The Price of Getting It Wrong Just Doubled

Digging deeper

Everything above is the bottom line. What follows is the background, the numbers, and the practical steps. Read on if you want to understand the change properly and act on it with confidence.

What changed on 28 March 2026

The change came through the Treasury Laws Amendment (Doubling Penalties for ACCC Enforcement) Act 2026. Parliament passed it on 26 March 2026. It applies to conduct on or after 28 March 2026. It is the second rise in Australian Consumer Law penalties in less than four years.

The Act lifts one number. The fixed penalty for a company rose from $50 million to $100 million per contravention. Everything else in the penalty formula stayed the same.

So the maximum consumer law penalty for a company is now the greater of three amounts:

• $100 million per contravention.
• Three times the benefit gained from the conduct.
• Thirty per cent of the company’s adjusted turnover during the breach period, where the benefit cannot be worked out.

For an individual, the maximum stayed at $2.5 million per contravention. That figure did not change. Only the corporate fixed limb doubled, so the rest of the Australian Consumer Law penalties framework is the same as before.

These Australian Consumer Law penalties attach to serious breaches. They cover false or misleading representations, unfair contract terms, unconscionable conduct, and product safety offences. They do not attach to every slip. But the list includes the exact conduct that small businesses most often fall into.

Why the new Australian Consumer Law penalties still matter to a small business

You run a small business. A $100 million fine is not your world. So why should you care about consumer law penalties at all?

The answer is in three words: per each contravention. That is what makes the Australian Consumer Law penalties bite at your level. Penalties apply to each act or omission, not to the whole problem. Sell fifty units with a misleading label, and that can be fifty separate contraventions. The maths adds up quickly, long before you reach any headline figure.

There is a second reason. The regulator rarely takes a small operator to court for a giant fine. Instead, it uses a ladder of tools that are very real at your level:

• Infringement notices, which are fines that often run to several thousand dollars each.
• Court-enforceable undertakings, which are formal promises to fix your conduct.
• Orders to compensate the customers affected.
• Public naming, which can do more damage than the fine itself.

The Australian Competition and Consumer Commission is not a complaint-handling service. It picks cases that affect many people or many small suppliers. But your customers do not need the regulator to act. They can take you to a state tribunal for the cost of a coffee. The doubled Australian Consumer Law penalties sit behind all of this as a clear statement of how seriously the conduct is now treated.

Where the risk really sits for trades and services

If you work in trades and services, the risk is not exotic. It hides in the paperwork you produce every day.

Consider the humble quote. If your advertised price omits a compulsory fee, that can constitute misleading conduct. If a “from $X” figure describes a job that never really costs $X, that is a problem. If a quote quietly grows by 40% before the invoice lands, you have a dispute and possibly a breach.

There is a neat irony in the timing here. The government raised these Australian Consumer Law penalties in response to concerns about petrol prices and price gouging. In other words, the change grew out of worries about misleading pricing. A dodgy fuel price and a padded plumbing quote sit in the same family of conduct.

The same rules apply whether you are a sole trader with a ute or a national franchise with a call centre. Size does not change your duties. A one-person electrical business and a large builder must both quote honestly, honour their workmanship, and avoid one-sided contract terms. The consumer law penalties apply to the conduct, not to the size of the letterhead.

What the regulator is watching right now

The ACCC publishes its priorities each year. They show where the risk of Australian Consumer Law penalties sits highest. The current list reads like a map of small-business life, reaching every corner of the SBAAS community.

• Unfair contract terms are a standing priority, with a focus on harmful cancellation terms, automatic renewals, and early termination fees. That touches every service agreement and membership.
• Consumer guarantees are under review, with a focus on consumer electronics. Anyone who sells or installs products should take note.
• NDIS providers are named directly. Allied health practitioners who work with participants carry consumer law duties alongside their clinical ones.
• Product safety for young children is a priority, including button batteries and new furniture and sleep standards. Early childhood services and anyone selling children’s goods should check the current standards.
• Misleading surcharging and hidden add-on costs are a newer focus. That matters to any business that charges card fees or booking fees.

Professional services and not-for-profits are not exempt from any of this. An engagement letter can hold an unfair term. A charity that sells goods or paid services trades in commerce like anyone else. The higher Australian Consumer Law penalties apply across all of it.