Apple is launching a legal appeal against a monumental UK court ruling that ordered the tech giant to pay up to £1.5bn in compensation for allegedly overcharging millions of British customers through its App Store.
The Landmark Ruling and Apple's Challenge
The case, spearheaded by Dr Rachael Kent from King's College London, represents an estimated 36 million UK consumers. The Competition Appeal Tribunal found that Apple had imposed excessive commissions on app and in-app purchases between 2015 and 2024. The tribunal concluded that instead of charging up to 30%, Apple's commission should have been capped at 17.5% for app sales and 10% for in-app purchases.
Apple has formally applied to the Court of Appeal to challenge this verdict. The company stated it "strongly disagrees" with the ruling, arguing the tribunal misunderstood the dynamics of what it calls a "thriving and competitive app economy." Apple contends that its App Store facilitated over $55bn (£41bn) in UK billings in 2024 and that most developers are on a 15% commission rate.
A Tidal Wave of Claims Against Big Tech
This appeal is part of a broader surge of collective legal actions targeting major technology platforms in the UK. Consumers and developers are now seeking a combined total exceeding £6bn from Apple and Google.
Another significant case is being brought by Professor Barry Rodger of the University of Strathclyde. He represents over 2,000 app developers seeking up to £1bn, alleging "excessive profiteering" by both the App Store and Google Play stores, with dating and gaming app makers hit particularly hard.
Simultaneously, a claim for approximately £1bn is progressing on behalf of 19 million Google Play customers, led by consumer activist Liz Coll. It accuses Google of breaching competition law by "excluding competition and/or charging an unlawfully high level of commission." Google has defended its position, stating Android offers more choice and lower fees than other major platforms and vowing to defend the cases vigorously.
Potential Payouts and a 'Tipping Point' for Consumers
Should Apple's appeal fail, every person in the UK who made App Store purchases in the nine-year period from 2015 to 2024 could be entitled to a payout. Dr Kent described the initial victory as a "tipping point," signalling a growing public pushback against the financial and other harms of essential digital services.
"People are waking up to the harms of digital life and how it can be detrimental mentally, physically and financially," Kent said. She highlighted how the pandemic accelerated reliance on apps for daily tasks, from shopping and fitness to social connection, often without users realising the cost structures involved.
In the largest single claim, consumer group Which? announced a separate £3bn action against Apple in November 2024, alleging the company "traps" customers into using its iCloud storage service. Apple has dismissed these claims as unfounded.
These opt-out class action suits, a relatively new mechanism in the UK legal landscape, are set for a series of trials in 2026. They represent a concerted effort to hold dominant tech firms to account, with campaigners heralding the start of a "tidal shift against big tech."
