The Competition and Markets Authority (CMA) today launched a consumer law investigation into the console gaming sector.
The watchdog said the investigation would focus on the auto-renewal practice of Nintendo Switch, Playstation and Xbox.
It said it was “concerned about whether some of these companies’ business practices are legal, such as their use of auto-renewals for online gaming contracts, their cancellation and refund policies and their terms and conditions.”
Areas it said it would look at include whether the contract terms were fair, how easy it is to cancel or obtain a refund and how fair the auto-renewal process is.
The CMA said it has not yet taken a view as to whether or not the companies have broken consumer protection law.
A Microsoft spokesperson said: “We have received a notification from the Competition and Markets Authority and will be co-operating fully with their investigation.”
Sony and Nintendo were contacted for comment.