The logo of Microsoft conversational and AI-powered assistant, Copilot, on a phone and a screen, in Mulhouse, France, on Oct. 28, 2025. Sebastien Bozon/AFP via Getty Images
The UK’s antitrust regulator has opened an investigation into Microsoft over concerns that customers may have been misled in the marketing of Microsoft 365 subscription plans.
The UK Competition and Markets Authority (CMA) said on July 29 that it is investigating whether Microsoft clearly explained subscription options when changes were made to Microsoft 365 Personal and Family plans, including the addition of new features such as Copilot, an AI chatbot. Personal and family customers were initially offered Copilot at no extra cost, but some later faced higher-priced subscriptions when renewing.
When subscriptions renewed, these customers were automatically moved to a more expensive plan with Copilot unless they chose another plan or canceled their subscription. Microsoft also stopped offering new Personal and Family subscriptions without Copilot.
The company introduced a temporary “Classic” option for existing customers. Those plans kept the same features customers had before the changes and stayed at the same price.
For annual subscribers, the Microsoft 365 Personal and Family plans with Copilot cost 25 pounds ($33.2) more per year than the Classic versions.
The regulator will examine whether customers understood the different plans and the price differences before deciding whether to continue.
“At a time when household budgets are squeezed, it’s important that people are clear on the price and the subscription plans available, so they can find the right deal for them,” said senior director for consumer protection Hayley Fletcher.
At this stage, the CMA said it has not decided whether Microsoft broke the law.
“When a business changes its subscription plans, customers need clear and timely information about their options,” Fletcher said. “Our investigation will consider whether Microsoft customers were misled and ended up paying more as a result.”
She added that consumers also need clear information as AI tools become more common.
A laptop computer with Microsoft Copilot+ installed is on display in Miami, Florida, on June 18, 2024. Joe Raedle/Getty Images
The investigation is one of the latest cases under the CMA’s new consumer enforcement powers.
Since April 2025, the regulator has been able to decide whether companies have broken consumer laws without going to court.
The CMA said it has secured more than 1.95 million pounds ($2.5 million) in refunds for consumers and imposed almost 6.2 million pounds ($8.2 million) in fines using those powers.
Companies that break consumer law can be fined up to 10 percent of their global turnover, or 300,000 pounds ($398,900), whichever is higher.
The Epoch Times reached out to Microsoft for comment but did not receive a response by publication time.
The UK is not the only country examining Microsoft’s subscription changes.
Last year, Australia’s competition regulator started court proceedings, alleging Microsoft misled customers after adding Copilot to Microsoft 365 plans.
Microsoft apologized to Australian Microsoft 365 subscribers in November 2025, saying it “could have been clearer” about the availability of lower-priced plans without AI features and offered refunds to eligible customers who switched to Microsoft 365 Classic.
Italy’s competition authority is also investigating whether Microsoft gave customers enough information before renewing subscriptions. It announced the probe in June and said it is also looking at whether the company’s actions amounted to an aggressive commercial practice.
