New research reveals almost one in three UK adults have paid for subscriptions they no longer use, prompting calls for greater protection for small businesses facing automatic renewals, lengthy contracts and cancellation notice periods of up to 90 days.
As the Government prepares to introduce tougher rules to protect consumers from unwanted subscriptions, a Nottinghamshire business leader is questioning why similar safeguards are not being extended to small businesses. The warning comes during Talk Money Week (2–6 November 2026), following new research published by the Money and Pensions Service revealing that 31% of UK adults have paid for a subscription or service they no longer use.
The Government’s forthcoming subscription rules, due to take effect in 2027, will require providers of qualifying consumer subscriptions to issue renewal reminders, make cancellation easier and provide additional cooling-off rights. However, these specific protections apply to consumer contracts, leaving businesses purchasing software and digital services for commercial use outside their scope.
For small businesses, the issue goes beyond forgotten subscriptions. Lengthy contracts, automatic renewals and cancellation notice periods that can extend to 90 days mean companies may find themselves committed to another year of payments simply because they missed a deadline. In some cases, cancellation requirements can be difficult to locate within lengthy terms and conditions, leaving businesses unaware of how far in advance they need to give notice.
Catherine Storer, Executive Director of Nottinghamshire-based construction training provider Essential Site Skills, believes greater transparency and fairer cancellation terms are needed.
“Almost everything seems to come with a subscription these days, and it’s incredibly easy for businesses to lose track of what they’re paying for. “Some annual subscriptions renew without any obvious notification. You can find yourself discovering the payment on your bank statement after the money has already been taken.
“But it’s not just the automatic renewals that concern me. It’s the lengthy contracts and cancellation notice periods that can be as much as 90 days. “That’s three months before your contract even ends. Miss that deadline and you could find yourself committed to paying for another 12 months, even if you no longer need the service.
“What frustrates me is that signing up is usually incredibly straightforward, but finding out how to cancel can be a completely different experience. You can spend ages searching through accounts, emails and terms and conditions just to establish what you’re supposed to do.
“Businesses are constantly being encouraged to embrace technology and digital services, which is absolutely right. But that shouldn’t mean being tied into contracts that are unnecessarily difficult to leave. “If the Government recognises that consumers need protecting from unexpected renewals and complicated cancellation processes, surely it’s worth asking why small businesses aren’t being given similar consideration?”
The Government estimates that unwanted consumer subscriptions cost the UK approximately £1.6 billion annually, with its planned reforms expected to deliver around £400 million in annual consumer benefits. While these figures relate to consumer subscriptions rather than business expenditure, they highlight the potential financial impact of unwanted contracts and automatic renewals.
With businesses already facing pressure to manage operating costs, Storer believes subscription providers should be doing more to make their terms transparent.
“Small businesses don’t always have dedicated procurement teams monitoring every subscription and renewal date. Often, those responsibilities fall to people already juggling several other roles.
“I don’t think it’s unreasonable to expect a clear reminder before a contract renews, straightforward cancellation instructions and notice periods that are fair and proportionate. “A business shouldn’t have to make a decision three months in advance about whether it wants to continue using a service, particularly when its requirements can change so quickly. “Technology should make running a business easier, not create another administrative headache.”
Essential Site Skills is encouraging businesses to review their recurring payments, check contract renewal dates and cancellation notice periods, and maintain a central record of software subscriptions to avoid unnecessary expenditure.
