High Court’s Emma Sleep Judgment Offers Insights Into Misleading Reference Prices

Overview

On 30 July 2026, the High Court handed down its judgment regarding an enforcement order sought by the CMA against Emma Sleep (Emma) to regulate the company’s use of reference pricing as part of its “high price/high discount” pricing strategy.

The High Court rejected the CMA’s request for an enforcement order, holding that the CMA’s proposed 1:2 fixed volume requirement between full-price and discounted sales was both unworkable and unjustified. The Court found that the CMA’s position had failed to take account of factors relevant to the average consumer’s perception as to whether the price may be misleading.

This is not the end of the road for the CMA’s case against Emma, however. Emma admitted certain infringements during the proceedings, and the parties have been invited to seek to agree an enforcement order that addresses the Court’s findings. If they are unable to do so, the Court will determine an appropriate enforcement order based on further submissions by the