Updated CAP and BCAP Codes
The Committee of Advertising Practice (CAP) and the Broadcast Committee of Advertising Practice (BCAP) have published the outcome of their consultation on changes to the Advertising Codes (Codes). The consultation was spurred by the Unfair Commercial Practices (UCP) aspects of the Digital Markets, Competition and Consumers Act 2024 (DMCC) which came into force recently.
Changes to the Codes include new provisions to prevent marketing communications containing fake consumer reviews, as well as minor changes to the rules on misleading advertising to reflect the language and requirements of the DMCC. The new rules came into effect on 6 April and will be reviewed in 12 months. All businesses advertising to consumers should ensure that they comply with the revised Codes.
Safety Laws
The Product Regulation and Metrology Bill is expected to come into force this year, giving the Government powers to update existing product safety laws. This will include the ability to diverge from, or mirror, changes that the EU makes to its own product safety laws and will lay the foundation for material changes to the UK’s outdated product safety regime.
Competition and Markets Authority (CMA) publishes guidance in light of the Digital Markets, Competition and Consumers Act 2024 (DMCCA)
The key takeaways of the CMA Guidance are:
Consumer protection: Updated enforcement guidance in respect of the role, functions, and powers of the CMA in the context of consumer protection, its involvement and engagement in the consumer protection landscape (domestically and internationally) and the approach to enforcing consumer protection laws. There is also an update on how the powers will be used under the DMCCA and on the direct consumer enforcement regime which applies when the CMA carries out an investigation in relation to any one or more relevant infringements.
Unfair commercial practices: Updated protection from unfair trading provisions i.e. practices which involve traders misleading, acting aggressively, or behaving unfairly toward consumers.
Fake reviews: Guidance to support businesses who publish reviews or review information to comply with their new legal obligations.
With increased enforcement powers now in force, including the CMA being able to issue fines of up to 10% of global turnover in connection with consumer law breaches, businesses should familiarise themselves with the guidance and address any deficiencies with their consumer law compliance as a priority.
