The European Commission is preparing to start legal action against computer giant Apple and major record companies over the way they are discriminating against British consumers.

The Commission says that the way music is sold via iTunes violates consumer freedom as customers cannot buy music from countries other than the one they are residing in. Currently, customers living in the Euro-zone are charged €0.99, customers living in the UK are charged €1.17 and customers living in Denmark (which uses the Kroner) are charged €1.07.

The Commission has notified Apple and its music partners of its concerns and the firms have two months in which to respond. They can also request a face-to-face hearing before the Commission to present their case. The ultimate sanction available to the Commission is to fine guilty firms 10% of their annual global turnover. However, this is only likely to happen in the most extreme cases. Apple recorded sales of more than $19bn last year.

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