When making a purchase, one of the first things a consumer does is check out the reviews. Naturally, it is assumed that the reviews are written with honesty. But unfortunately, that is not always the case. There has been a rise in the number of false reviews flooding both business websites and the review platforms that are so regularly relied on to inform buying decisions. This is incredibly misleading for customers, and can be extremely detrimental for a company, harming the hard work you have put into your brand. But the days of smoke and mirrors are on their way out.

From April 2025, under the Digital Markets, Competition and Consumers Act 2024, enforced by the Competition and Markets Authority (CMA), fake reviews are now illegal. A fake review is justified as any review that falsely claims to be based on a genuine experience. It’s important to note that incentivised reviews are not banned, but it needs to be transparent that the review is written in exchange for something. So, what does this mean for you?

What can you learn as business owners?

You can enhance your brand integrity and customer loyalty by being transparent and cracking down on any false claims. There is more of a level playing field with fellow businesses by being honest. With this, there is extra responsibility to ensure that all companies are complying with the new law.

It is not quite as straightforward as just abstaining from making any false reviews.

We must be pro-active in making sure we are doing everything we can.

Ways in which businesses can cover all bases include the following:

• Implementing clear policies on how to prevent and how to remove fake reviews.
• Put policies in place of how you can flag and highlight reviews that are incentivised - most review apps will allow you to do this.
• Assessing the risk factor of any false reviews appearing on any platforms.
• Monitoring and flagging any suspicious activity.
• Guaranteeing that any published reviews are genuine, both before and after publication.

Additionally, we’re all guilty of just wanting the positive things about us to broadcast to the public. But, it can also be classed as breaking the law if any negative reviews or information about how reviews have been written are hidden.

Compliance with the law will benefit consumers massively as they will have an extra layer of protection as they can be assured that a review they are reading is honest. They avoid being misled and falling into the trap of believing a fake review.

So, what about the shady businesses who are going to ignore this and carry on leading consumers astray? The penalties are significant, and there are serious consequences. Companies that break the new law can face fines of up to 10% of global annual turnover or £300,000 (whichever is higher). If the law is continuously broken, there will be ongoing fines of up to 5% of daily turnover, or £15,000. Furthermore, a tarnished brand image and reputational harm will be created, as well as personal liability for any directors or managers who were aware of any breaches. If your business is in a highly competitive industry, this can be detrimental.

Honesty really is the best policy; it benefits consumers and businesses alike. By building trust from consumers, stronger relationships can be built, and companies can strengthen their reputations in a busy market. Embrace transparency, be honest, and let your reviews do the talking. If you believe in your product or service, why should you need to fake it?