Thousands of UK companies have launched a massive legal claim against Google’s parent company, Alphabet, demanding £5 billion (€5.83 billion) in damages. The lawsuit, filed in the UK, accuses Google of using its power in search and advertising to overcharge firms for digital ad space. If the case succeeds, it could mean payouts for any UK business that has advertised on Google since January 2011.
Google Accused of Abusing Ad Market Power
The legal action says Google forced companies to pay more than they should have to show ads online. According to the claim, Google made £14 billion (€16.35 billion) in ad revenue from UK search ads alone in 2023. The claim covers all ad purchases up to April 15, 2025.
The businesses say Google’s tight grip on the market left them no real choice but to use its services — often at unfair prices. Alphabet has not yet responded to the case.
The lawsuit was brought under UK competition law and is being treated as a class action. That means if successful, all affected businesses could be eligible for compensation, whether they join the case or not.
Legal Expert Leads the Charge
The person behind the legal challenge is Or Brook, a professor who teaches competition law. Brook argues that Google’s control over search and advertising has hurt UK businesses by blocking rivals from offering better or cheaper options.
“We believe UK firms have paid too much for years,” said Brook. “This case is about making sure companies are treated fairly and get the money they deserve.”
Brook’s team claims Google made it hard for other tech firms to compete. The lawsuit says Google forced Android phone makers to preinstall Chrome and Google Search as default apps. It also says Google paid Apple billions to stay the default search engine on Safari.
These actions, according to the claim, helped Google stay on top — and pushed up ad costs for everyone else.
CMA and Global Regulators Increase Scrutiny
The UK’s Competition and Markets Authority (CMA) is already looking into Google’s ad business. The CMA wants to know if the tech giant controls too much of the digital ad world and is using that power in unfair ways.
This new class action could support the CMA’s work by bringing fresh evidence and more pressure. Other countries are also acting.
In Japan, the government issued a cease-and-desist order against Google, telling the company to stop practices that may harm fair competition. This was a historic move — the first time Japan’s regulators took such direct action in a tech case.
A Growing Global Push Against Big Tech
Google is not alone. Across Europe and Asia, lawmakers and regulators are questioning how much control big tech firms should have over online markets. Many worry that just a few companies dominate search, ads, and user data.
Back in the UK, Brook says this legal move is about more than money.
“This is a call for change,” he said. “We’re standing up for businesses that feel they’ve been locked into a system they can’t escape.”
If the courts agree, the financial hit for Alphabet could be major. And more importantly, the case might push for long-term reforms in how online ads work.
The case will now go through the UK’s legal process. If the judge gives it the green light, all UK businesses that bought Google ads since January 2011 may be notified and included in the claim.