Microsoft will cancel inactive Xbox Game Pass subscriptions after UK investigation

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Source: Matt Brown | Windows Central

Microsoft will soon change its Xbox subscription services in the UK, after the Competition and Markets Authority (CMA) investigated auto-renewal practices among game console owners. The 2019 investigation examined offers from Microsoft, Sony and Nintendo in the UK, including how the services handle their memberships. The CMA has now stated that Microsoft plans to change Xbox game subscriptions in the region in response to the UK regulator’s demands.

The CMA states that Microsoft will contact inactive subscribers of gaming services such as Xbox Game Pass and Xbox Live Gold, to serve as a reminder of ongoing payments, with steps to cancel. Microsoft will automatically cancel these subscriptions if users remain inactive. Pro-rata refunds will also be available to those who purchase bulk subscriptions from now on.

Microsoft will also make Xbox subscriptions transparent moving forward in accordance with the CMA (via PiersHR) with information about automatic renewals and pricing communicated to members. Communications with subscribers will include steps to cancel Xbox Game Pass and Xbox Live Gold, and request a refund on occasional renewals.

The CMA also states that Microsoft will issue annual reminders for those with 12-month plans. However, Microsoft has ended 12-month plans for all Xbox subscriptions for now, limiting bundled memberships to prepaid codes from third-party retailers.

“Players need to have clear and timely information to make informed choices when signing up for auto-renewing memberships and subscriptions,” said Michael Grenfell, CMA’s Executive Director of Law Enforcement.

“We are therefore pleased that Microsoft has made these official commitments to the CMA to improve the fairness of its practices and protect consumers, and will offer refunds to specific customers. Other companies that offer memberships and auto-renewing subscriptions should write down and review their practices to ensure they comply with consumer law.”

The move follows a CMA investigation aimed at evaluating transparency around auto-renewal and subscriptions, including changes to services and payment terms. Microsoft is the first to release changes in direct response to the investigation, which are set to affect Xbox Game Pass, Xbox Game Pass Ultimate and Xbox Live Gold subscriptions.

The Xbox Game Pass remains central to the future of Microsoft’s Xbox gaming vision, having recently crossed 25 million subscribers. The company continues to invest in expanding its video game revolving library, as its latest $68.7 billion Activision Blizzard acquisition is expected to boost Game Pass offerings.

Xbox Game Pass Ultimate, the premium subscription service, available from $14.99/£10.99, including access to Xbox console, PC and mobile offers, plus supplemental services like Xbox Live Gold and EA Play.

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