line with those enjoyed in other jurisdictions.
Aviation market study
New Zealand’s domestic aviation sector is the most concentrated in the world, with Air New Zealand holding an 86% market share. Consumer is urging Minister Simpson to direct the Commerce Commission to conduct a study into the sector to ensure competition is working effectively.
Right to repair
Consumer wants the Consumer Guarantees Act (Right to Repair) Amendment Bill to be passed into law to ensure products are more durable, easier to repair, and accompanied by mandatory point-of-sale durability labelling. The law would require manufacturers to offer spare parts and repair services for household appliances and electronics sold in New Zealand.
Fair Trading Act amendments
Consumer is calling for changes to the Fair Trading Act to strengthen protections against unfair business practices. Changes include:
tackling greenwashing – introducing new rules to prevent businesses making misleading environmental claims
mandating all-inclusive pricing – requiring businesses to clearly display the total price of goods and services, including all fees, upfront, particularly for online purchases
strengthening unfair terms provisions – allowing consumers to easily challenge unfair contract terms (as currently they cannot easily do so through the Disputes Tribunal) and ensuring businesses face penalties for including such terms
banning unfair trading practices – introducing laws to ensure businesses can’t exploit consumers by making it difficult to cancel services, such as subscriptions
increasing penalties for breaches – raising penalties to provide stronger deterrents for businesses that breach the Fair Trading Act.
Know your consumer rights
Got a problem with a product you bought? Or maybe your flight has been delayed or cancelled? Whatever the problem, we can help.
