Labour is promising to stop companies charging loyal customers more than new customers, introduce tighter rules for deals that expire and ban misleading discounts if it wins the election.

The party’s latest cost of living policy targets phone, internet and insurance providers, along with retailers advertising special offers.

Labour leader Chris Hipkins said households were facing increasing financial pressure.

“This election is about the cost of living. Household bills have gone up under National, and every dollar counts.”

Under the proposal, phone, internet and insurance companies would be prohibited from charging longstanding customers higher prices simply because they had not switched providers.

Businesses would also be prevented from moving customers onto unjustifiably expensive plans when introductory offers expire.

They would have to clearly explain what customers will pay next and whether cheaper plans are available.

“You shouldn’t have to spend hours comparing prices, reading the fine print or changing companies just to get a fair deal. Labour will make sure companies treat their customers fairly,” Hipkins said.

The policy would also require retailers to calculate advertised discounts against the lowest price charged for a product during the previous 30 days.

Labour’s commerce and consumer affairs spokesperson Arena Williams pointed to Commerce Commission court action involving supermarkets as evidence of misleading pricing practices.

“The Commerce Commission has had to take supermarkets to court over misleading specials.”

On 30 October, two Pak’nSave supermarkets were fined a combined $580,500