BY JOHN ELLIS, FINANCIAL ADVISOR
A study was carried out recently by the Competition and Consumer Protection Commission (CCPC), involving more than 4,500 consumers who were asked to recall incidents from the previous 12 months that had either cost them money, caused stress, or consumed their time.
The purposes of the study was to measure “consumer detriment” which is the harm or disadvantage experienced by consumers and the negative impact on their lives due to financial loss, and/or the health risks, causing a reduction in overall well-being as a result of certain practices, products, goods or services.
As we all know, things can go wrong when people buy products or services. They may lose money or time, get injured, become stressed or worried unnecessarily. Negative results like these are all types of consumer detriment. The Competition and Consumer Protection Commission (CCPC) wants to make sure consumers are better off by improving how markets work for them.
To do this they look at the effects of consumer detriment. By examining the problems consumers face, it helps the CCPC decide where to focus as an organisation by identifying gaps in the law, areas for further research and where changes should be made, thus, improving the outcomes for consumers by putting stronger protections in place and building more trust in markets.
The questionnaire asked consumers to recall problems that may have occurred that “caused you stress, cost you money, or took up your time”. It covered key sectors of the Irish economy from 2022 to 2023.The primary objective was “to quantify the level of detriment reported by Irish consumers” and from this gain insights into various aspects of their experiences.
Most consumers (61%) said they did not face any problems when buying products and services in the year before the survey. A total 39% said they had at least one issue that cost them money or time or caused them stress. This works out as roughly 1.6 million of the total adult population of Ireland.
Up to 81% reported feeling at least moderately stressed by the issues they faced, 62% spent some of their work time resolving the problems, while 10% were still grappling with unresolved issues more than six months later. Financially, the most serious issues resulted in a staggering loss of €968 million for consumers.
However, the report also highlighted some positive aspects. When consumers proactively reached out to the traders responsible for the issues, 1 in 8 had their problems resolved in less than a day, and 1 in 3 within a week
CCPC Chair Brian McHugh says: “People should be able to rely on the goods and services they buy, and if things do go wrong, their right to redress is set out in consumer protection law.”
He emphasises that the report not only measures the financial and temporal costs but also the stress caused by problems with goods and services. Brian McHugh affirmed that the report will guide the CCPC in directing resources to areas where consumers are most at risk.
To address these issues, Mr McHugh outlined the CCPC’s commitment to using all available tools to protect and empower consumers. With new laws and increased resources, the commission aims to enhance inspections, boost enforcement, and ultimately save consumers money, time, and stress.
HERE’S WHAT YOU CAN DO
In light of the report’s findings, the CCPC provided recommendations for consumers:
1. Know your rights: Visit ccpc.ie to understand how the law protects you when issues arise.
2. Go back to the trader: Your contract is with the shop or service provider you bought from, not the manufacturer.
3. Act fast: While you may have up to six years after purchase to seek redress for a fault, prompt action is recommended.
4. Contact the CCPC helpline: Use the contact form or call 01 402 5555 for information on your rights, how to complain, and where to get help.
T: 086 8362622
