Google faces £1 billion UK legal claim over Play Store fees

Google is facing a £1 billion-plus UK legal claim alleging that excessive Play Store commissions were passed on to millions of consumers through higher prices for apps, subscriptions and in-game purchases.

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Google is facing a legal battle over Play Store fees
Google is facing a legal battle over Play Store fees

Google is facing a legal claim for more than £1 billion over allegations that its Play Store fees amounted to unlawful "hidden charges" that were ultimately paid by millions of UK consumers.

The class action, being heard by the Competition Appeal Tribunal (CAT), is being brought on behalf of around 20 million UK consumers and businesses who made purchases through the Google Play Store or an Android phone between October 2015 and July 2026.

The claim alleges that Google breached competition law by charging app developers commissions of up to 30 per cent on purchases made through its platform.

It argues that developers passed the cost on to customers through higher prices.

The case covers paid-for apps, subscriptions and in-app purchases, including spending on dating, fitness, music and gaming services.

It also includes virtual items such as coins, gems, extra lives and power-ups.

For example, the claim argues that when a Candy Crush player spent £10 on gold bars, Google could retain £3 for most of the period covered by the case, with the remaining £7 going to the game's developer.

The legal action alleges that this commission was reflected in the price paid by consumers.

Google rejects the allegations and said its Play Store offers some of the lowest fees in the market.

A Google spokesperson said: "Android gives people more choice than any other mobile platform in deciding which apps and app stores they use.

"This lawsuit ignores that choice as well as the competitive market in which we operate, and we will defend our services vigorously."

The action was brought by Liz Coll, a consumer technology policy expert and former Citizens Advice manager, and is represented by law firm Hausfeld.

Proceedings were first launched in 2021 but faced delays while related claims were resolved.

In September, Google owner Alphabet agreed to pay £260 million to settle a separate class action brought on behalf of UK app developers.

The case follows a ruling against Apple last year, when the CAT found that the company had abused its dominant position by charging commissions of roughly 30 per cent on app sales and in-app purchases.

Coll said millions of people had paid for apps and subscriptions "without knowing a hidden charge was built into the price".

She said: "This trial is about getting that money back for people who use their phone and apps every day."