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The European Union (EU) is preparing to grant itself new powers to fine global tech titans, including Apple, Google, Meta and Amazon, if they fail to protect consumers and children from manipulative online spending tactics. According to the EU’s top justice official, Michael McGrath, the European Commission is set to unveil a major digital fairness proposal by the end of the year.According to a report by The Financial Times, the upcoming legislation aims to boost social media safeguards, taking direct aim at the addictive design of websites, hidden subscription traps, and digital “dark patterns” designed to trick users into spending money.“Children can be particularly impressionable and vulnerable. So we think protections need to be strengthened in that area, especially if there is an underlying commercial transaction there,” McGrath was quoted as saying.
Power to bypass local enforcement
Currently, individual EU member states are tasked with enforcing consumer protection rules, with the European Commission acting as a coordinator. However, McGrath revealed that this decentralised system has failed to deter bad behaviour, noting that the coordination process has never actually resulted in a single fine or penalty being handed down.To fix this loophole, the new proposal will give Brussels the authority to take over “very large systemic cases that are cross-border in nature”. Under the new rules, the EU will have the power to slap heavy fines not just on Big Tech conglomerates, but also on smaller online marketplaces and video game developers that violate consumer protection laws.The push comes at a time when multiple governments are assessing and trying to fix the negative impact of the internet on youth. The UK recently announced a total social media ban for children under 16, while nations like France are advancing their own strict domestic restrictions. European Commission President Ursula von der Leyen has also voiced strong support for tightening digital guardrails.Poll
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McGrath acknowledged that international evidence on complete social media bans remains “inconclusive”, and that there is no single “silver bullet” for fixing the problems. He advocates for a balanced approach that combines regulatory fines with structural product changes.“You have at the one end, the option of seeking to ban children up to a certain age. But at the other end, you have greater controls, addressing addictive design, changing default settings, [and] making it easier for parents to exercise oversight and control,” McGrath explained.
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