Month: October 2025

Opening a trading account is the first step toward participating in global financial markets. It allows individuals to access various instruments, from stocks and commodities to currencies and indices.
The process might seem technical at first, but with a structured approach, anyone can set up a secure and functional trading account within minutes.
According to SOHO International experts, the setup process ensures clients have a safe and transparent entry point into the trading environment. Each step, from registration to verification, is designed to confirm identity, secure data, and establish the account type that fits the trader’s goals and risk tolerance.
Step 1: Registering and Creating Your Profile
The initial stage of setting up a trading account involves registering through the company’s official platform. Users are asked to provide a valid email address, create a strong password, and select their preferred account currency. This forms the foundation of the client’s trading profile and helps tailor the experience to their financial preferences.
After submitting these details, clients receive a verification email to confirm ownership of the address provided. This step ensures account access remains restricted to the rightful user. SOHO International emphasizes that using a secure email is essential, as it serves as the main channel for verification codes and important updates.
Once confirmed, clients can log in to their dashboard and proceed with the next steps in setting up and funding their account.
Step 2: Choosing the Right Account Type
Different traders have varying goals and capital levels. To accommodate this, most platforms offer tiered account options. Brokers like SOHO International offer clients the option to choose between several accounts, such as Bronze, Silver, Gold, Platinum, Diamond, and VIP accounts. Each level offers different tools and conditions, such as spreads, leverage, and access to support.
Selecting the right account depends on the amount of capital one plans to deploy and the type of trading activity intended. Beginners often start with the lowest account tiers for essential features and manageable risk. More experienced traders may opt for higher-tier accounts that include additional insights and services.
Experts from SOHO International recommend reviewing the account structures carefully before making a selection, as the right tier can influence a trader’s long-term strategy and flexibility.
Step 3: Completing Verification and Funding the Account
Before trading begins, users must complete verification by submitting identification and proof of address. This ensures compliance with regulatory standards and prevents fraud. Once verified, clients can fund their accounts using secure payment methods supported by the platform. Depositing funds is usually quick, and withdrawals follow a similar process, with strict security to ensure client protection.
Final Thoughts
Setting up a trading account is a simple but crucial process that lays the groundwork for a secure trading journey. By following each step (registration, verification, account selection, and funding), new traders can ensure they’re ready to engage responsibly.
According to specialists, understanding each stage helps clients start trading with clarity and confidence, setting the tone for a disciplined and informed experience in the markets.
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Setting Up a Trading Account – A Step-by-Step Guide by SOHO International

The London Stock Exchange Group (LSEG) has secured a £170 million investment from 11 of the world’s largest banks, strengthening its post-trade operations and deepening ties with key industry partners.
The investment, announced alongside the group’s Q3 2025 results, values LSEG’s Post Trade Solutions arm at £850 million and marks another milestone in the company’s strategy to expand its data and risk management technology footprint.
Participating banks include Bank of America, Barclays, BNP Paribas, Citi, Deutsche Bank, HSBC, J.P. Morgan, Morgan Stanley, Nomura, Société Générale, and UBS, who will together take a 20% stake in the Post Trade Solutions business.
The announcement came as LSEG posted another quarter of steady growth. Total income rose to £2.3 billion, up from £2.2 billion a year earlier, while gross profit increased 6.5% to just over £2 billion, as costs grew more slowly than revenues.
Its Data & Analytics division – home to flagship products such as Refinitiv and Workspace – generated £982 million in revenue, up 4.9%, while FTSE Russell climbed 9.3% to £241 million.
The Post Trade Solutions business, which provides technology for the over-the-counter (OTC) derivatives market, brought in £96 million in revenue and £16 million in EBITDA last year.
Under the new structure, LSEG will increase its share of revenue from SwapClear, the central clearing service operated by its subsidiary LCH Group.
Founding banks’ revenue entitlement will fall from 30% to 15% in 2025, and then to 10% in 2026, while LSEG will pay £1.15 billion over two years for the change — with an additional £200 million linked to performance milestones.
Chief executive David Schwimmer said the transaction “strengthens our partnership and strategic alignment with key customers” and “delivers attractive margin and earnings enhancement.”
“We continued our strong momentum in Q3, driving growth across all business lines. With our partnerships in AI and data analytics, and a new phase of buybacks, we’re confident in LSEG’s long-term growth potential.”
The group also reiterated its ambition to position itself as a data and technology powerhouse in global finance. LSEG is expanding its collaborations with Microsoft, Databricks, Rogo and Snowflake, embedding its data into AI-driven analytics and trading platforms.
It has launched an Azure-based trade routing network connecting over 1,600 investment firms, and new AI features on its Workspace platform are expected to go live before year-end.
LSEG has already completed £938 million of its current £1 billion share buyback, and will launch another £1 billion programme by early 2026 — bringing total planned capital deployment to £3.5 billion.
The group’s shares, which had fallen around 20% earlier this year, rose more than 5% to 9,172p following the announcement, giving LSEG a market capitalisation of £44.8 billion.
Schwimmer said the company enters the final quarter of 2025 “with strong momentum, accelerating profitability, and clear strategic direction.”
Daniel Maguire, head of markets and CEO of LCH Group, added: “SwapClear was a pioneer in innovation 25 years ago. This transaction reaffirms that spirit — and our partners’ commitment to advancing the post-trade ecosystem.”
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London Stock Exchange seals £170m deal with 11 global banks to strengthen post-trade operations

Sir Tony Blair has urged Energy Secretary Ed Miliband to ditch his 2030 clean power target and cut green levies as his think tank warns that current climate policies are driving up costs for homes and businesses.
A new report from the Tony Blair Institute (TBI), personally approved by the former prime minister, claims the government’s commitment to fully decarbonise the electricity grid by 2030 is “destroying industry” and “damaging households.”
The intervention, which has sparked fury within the Department for Energy Security and Net Zero, highlights growing divisions inside Labour over the pace and affordability of the party’s green transition.
The report’s authors, led by Ryan Wain, said Labour’s clean power agenda risks pushing voters “towards populists” such as Reform UK ahead of next year’s regional elections, warning that the government’s energy policies “must be recalibrated around affordability.”
“We’re in a cost of living crisis as well as a climate crisis — you can’t just pick one and pretend the other doesn’t exist,” Wain said.
“Right-wing populists are already exploiting this tension. Unless electricity becomes cheaper, the politics of net zero will become toxic.”
Blair, who has made energy reform a personal focus through his institute, backed the report’s call for “cheap, clean power” rather than the current approach, which he said has made the UK “a low-carbon but high-cost economy.”
The TBI report argues that green levies now make up 20% of the average electricity bill, up from just 8.5% in 2015, and that policy costs now exceed the cost of actual electricity for the average household — £334 versus £324.
It also warns that the cost of connecting Britain’s new offshore wind farms to the grid will exceed the cost of the turbines themselves, with the required pylon and substation infrastructure set to cost £112 billion.
The think tank concluded: “The trend in UK energy over recent decades has been the transformation of our electricity sector from a cheap, high-carbon one to an expensive, low-carbon one.”
Miliband, who is overseeing Labour’s flagship Clean Power 2030 policy, reportedly reacted angrily to the publication, instructing civil servants to issue a statement rejecting the findings.
It is the second high-profile clash between Blair and Miliband this year. In April, the former prime minister warned that current net zero plans were “doomed to fail” due to unrealistic timelines and inadequate investment in grid capacity.
Tone Langengen, TBI’s lead energy adviser, said the Clean Power 2030 plan had been well-intentioned but was now “out of step with economic reality.”
“Launched during the gas crisis, in a low-interest environment, the plan was right for its time. But circumstances have changed. The UK needs to prioritise cheaper clean electricity to lower bills and attract new industries.”
Miliband is already under pressure from energy leaders, who argue that renewable subsidies and network costs are driving up household bills.
Rachel Fletcher, Director of Policy and Regulation at Octopus Energy, warned last week that green levies and grid upgrades could add around £300 to the typical household electricity bill by 2030.
Meanwhile, the government insists its reforms will ultimately lower costs and cut reliance on fossil fuels.
A Department for Energy Security and Net Zero spokesperson said: “Our mission is relentlessly focused on delivering lower bills and tackling the affordability crisis driven by fossil fuel dependence.
That’s why we’ve launched a golden age of new nuclear and approved record levels of clean power investment to drive growth and good jobs.”
Blair’s intervention underscores the political tightrope Labour faces — balancing the need to meet net zero targets while addressing the cost-of-living crisis.
With the Budget due next month and energy costs still among the highest in Europe, advisers warn that Miliband’s clean energy revolution could become a political liability if voters continue to associate green policy with higher bills.
As one senior Labour figure privately told Business Matters: “Tony’s saying what a lot of us are thinking — the politics of net zero are changing fast, and affordability has to come first.”
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Tony Blair urges Ed Miliband to scrap green levies amid energy cost backlash

Evri has been named the UK’s worst delivery company for the third year in a row, after new Ofcom figures revealed widespread customer dissatisfaction over delays, damaged parcels and poor communication.
According to the regulator’s annual delivery market review, more than four in ten people (41%) said they were dissatisfied with Evri’s service — the highest level of any major courier. Just 31% of respondents said they were satisfied, marking a further decline from last year’s scores.
It is the third consecutive year that Evri has ranked bottom of the courier performance table, with Ofcom warning that delivery standards across the industry remain inconsistent despite rising parcel volumes.
Evri’s latest ranking comes just months after the company completed a merger with DHL’s UK e-commerce division, a deal approved by the Competition and Markets Authority (CMA) in September. The combined business will deliver more than one billion parcels annually, equivalent to a quarter of all parcels sent in the UK.
However, the boom in online shopping has exposed widening cracks in last-mile delivery operations. Ofcom said a record 4.2 billion parcels were sent across the UK last year — a 7% year-on-year increase — yet two-thirds of consumers reported at least one delivery issue in the past six months.
The most common complaints included:
• Delayed deliveries (27%)
• Parcels left in unsuitable locations (22%)
• Drivers failing to knock loudly or allow enough time to answer (20%)
• Missing or damaged parcels (18%)
Yodel ranked second lowest in Ofcom’s consumer satisfaction index, with one in three customers reporting poor complaint handling.
Royal Mail, which was acquired by Czech billionaire Daniel Křetínský earlier this year in a £3.6bn deal, also fell into the lower half of the rankings, with 24% dissatisfaction despite modest improvements since 2024.
The postal service has been attempting to pivot from letters to parcels, announcing plans to convert thousands of convenience stores into parcel hubs and expand its locker network through partnerships with Sainsbury’s and Co-op.
At the other end of the scale, Amazon topped the rankings with 57% of respondents satisfied and just 16% dissatisfied, followed by FedEx and UPS.
Ofcom has tightened its rules around parcel company complaints handling and transparency, with a renewed push for “sustained improvements” across the delivery market.
A spokesperson for the regulator said: “Customers have a right to expect their parcels to arrive safely and on time. Companies must invest in better systems and processes that reflect the scale of their operations.”
Responding to the findings, an Evri spokesperson said customer satisfaction was a “top priority” and highlighted £57 million of investment in operations and technology over the past year.
“Every parcel matters to us. That’s why we’ve invested heavily to make deliveries smoother, faster and more sustainable,” the company said.
“We’re on track to deliver 900 million parcels this financial year, and following our merger with DHL UK, we’re building towards becoming the UK’s premier parcel delivery company for businesses and consumers alike.”
Despite the investment, analysts say Evri’s reputation problem underscores a broader challenge for Britain’s courier sector — balancing speed, cost and reliability amid record parcel demand and heightened regulatory scrutiny.
Read more:
Evri named UK’s worst delivery firm for third consecutive year as complaints mount

Forbes has unveiled its first-ever Most Powerful Women in Sports list, spotlighting 25 women who are transforming one of the world’s most influential industries — from athletes and owners to investors, executives and innovators.
Presented in partnership with Ally Financial, the new annual ranking celebrates the female leaders driving growth, innovation and equality across the global sports economy.
Among those recognised are Gayle Benson, owner of the NFL’s New Orleans Saints and NBA’s Pelicans; Caitlin Clark (pictured), the breakout US basketball star; Michele Kang, owner of the Washington Spirit and Lyon Féminin football clubs; and tennis legend Serena Williams, now an active venture investor and brand founder.
The list’s debut reflects a historic shift in women’s sport. Audiences for women’s competitions are rising sharply, sponsorships and media rights are commanding record premiums, and professional team valuations are reaching unprecedented levels.
“Forbes has long chronicled leadership and influence across business and society, and sports has become one of the most compelling arenas where both are being redefined,” said Moira Forbes, Executive Vice President at Forbes.
“The women on this list are not only steering capital and strategy — they are expanding the very possibilities of what this industry can become.”
The 25 honourees represent the full breadth of the sports ecosystem:
• Athletes using their global platforms as entrepreneurs and investors.
• Executives and agents negotiating precedent-setting media and sponsorship deals.
• Owners and investors funnelling capital into women’s leagues and teams.
• Front-office leaders developing talent pipelines and shaping high-performance organisations.
• Industry amplifiers growing audiences and driving storytelling across digital and broadcast media.
Maggie McGrath, Editor of ForbesWomen, said the new list provides “an in-depth look at the power players shaping the business of sport in the United States and beyond.”
“Between the owners, athletes, investors and decision-makers, every leader on this list has helped redefine the face and future of sport,” she said.
To mark the launch, Forbes and Ally Financial will host an exclusive celebration in New York City, bringing together honourees and sports industry leaders.
Andrea Brimmer, Chief Marketing and Public Relations Officer at Ally, said the collaboration aligns with the company’s pledge to invest equally in men’s and women’s sports media.
“When an iconic platform like Forbes commits to spotlighting women who are redefining sport and culture, it sends a powerful signal,” she said.
“At Ally, we’re making intentional investments to fuel this momentum — from partnering directly with players and leagues to supporting women-led innovation in sport.”
The Most Powerful Women in Sports joins Forbes’ portfolio of high-profile leadership rankings, including America’s Most Powerful Women in Business and Forbes 30 Under 30, extending its coverage of influence across industries.
The new initiative, Forbes said, reflects “a cultural and economic turning point” — where women’s participation, leadership and ownership in sport are no longer an exception but a defining feature of the industry’s next growth phase.
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Forbes launches first-ever ‘Most Powerful Women in Sports’ list celebrating 25 global trailblazers

The House of Lords Appointments Commission has announced two new non-party-political appointments to the Upper Chamber, recognising leading figures in healthcare and social policy for their national contribution to public life.
Professor Dame Clare Gerada (pictured) and Polly Neate CBE have been recommended as crossbench peers, joining the House of Lords as independent members unaligned with any political party.
Professor Dame Clare Gerada has served as a practising NHS GP since 1983, with a career focused on mental health, addiction treatment, and primary care reform. She is Senior Partner at the Hurley Group, which has grown into a major network of GP and urgent care services across London, particularly in areas of deprivation.
Gerada is widely credited for her leadership roles across UK healthcare. She was Chair (2010–2013) and later President (2021–2023) of the Royal College of General Practitioners, guiding the organisation through a period of reform.
She also founded and led the NHS Practitioner Health Service, offering confidential mental health and addiction support for medical professionals, and later established the National Primary Care Gambling Service.
In addition to her clinical work, Gerada co-chaired the NHS Assembly (2019–2025), advising NHS England on delivery of the NHS Long Term Plan, and chairs the charity Doctors in Distress, which works to prevent suicide among health professionals.
Polly Neate CBE, who stepped down as Chief Executive of Shelter in April 2025 after nearly eight years, is recognised for her advocacy in housing, homelessness and women’s rights.
During her tenure, she redefined Shelter’s long-term strategy, championing greater investment in social housing, strengthening community engagement, and spearheading strategic litigation to challenge housing discrimination.
Previously, Neate was Chief Executive of Women’s Aid (2013–2017), where she delivered a financial turnaround and led the campaign that resulted in the criminalisation of coercive and controlling behaviour.
Her earlier career includes senior roles at Action for Children, overseeing public policy, communications, and fundraising, and she continues to contribute to several non-executive and voluntary boards across civil society.
The House of Lords Appointments Commission, an independent advisory body established in 2000, identifies individuals of distinction to serve as non-party-political peers on the basis of merit and expertise.
Since its creation, the Commission has recommended 78 independent peers from approximately 6,500 nominations. It also vets all life peer nominations, including those from political parties, for propriety.
The current Commission is chaired by Baroness Ruth Deech, with members including Professor Adeeba Malik CBE DL, Wayne Reynolds, Rt Hon Sir Hugh Robertson, and party-nominated representatives from Labour, the Conservatives and the Liberal Democrats.
Baroness Deech said the appointments reflect the breadth of professional experience and civic leadership that strengthen the crossbench contribution to parliamentary scrutiny:
“Both Dame Clare Gerada and Polly Neate have demonstrated exceptional public service and dedication to improving lives in their respective fields. Their insight will greatly enrich the work of the House.”
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Two new crossbench peers appointed to House of Lords for expertise in health and social policy

Former Deputy Prime Minister Sir Nick Clegg has warned that the current wave of valuations across the artificial intelligence sector is “crackers”, arguing that many AI businesses have yet to demonstrate viable paths to profitability despite the billions pouring into machine learning.
Speaking at The Times Tech Summit, Clegg said that even the world’s leading AI firms — including so-called “hyperscalers” developing large-scale models — are struggling to show how their capital expenditure will translate into sustainable returns.
“I think there’s certainly a correction coming in valuations,” he said. “These valuations do seem pretty crackers. I don’t see any business model yet, even of the leading AI hyperscalers, that can recoup that capital expenditure. Some of the AI labs that don’t have a particularly good business model will be very exposed in a market correction.”
Clegg’s comments add to growing concerns from economists and regulators that the AI boom may be inflating a bubble similar to the dotcom era. The International Monetary Fund’s chief economist recently drew parallels to the early 2000s internet crash, which wiped $5 trillion from markets, while the Bank of England has cautioned against a potential “sudden correction” in AI-related valuations.
Investors have poured tens of billions into foundation model developers and AI infrastructure providers, betting on long-term dominance in generative and enterprise applications. But analysts warn that high compute costs, slow commercial deployment and unclear monetisation models are creating tension between hype and profitability.
Clegg, who stepped down this year as Meta’s president for global affairs after six years with the company, also used his appearance to criticise Britain’s heavy dependence on American technology infrastructure.
“I think it’s pretty difficult to assert anything other than that we are a vassal state of American technology,” he said. “We are wholly dependent on every level of the stack for technology from a country where the geostrategic interests are no longer aligned in the same way they have been for the last 30 years.”
He warned that the UK’s lack of domestic AI infrastructure and homegrown capability left it in a “perilous state”, particularly amid widening political rifts between the United States and Europe.
Clegg’s intervention reflects a wider unease in Silicon Valley and global markets as AI development enters its first period of scrutiny since the 2022–23 hype cycle. While some companies — including OpenAI, Anthropic and Google DeepMind — continue to secure massive funding rounds, investors are beginning to demand clearer paths to revenue growth and operational sustainability.
Analysts expect 2026 to mark a turning point for the sector, with a likely market correction separating commercially resilient players from speculative bets. For now, Clegg’s warning serves as a reminder that even amid rapid innovation, the AI gold rush may be running ahead of economic reality.
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Nick Clegg: AI company valuations are ‘crackers’ and ripe for correction

Supermarket giant Morrisons will close 103 outlets across the UK this year — including cafés, florists, pharmacies and convenience stores — in its latest effort to streamline operations and refocus investment on core areas of growth.
The closures form part of a broad restructuring strategy to “accelerate growth” and “optimise operations”, following mounting cost pressures and what chief executive Rami Baitiéh called “significant cost headwinds” since last year’s Autumn Budget.
The company has confirmed that 50 Morrisons cafés will close nationwide, alongside 17 Daily convenience stores, 13 florists, four pharmacies, and all 18 Market Kitchens, its in-store restaurant concept launched to offer freshly prepared meals.
In addition, 35 meat counters and 35 fish counters are also expected to shut as part of the overhaul. The exact closure dates for the Market Kitchens will be announced later this year.
Baitiéh said: “These closures are a necessary part of our plans to renew and reinvigorate Morrisons and enable us to focus investment into areas customers really value.
In most locations, our cafés have a bright future, but some sites face local challenges — and in those, closure and re-allocation of space is the only sensible option.”
He added that the company would seek partnerships with “third-party specialists” in some locations to maintain local services.
Morrisons reported a pre-tax profit of £2.1 billion in the year to October 2024, rebounding from losses of £919 million the previous year and £1.3 billion in 2023.
However, the supermarket chain continues to face higher energy and staffing costs, as well as fresh regulatory and tax burdens following the government’s latest fiscal measures.
“Consumers are feeling the squeeze,” Baitiéh said. “We are continuing to help customers make the most of stretched household budgets while managing the incremental impact of new legislation and cost inflation.”
The list of affected sites
Closures affect stores in London, Leeds, Glasgow, Birmingham, Bradford, Aberdeen, and dozens of regional towns across the UK.
A full list of closing cafés, florists, Market Kitchens and pharmacies is included below for readers to check if their local branch is affected.
Cafés closing (50 locations)
Bradford Thornbury • Paisley Falside Road • London Queensbury • Portsmouth • Great Park • Banchory North Deeside Road • Failsworth Poplar Street • Blackburn Railway Road • Leeds Swinnow Road • London Wood Green • Kirkham Poulton Street • Lutterworth Bitteswell Road • Stirchley • Leeds Horsforth • London Erith • Crowborough • Bellshill John Street • Dumbarton Glasgow Road • East Kilbride Lindsayfield • East Kilbride Stewartfield • Glasgow Newlands • Largs Irvine Road • Troon Academy Street • Wishaw Kirk Road • Newcastle UT Cowgate • Northampton Kettering Road • Bromsgrove Buntsford Industrial Park • Solihull Warwick Road • Brecon Free Street • Caernarfon North Road • Hadleigh • London Harrow Hatch End • High Wycombe Temple End • Leighton Buzzard Lake Street • London Stratford • Sidcup Westwood Lane • Welwyn Garden City Black Fan Road • Warminster Weymouth Street • Oxted Station Yard • Reigate Bell Street • Borehamwood • Weybridge Monument Hill • Bathgate • Erskine Bridgewater Shopping Centre • Gorleston Blackwell Road • Connah’s Quay • Mansfield Woodhouse • Elland • Gloucester Metz Way • Watford Ascot Road • Littlehampton Wick • Helensburgh
Florists closing (13 locations)
Aberdeen King Street • Bradford Enterprise 5 • Canning Town London • Evesham Four Pool Estate • Newcastle-under-Lyme Goose Street • Rubery Bristol Road South • Sheffield Meadowhead • Sheldon Birmingham • St Albans Hatfield Road • St Helens Boundary Road • Stirchley Birmingham • Sunderland Doxford Park • Swinton Hall Road
Market Kitchens closing (18 locations)
Aberdeen King Street • Basingstoke Thorneycroft • Brentford Waterside • Camden Town London • Canning Town London • Cheltenham Up Hatherley • Eccles Irwell Place Greater Manchester • Edgbaston Birmingham • Gravesend Coldharbour Road • Kirkby Merseyside • Leeds Kirkstall • Lincoln Triton Road • Little Clacton Centenary Way • Milton Keynes Westcroft • Nottingham Netherfield • Stoke Festival Park • Tynemouth Preston Grange North Shields • Verwood Dorset
Pharmacies closing (4 locations)
Birmingham Small Heath • Blackburn Railway Road • Bradford Victoria • London Wood Green
Morrisons said the closures will help redirect investment towards areas of growth such as price competitiveness, loyalty schemes and store modernisation — but analysts warn the decision underscores the continuing strain on UK retailers navigating rising costs, changing consumer habits and post-pandemic high-street challenges.
Read more:
Morrisons to shut 103 outlets including cafés, florists and pharmacies in major restructure

It was one of those small domestic moments that tells you everything you need to know about the modern British service industry. I was visiting my parents, both octogenarians, both long past the stage of bothering to shop around for anything,  when an envelope from the AA thudded onto the doormat. My mother opened it with the slight suspicion that all letters now require, only to find the annual renewal notice for their breakdown cover.
“Two hundred and sixty pounds thirty-eight,” she said, frowning at the figure as if it were a medical diagnosis. “Though that’s apparently cheaper than last year – it was £280.25 – and they’ve given us a discount of £107.25.” She seemed reassured, which is precisely how the AA likes it.
Then my eye caught a line in bold type: ‘Thank you for your 64 years of loyalty’.
Sixty-four years! That’s longer than most marriages, and certainly longer than any of the call centre staff at AA Insurance have been alive. My stepfather has been a paying customer since the Beatles were still playing in Hamburg. If loyalty were a virtue the AA truly valued, he’d have a gold card, a free tow truck, and a man in a yellow jacket stationed permanently outside the house.
But no. The letter was a masterpiece of corporate doublespeak – a thank you note wrapped around a quiet mugging. £260.38 for a service that, as it turns out, could be had for a third of the price if you knew where to look.
Being the dutiful son (and, frankly, unable to resist a little consumer sleuthing), I fired up the laptop. Three minutes on the AA’s own website later, I had a quote for exactly the same cover: £97.64. “Introductory offer,” it said. “Full price £162.43.”
So, £97.64 for a new member, or £260.38 for a customer of sixty-four years. You don’t need a degree in behavioural economics to see what’s going on here. The so-called “discount” on the renewal was a magician’s trick: look at this £107 off! – while your wallet quietly disappears.
It’s a swindle dressed in the polite language of British customer service. And my parents, like so many others of their generation, would have paid it. Because that’s what loyal customers do. They trust. They assume that six decades of prompt payment and polite correspondence entitles them to fairness. But in the world of modern subscriptions and annual renewals, loyalty isn’t rewarded, it’s monetised.
The British have always had a sentimental attachment to loyalty. We like to think that staying with the same insurer, bank or utility company means something. It’s a vestige of that post-war mindset where you had your man from the Pru, your chap at the bank, and your account with the AA. You stuck with them and they looked after you.
But that social contract has long since been ripped up. Today, loyalty is treated as a sign of weakness. Companies like the AA rely on inertia,  on the quiet assumption that most customers, especially the elderly, will simply renew whatever number appears on the letter.
Meanwhile, the marketing department pours its energy into wooing the new, the fickle, the flighty, those who’ll take their “introductory discount” for a year, cancel at renewal, and start again under another email address. The whole business model has become a revolving door of introductory offers and loyalty penalties.
It’s not just the AA, of course. Every industry plays the same game. Broadband providers, insurers, even the streaming platforms. The longer you stay, the more you pay. It’s a perverse inversion of what loyalty once meant. It’s like being charged extra for ordering the same pint every night at your local.
What’s really galling is how clever it all is. The renewal letters are written to sound reassuring, trustworthy, a little paternal even. They thank you for your custom, list your “discounts”, and refer vaguely to “enhanced cover” you probably never asked for. They hope you’ll glance at the total, shrug, and write the cheque.
In my parents’ case, it was only luck, or filial nosiness, that stopped them being charged nearly triple what the policy was worth. And there’s something morally wrong about that. It’s one thing to overcharge the inattentive; quite another to quietly exploit a generation that built your business in the first place.
Imagine if the AA sent out a letter saying: “Dear Mr X, as one of our longest-standing members, we’re delighted to offer you the same price we give to new customers.” Now that would be loyalty. But of course, that would mean voluntarily surrendering profit. And in the boardroom logic of today’s Britain, that’s heresy.
There’s a wider moral here for all businesses, especially those that like to boast about their heritage. True loyalty is built on mutual respect, not on tricking your oldest customers into overpaying.
We’re entering an era where trust is the scarcest commodity. Consumers are savvier, angrier, and far less forgiving than they used to be. Social media ensures that one story of a pensioner being overcharged can go viral in hours. And yet, the temptation to milk existing customers remains irresistible – it’s easy revenue, and it rarely makes the news.
But brands that behave this way are mortgaging their reputation for short-term gain. Because once people cotton on, as they inevitably do, the damage is irreversible. Sixty-four years of loyalty can vanish in sixty-four seconds.
In the end, I cancelled my parents’ renewal and signed them up anew. The process took less time than boiling the kettle. My mother was delighted. My stepfather, ever the gentleman, just shook his head. “So much for loyalty,” he said.
Quite. The AA may get them back on the road when the car breaks down, but when it comes to customer loyalty, it’s the company itself that’s stranded on the hard shoulder – hazard lights flashing, engine sputtering, wondering where all its good will went.
We asked the AA for a response and an AA spokesperson said: “Our pricing reflects the service offered. The new member price is discounted, but doesn’t provide the same member benefits.
“We would welcome the chance to talk to this member to look at their renewal and see what they are comparing it to online.” My response to  this, is sorry AA, but it is exactly the same service for exactly three times the cost.
Read more:
The AA’s loyalty problem: sixty-four years and still taken for a ride