OFT to probe online shopping

A government watchdog is to investigate whether businesses are doing all they can to protect consumers from the dangers of shopping online.

The Office of Fair Trading (OFT) is launching the study following reports that highlighted concerns with data security and product delivery.

John Fingleton, chief executive of the OFT, said in a statement: "The internet's rapid evolution means that we need to ensure that the consumer protection regime gives current and future users the confidence to realise the internet's potential for shopping. This study is core to the OFT's mission to make markets work well for consumers."

The study, which will be published in 2007, will look at the law around consumer protection, whether people are aware of their rights, and how businesses treat their customers.

Around 130,000 UK businesses now sell online. According to the OFT, in the last five years, internet retail sales in the UK rose more than 350 per cent, compared with growth of only 20 per cent for all retail sales.

The OFT recently took action to ensure that supermarket chains provide clearer information about online pricing of products.

It has also acted on consumer concerns about delivery and cancellation rights, such as obtaining agreements that guarantee amazon.co.uk and bol.com include delivery charges in refunds.