CMA forces AA and BSM to refund learners over hidden fees

Automatic Driving Lessons - CMA forces AA and BSM to refund learners over hidden fees
Don’t fall for the lies of a big named franchise 

We have long used the phrase “Don’t fall for the lies of the big name Franchise.”

And here we have yet another example of how the big national names haven’t any empathy, connection or as much as give a damn about their customers. regardless of whether you’re a pupil, an instructor or a trainee instructor, you just a number, just a pound sign to them.

The Competition and Markets Authority has taken action against AA Driving School and BSM Driving School.

Both brands failed to show the full lesson price upfront.

Over 80,000 learners booked lessons without seeing the real total. A compulsory fee appeared later in the checkout.

That breaks consumer law.

What they must pay

  • £760,000 refunded to learners
  • £4.2 million fine
  • Total cost close to £5 million

This marks the first time the CMA has used new powers to issue a financial penalty for this type of breach.

Average refund sits around £9 per learner.

Customers do nothing. Refunds go back to the original payment method or arrive by cheque.

What went wrong

Bookings made between April and December 2025 showed incomplete prices.

  • New customers saw the real price only at checkout
  • Returning customers saw the fee added later in the process

The fee was mandatory. The law requires it to be included from the start.

Why this matters

Hidden fees change decisions.

A low headline price pulls people in. The real price appears after time and effort already spent.

Many continue with the booking.

Government data backs the scale of the problem:

  • 46 percent of online businesses use hidden fees
  • UK consumers lose up to £3.5 billion each year
  • Service fees cause the most harm

Driving lessons sit in a high-cost category. Small hidden charges stack up fast.

CMA position

The rule is simple.

If a fee is required, include it in the first price shown.

No exceptions.

The regulator has made clear it will act where businesses ignore this.

Wider crackdown

This forms part of a wider push on online pricing and reviews.

Recent investigations include:

  • Auto Trader
  • Feefo
  • Just Eat

More cases are active.

Reality check for the industry

Lesson prices already sit around £36 to £40 per hour.

Add hidden fees and the gap between advertised and real cost widens.

Learners notice and the regulators now act.

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