Enterprise, Trade & Employment Minister Micheál Martin has announced an overhaul of consumer protection legislation, including bans and tough penalties for practices such as pyramid selling, prize draw scams and persistent cold-calling of customers.
A new bill to be published in the autumn will set up the new National Consumer Agency, which the Minister says will have the funding and powers to act 'forcefully' on behalf of consumers. The bill will replace 10 older pieces of legislation.
Under the legislation, 31 named practices will be completely forbidden. People engaging in these activities could face fines of up to €100,000 and up to two years in prison. Minister Martin said he was also looking at giving the new agency powers to seek closure orders against businesses which persistently flout the law. Courts will also be able to order offending companies to pay compensation to consumers.
The Minister also plans a review of other consumer laws, including rules covering the display of prices by retailers.
The establishment of the National Consumer Agency was the main recommendation of a consumer strategy group set up by the Government. It will incorporate the existing Office of the Director of Consumer Affairs.
