The Commerce Commission has warned retailers that any holiday surcharges being added onto customers’ bills this Easter weekend must be clearly disclosed and accurately described, or risk breaching the Fair Trading Act.

This coming Friday and Monday are public holidays, and businesses may face additional costs as a result. However, businesses should only include a holiday surcharge if they are actually incurring additional costs, and the surcharge shouldn’t exceed the costs of running their business on those days.

“Customers should be aware that a surcharge will be payable before they make a decision to purchase or engage the service, so they can decide whether to pay the surcharge or go elsewhere,” Commission chair Anna Rawlings said.

“In addition, the reason for any surcharge must be accurately described and must not be capable of misleading consumers.”

The Commission also warned businesses away from charging more on days during the long weekend that are not public holidays (i.e. Saturday and Sunday), as doing so will likely also be in breach of the Fair Trading Act.

A company can be fined up to $600,000 for breaching the Act, while an individual can be fined up to $200,000 per offence.

“Working out which day is a public holiday over a long weekend can be confusing, which is why the Commission is reminding businesses that they must be upfront about surcharges and check that they are applying them on the right days,” the watchdog said.