EU parliament will fight consumers' right to refunds

MEPs will seek to amend proposed EU legislation which threatens the right of shoppers to get their money back for shoddy goods.

Under the consumer rights directive shoppers could lose the right to refunds for unwanted or faulty goods.

Retailers would also be banned from continuing to offer money-back guarantees.

Sir Stuart Rose, chairman of UK high street store chain Marks & Spencer said, "If something is likely to constrain consumer rights we would look very carefully at it."

However, UK Tory MEP Malcolm Harbour, says the European parliament "will not accept any move that undermines" such rights.

Harbour, the chairman of parliament's consumer affairs committee, said, "By the time this directive has left parliament, I do not believe it will pose a threat to our right to a refund."

A report by the British House of Lords EU Committee is fiercely critical of the directive, saying shoppers will be at a disadvantage if they are buying goods in a country other than their own.

But it is the loss of the right to a refund which has sparked most criticism, with Mats Persson, of the Open Europe think tank, saying the directive will "sweep away" the right of shoppers to get their money back for returned goods.

"This watering-down of British consumer rights represents a significant power grab by the EU and consumers will be rightly horrified that it wants to denude the UK's national safeguards," he said.

Responding to such fears, Harbour said MEPs have already "made it clear that we will not accept any move that undermines the rights we already enjoy as a consumer.

He added, "The parliament has already forced the commission to produce a clarifying document making it clear that the refund will remain under British law.
 
"This directive intends to increase the rights of consumers so that they have greater confidence when buying products from abroad, but it must not reduce our rights at home.

"There are still significant obstacles standing in the way of retailers and customers wanting to buy and sell goods across the EU and this directive can help alleviate those obstacles, but we do need to make adjustments.
 
"The EU does enhance our consumer rights when shopping across borders but it should refrain from interfering to diminish our rights at home."

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