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Guide

Cancellation policies that work, and how to apply them kindly

A fair cancellation policy is clear before the client pays, proportionate to your real loss, and applied with some human judgement.

3 min read · Last checked 22 October 2026 · Sources at the end

This is general guidance, not legal advice. Your insurer or professional body can tell you what applies.

What a fair policy contains

  • A notice window. For example, "24 hours' notice" or "48 hours for longer appointments". Choose what your diary needs.
  • A charge. Either a percentage of the price or a fixed fee. It should reflect what you would actually lose.
  • A no-show rule. What happens if someone does not turn up, and what counts as late.
  • What happens to a deposit. Whether it is kept, moved or returned.

The NHBF code of conduct says salons should have a clear cancellation or "no-show" policy.

What the law says in general terms

Under the Consumer Rights Act 2015, an unfair term in a consumer contract is not binding on the consumer. A term is unfair if, contrary to good faith, it causes a significant imbalance in the parties' rights and obligations to the consumer's detriment (section 62). Written terms must also be transparent, meaning plain, intelligible and legible (section 68).

Government guidance for businesses says a cancellation fee must not be excessive and should reflect steps you can take to minimise your losses, and that a charge should be a genuine estimate of what you will lose directly because of the cancellation. It also says it is unlikely to be fair to make prepayments non-refundable whatever the reason, and that you may keep a deposit if it is no more than a small percentage of the price. Terms that matter should be brought up front, not buried.

Wording examples

  • "Please give at least 24 hours' notice to move or cancel. Inside 24 hours we charge 50% of the treatment price."
  • "If you do not arrive and we have not heard from you, we charge the full price of the booked time."
  • "Your deposit comes off your final bill. If you cancel with 48 hours' notice or more, we will move it to a new date."

The 24 hours and 50% above are examples only. Adapt the numbers to your craft. We cannot give a percentage that is lawful in every case, so keep it tied to your actual loss.

Applying it kindly

A policy is a fair default, not a weapon. Illness, bereavement and emergencies happen. Decide in advance who you will make exceptions for, and say so: "If something serious has happened, tell me and I will use my judgement." Keep a short note when you waive a fee, so you stay consistent. Your regulars will remember how you handled it.

How deposits help

A deposit commits the booking and covers part of your loss if the client does not come. Keep it modest and explain the refund position clearly.

Show it before payment

Display the policy on the booking page, ask the client to tick to agree before they pay, and include it in the confirmation message and reminder. Keep a record of the agreement.

Do this next

  1. Write your policy in five or six plain sentences.
  2. Check each charge against your real loss.
  3. Choose your standard exceptions and how you will record them.
  4. Put the policy on your booking page with an agree tick before payment.
  5. Repeat it in your confirmation and reminder messages.

The Finisher puts your policy, deposit and agreement into the booking itself, in a back office you own. See our page for your craft.

Sources

Last checked 22 October 2026. General guidance, not legal or tax advice.

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