Speaking at the European Retail Innovation Summit in Brussels on Wednesday, McGrath described the new law as “both a pro-consumer and pro-business initiative”. His remarks were aimed at reassuring retailers and digital firms wary of yet another layer of EU regulation, following the implementation of the Digital Services Act and the Digital Markets Act.
“We want to reduce administrative burdens to create a competitive and pro-business environment,” McGrath told the audience of industry representatives and policy experts.
The Digital Fairness Act is being designed to tackle manipulative and unethical commercial practices in the digital space. It will draw on findings from the Commission’s Digital Fairness Fitness Check, a major review of EU consumer law published last October. That report identified persistent gaps in regulation, including the widespread use of so-called “dark patterns” – design tricks that mislead or pressure users into making ill-informed choices.
The legislation is also expected to address influencer marketing, the addictive design of digital services, personalised pricing based on user profiling, video games currency and other emerging risks that current consumer rules are deemed ill-equipped to handle.
McGrath acknowledged that complying with EU-wide consumer protection laws costs businesses millions of euros each year. He insisted the new law would offer greater legal certainty and lighten the administrative load on companies, particularly smaller ones.
A public consultation is due to launch “in the coming weeks”, with a legislative proposal expected by mid-2026.
Maria-Myrto Kanellopoulou, who heads the European Commission’s consumer law unit, said the law would be developed with “careful” and “thorough” consultations, “we will to take the time” she told attendees.
