When you have a plug to fix and you need to find an electrician (or a plumber, depending on the type of plug), it can often feel like a leap of faith - you can't exactly try before you buy. It's usually more a case of buy and hope. And what about bigger jobs like a loft conversion or an extension? These are expensive projects where choosing the wrong trader can make things even more expensive. 

So perhaps that's why so many of us turn to sites promising a professional who has already been tried and tested. We can scrutinise the reviews and agonise over the marginal differences between two 5-star pros, safe in the knowledge that someone else has already filtered out all the duds on our behalf. 

But what if we can't trust the recommendation?

Well, the CMA has the same concerns and has now issued a consultation on guidance for trader recommendation sites. 

The CMA has defined these websites and apps as “businesses that: a) operate a website or app that consumers may use to find a trader, either in the form of a ‘matchmaking’ service in which consumers can post the work they require and traders can respond, or a database, search or listing service (or similar); and b) represent implicitly or explicitly, or otherwise create the perception or expectation, that the traders listed or hosted on the platform, or with whom matches may be made, are of a particular quality and/or are trustworthy, reliable or suitable for the consumer’s requirements.”

Along with various trading standards bodies, the CMA analysed how these services operate, and identified various issues that might cause harm to consumers. These included:

• making potentially misleading claims – or creating the misleading impression – that a trader can be trusted, when in fact the platform does not vet or monitor traders;
• failing to have appropriate vetting or verification processes in place for traders using their site or app;
• failing to deal appropriately with and sanction problematic traders;
• not operating effective and accessible complaints processes; and
• presenting consumer reviews in a misleading way and failing to take appropriate steps to remove fake reviews.

The CMA’s draft advice aims to deal with these problems and to help trader recommendation sites better understand their obligations under consumer protection law. It includes practical advice on the key principles they should follow to protect consumers:

• ensure that claims about services and the traders on their sites are clear and accurate, and do not mislead consumers;
• conduct appropriate checks before traders are allowed to advertise on their site;
• have accessible, transparent, and effective complaints processes;
• effectively monitor the performance of traders on their site;
• act effectively on issues highlighted by complaints or monitoring activities, including imposing sanctions; and 
• have an effective, transparent and impartial process concerning online consumer reviews.

When the Digital Markets, Competition and Consumers Act 2024 comes into force (probably towards the end of this year), if you are a trader using reviews, you will need to take specific steps to deal with fake ones. 

The consultation ends on 16 August 2024.  After that, the CMA will issue the final version of its advice, as well as tips for consumers about how to best use trader recommendation sites.