The only difference beween the two items is the means of payment. So it’s a surcharge. Saying Direct debit is discounted isn’t a way out. The law says the consumer should pay the same regardless of the means of payment. They started out with a law that they could not charge more than the fees incurred but the retailers still over charged so it was banned completly.
The situation is explictily covered by the guidance. They can charge more for monthly ratha than annual but not for differernt paynment means:

13.4 Some sectors may offer discounts on the basis of payment in instalments or one-off
payments. Such discounts would not fall within the scope of the prohibition to the
extent that they do not create an effective surcharge on a particular means of payment.
For example, it would be acceptable for a monthly magazine subscription to cost more
over a year if paid for by monthly payments rather than a single annual payment, but
any difference in such monthly payments on the basis of the payment method used
would need to comply with the criteria described above.

Robert.

On 18 November 2025 at 10:24 Nicholas Farr Said:

Hi Robert, well I cannot answer your question, and all I can say is if you have a concern, report it to the appropriate authority, or Rip Off Britain, maybe, but in the “About this guidance” it says; (please note that the site displays the Regulations as originally made and does not include amendments made since then).

Regards Nick.

Hi Nick,

It also says the guidance is based on the current version. The legislation website allows you to see the latest version at the click of a button:
https://www.legislation.gov.uk/uksi/2012/3110

In the end only a court can make the determination but it certainly breaks the intent of the law if not the letter. I’m not a lawer but I am trained and authorised to interpret technical legislation.

Robert.

Still no response from Mortons. I gave them a nudge today.