UK Government Launches Review of Franchising Practices Following Vodafone Allegations

The Department for Business and Trade has commissioned two in-depth studies to examine how franchising businesses are regulated in the United Kingdom. The move follows a Guardian investigation that linked the 2018 death of former Vodafone employee Adrian Howe to pressure from the FTSE 100 telecom group.

The Guardian

Howe’s relatives said he believed his franchise agreement with Vodafone would be financially disastrous; he was found drowned days before the store was to open. The investigation also cited two former Vodafone franchisees who described commission cuts in 2020 that drove their businesses into large debts and contributed to suicide attempts. In 2024, a group of 62 former Vodafone franchisees filed a high-court claim alleging that Vodafone “unjustly enriched” itself, a case compared by MPs to the Post Office Horizon scandal. Vodafone settled the 19-month claim in July 2025 through a confidential agreement that included no admission of liability; Howe’s death was not part of the claim, and his family continues to press for new regulations dubbed “Adrian’s law.”

The Guardian

Former Conservative minister John Hayes, speaking during a July 2025 adjournment debate, warned that franchising can be used to amplify the power of the franchisor and weaken franchisees, citing Vodafone as a particular example. The spokesperson also dismissed comparisons to the Post Office scandal as “wholly inappropriate.”

The Guardian

Labour leader Keir Starmer pledged in January to review franchising laws as part of the government’s response to the Howe case. The upcoming reports will feed into the assessment of whether new legislation—potentially “Adrian’s law”—is needed to address power imbalances inherent in current franchise agreements. Mental-health experts highlighted that suicide is a complex issue with multiple triggers, underscoring that any regulatory response must consider broader wellbeing factors for franchisees.

The Guardian

If the government adopts stricter regulations, franchisees could gain clearer protections against contractual pressures, while small businesses may face additional compliance requirements. The balance between safeguarding franchisees and avoiding excessive burdens on small enterprises remains a central consideration as the review progresses.

The Guardian