Woolworths faces court today against the Australian Competition and Consumer Commission (ACCC) for allegedly misleading customers with fake discounts.

The ACCC alleges that Woolworths broke consumer law by faking discounts on everyday products through their “Prices Dropped” promotion program.

Woolworths has denied these claims and is expected to vehemently defend the allegations in the Federal Court in Sydney.

“Inflation put pressure on our suppliers’ costs and we worked with them to reduce the inflationary impact on customers through our ‘Prices Dropped’ program,” a Woolworths spokesperson said.

Between September 2021 and May 2023, the ACCC claims that Woolworths temporarily increased the prices on around 266 products and then placed them on the ‘Prices Dropped’ promotion. However, prior to the price surges those products were at the same or higher price.

The ACCC will examine 12 products subjected to these alleged fake discounts, including family packs of Arnott’s Tim Tams, Carmen’s fruit and nut muesli bars and Kleenex aloe vera tissues.

Competing supermarket Coles also faced the same investigation from the ACCC in February and is yet to receive a final decision.

Photo: Woolworths Midland Centrepoint, 2026 by Bahnfrend is available HERE and is used under a Creative Commons Licence. This image has not been modified.