Australia Is Banning Hard-To-Cancel Subscriptions: Here's How End Consumers Benefit
· Free Press Journal
Australian Prime Minister Anthony Albanese has announced a ban on subscription traps, the deliberate design tactics that make it easy to sign up for a service but frustratingly difficult to leave. In a post on X, Albanese was direct, "A subscription shouldn't be a trap." The move backs the Competition and Consumer Amendment (Unfair Trading Practices) Bill 2026, introduced to parliament on April 1 by Assistant Competition Minister Andrew Leigh. Once passed, the reforms are expected to take effect from July 2027.
What service providers must now do
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Under the new law, companies will be required to make cancelling a subscription just as straightforward as signing up. If a customer joined with a single click or online form, they must be able to leave the same way. Businesses will also need to be upfront about key terms before sign-up and send reminders before a free trial automatically rolls into a paid plan. Hidden opt-out options, buried cancel buttons and automatic renewals without clear notice will all be prohibited. Companies that breach the rules face fines of up to AUD $100 million.
A subscription shouldn’t be a trap.
— Anthony Albanese (@AlboMP) April 7, 2026
That’s why we’re banning subscriptions that lock you in because they’re too hard to cancel. pic.twitter.com/dn7AirZpiq
Why it matters for everyday Australians
The scale of the problem is significant. Three in four Australians say they have struggled to cancel a subscription at some point, and one in ten has simply given up and left it running. The government estimates that collectively costs consumers around $971 million a year in unwanted charges. The new law directly targets the cost-of-living squeeze, putting money back in the pockets of people paying for streaming services, gym memberships, apps and meal kits they no longer want.
Apps that can help you right now
While the law catches up, several apps already help Australians take control. Frollo connects to Australian bank accounts via Open Banking and automatically detects recurring charges. For those who prefer not to link a bank account, Bobby on iOS and Subby on Android let you manually track subscriptions and set cancellation reminders.
In the US, Rocket Money has become the go-to service, scanning bank accounts, flagging forgotten subscriptions, and even cancelling them on your behalf through a premium concierge. A comparable Australian-first tool called Orbit Money is in development and aims to fill that same gap locally.