The reason my cake specifications are so detailed is because I make sure you have all of the information you need in one place. This includes my cancellation terms, which reflect your consumer rights as set out in law and best practice.
Ultimately, the law protects you as a consumer, and me as a business, from unfair losses. So the earlier you cancel, the better as I will have done less work and will have more time to re-book that date. If I haven’t ordered any special ingredients, nor made anything, and have enough time to book another cake in, then I’ll just be looking at how much admin time I’ve spent on your order, and this will be around your deposit amount. The closer to the date you cancel, the less likely it is that I will be able to refund very much. In the worst case scenario that you cancel your cake the day before, all of the work will have been done, and you would not receive any refund. However, you could of course still have the cake. If I am able to resell the cake, then any money I made from that sale could be returned to you.
This applies whatever the reason, there are no separate rules for COVID cancellations. However, where cancellations are the result of legal restrictions, e.g. lockdown, the CMA guidance is very clear that most if not all payments should be refunded.