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Does the responsibility for a warranty lie with the retailer or the manufacturer?
I'm talking about refunds.
And If I am offered a replacement do I have to accept it or can I press for a refund.
I have been offered a half price replacement, what is that all about?

I'm technically not a legal expert, but having worked for a company that deals with warranty replacements and such, I have some experience with "who's responsibility is it" type questions.

It is not quite clear cut, and if it's something quite expensive, I'd discuss it with the CAB before proceeding in either direction, rather than follow my suggestions below!

It is never your right to get the money back - it is the choice of the manufacturer to replace or repair the goods that are broken. The retailer obviously CAN give you money back instead of a replacement/repair, but it is entirely at their discretion. If the product is out of production and has been replaced by a newer model (or similar), then the manufacturer can replace it with the newer version, assuming it's at least as good [this can be difficult to prove in either direction]. Or, offer you the money back, because replacement is not a possible option, and a repair is not possible/economically viable.

The TRUE responsibility for all warranty lies with the original manufacturer[2]. However, the whole chain of supply is normally followed in reverse when it comes to warranty complaints [unless otherwise stated] - what I mean by that is that the manufacturer will not issue replacement product directly to the customer, and the customer must go back to the retailer they got the thing from.

One reason for this is that sometimes products are sold under other terms or routes - for example, if some electrical retail chain buys a whole load of dishwashers directly from the manufacturer in Italy, without involving the wholesaler[1] in the UK, the warranty claim should surely not be made to the wholesaler. To avoid these issues, MOST wholesalers, request that you return any faulty goods under warranty through the retailer that sold it. Sometimes, e.g. on a VAX wet/dry vacuum cleaner, it clearly states in the warranty instructions "If you have problems, do not return to retailer, contact us directly <further details elided>"

A half-price replacement is not really what the law states, and sounds dodgy to me. There may be a case for it if there is some dispute as to "correct use" or some such (e.g. you are complaining about an aquarium heater that cracked, and the LFS says "we think it cracked because you left it on without water, but as a good will, we'll give you this new one for half price" - of course, if you didn't leave it on out of water, you should not accept this - but sometimes that may still be a better option than going to the CAB and solicitors to get what is your right.)

[1] I use the term wholesaler here - I really mean "the company representing (or being) the manufacturer in the UK".

[2] Ok, so legally, it is the company offering the product for sale in this country that is responsible for any warranty claim, as the laws of warranty are different in different countries, and there is no way the UK law can force a company in, say, China to do anything in a particular way. But it is likely that a company importing toasters from China will then have a contract saying "We will return any faulty toasters to you, and request a refund, if they are broken within a year of sale", to cover their own. Of course, they may also "take the hit" themselves.

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Mats

I did study law - but it's been a while, and it's not UK law

However, technically, you did business with the shopkeeper, not with the manufacturer. So basically, the shopkeeper is the one involved (and as he bought the stuff from someone else, that one should compensate him, and so on)

Further, if you buy something, you are entitled to expect it to do its thing for a reasonable time - assuming you took care of maintenance, and so on. A broken TL tube has - obviously - not been protected as it should have been, so no refund. But an Eheim which costed 200 euro, or pounds, should work properly for 5 years, assuming it did not run dry, and so on

A manufaturers warrancy opens a second door - a direct one to the manufacturer (or importer). However, quite often the warrancy is for a shorter period than the reasonable time you were allowed to expect the thing running (the above Eheim normally comes with a waarancy for 3 years max). Resellers often claim that after the warrancy is lapsed, they are no longer involved, but - at least under our, Dutch, law, this is not the case. And consumer rights are harmonized all over the EU, so it should be the same in the UK.

Than, the matter of compensation. Whether you have to accept a replacement, or can get your money back, this depends on local law, and eventual terms of the agreement. What is a reasonable refund? Personally, I don't think my above Eheim, failing after 3 years, would be worth the full 200 euros, but on the other hand, an Eheim would normally work not for 5 years, but for 15 or more - and in that case, after 3 years of service, it has only provided 20 % of what I expected from it.

You did not provide any info about the thing, or its age, so I think I should leave it at this

Ok thanks dudes!

Many retailers of electrical devices guarantee their product for the first 30 days then the warranty reverts to the manufacturer and typically that time is one year unless they have lifetime warranty or whatever.
These are typical conditions in the USA.