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Currently around 150 million consumers in the EU shop online, but just 30 million of them buy from abroad. The commission wants to encourage consumers to cross borders with their spending, giving businesses a bigger market to target - as well as more competition - which means lower prices for consumers.

The approval of the proposal put forward by Consumer Affairs Commissioner Meglena Kuneva will result in consumers across the EU being given clear information on price, including additional charges and fees, before committing to buying a product.

"The new rights significantly strengthen consumer protection across the European Union and guarantee equal protection for consumers wherever and

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however they shop, online or on the high street," said Kuneva.

The rules will strengthen consumer protection against late delivery and non-delivery, and ensure robust EU-wide consumer rights on issues including cooling-off periods, returns, refunds, repairs, guarantees and unfair contract terms.

However, the rules still need to be approved by the European Parliament and EU governments before it becomes a law.

Under the new rules, online sellers will have a maximum of 30 calendar days for a trader to deliver goods to the buyer after signing the contract. It also says traders will bear the risk and cost of damage or loss of the goods until the moment the buyer receives them.

The Confederation of European Business welcomed the proposal, saying it should improve the EU single market and result in a genuine harmonisation of national laws but said it should not be diluted during the legislative process.

The European Consumers' Organisation said the proposal contained some improvements, but called for tougher rules to ensure that consumers have the right to choose between repair, replacement and reimbursement when a product is defective. The organisation also wants better guarantees for speedy repayment to consumers in cases of withdrawal from a purchase.