New Codes for Advertising in the UK in Force From 1-9-2010 - A Quick Checklist of the Key Changes

By Maria Anassutzi
CAP (British Code of Advertising, Sales Promotion and Direct Marketing Code) and BCAP (Broadcasting Advertising Standards Code) were revised in March 2010 following a public consultation and have now come into effect.

The new rules reinforce the principle that "all advertising should be legal, decent, honest and truthful" and contain a number of key changes regarding consumer protection and social responsibility.

In particular,
~Television and radio advertising has been consolidated in one new broadcast Code;
~Television and radio advertising is required to have regard to and consider social responsibility;
~The new broadcast and non-broadcast Codes contain similar rules in key areas such as misleading advertising, harm and offence;
~The new Codes are designed to be simple, user-friendly providing useful guidance.

Key changes

Consumer protection:
~ The new Codes include clarification on how to use the word "free" and other qualifications in marketing communications.
~ Price statements must take into account guidance from BIS.
~ The new CAP Code will contain a specific requirement that debt advice and debt solutions advertisements should comply with guidance from the OFT.
~ New rules oblige the marketing manager of prize promotions to be clear about the number and nature of prizes, including those that are available to win and those that are guaranteed to be won, as well as ensuring that recipients of "instant wins" are able to obtain their prize quickly and easily.

Distance Selling
~ The BCAP is now aligned with the laws on distance selling, clarifying that the consumer can cancel within 7 days for any reason.
~ Advertisers must fulfill orders within 30 days unless they have agreed a longer period.
~ The Codes also include rules requiring the marketing manager to make clear his/her identity.

Children:
~ Marketers are now prevented from collecting personal information from children under 12 years old without obtaining the consent of their parents or guardian.
~ Further restrictions exist for the collection of information from the under 16s.
~ New rules guide advertisers so that they do not to fall foul of the ban on exhorting a child to buy a product or persuading adults to buy a product for them, since this ban is a legal requirement.
~ Advertisements for age-restricted computer and console games should comply with new television and radio scheduling requirements.
~ Advertisements are prohibited from exploiting the trust that children and young people place in parents, teachers or other people.
~ Competitions directed to children must include all significant qualifying conditions and where appropriate parent permission together with a clear end date.

Health:
~ The new Codes reflect the main provisions of the European Regulation on Health and Nutritional Claims.
~ The new Codes reflect the requirements of Directive 2004/24/EC about advertising herbal medicines.
~ A new rule has been introduced in line with an existing television rule to protect people who might be harmed by flashing images in advertising.

Social and environmental responsibility:
~ A new principle of social responsibility is introduced for broadcast advertising, which requires that all advertisements are prepared with a sense of responsibility to the audience and to society.
~ A rule is introduced in the environment section of the Codes preventing marketers from exaggerating the environmental benefits of their products.
~ A new lottery section will be introduced, which will cover the National Lottery and lotteries licensed under the Gambling Act 2005, addressing lottery advertising and making it subject to the same social responsibility rules as other forms of advertising.

This article is for general purposes and guidance only and does not constitute legal or professional advice.

Copyright 2010 Anassutzi & Co Limited. All rights reserved. Information may be shared or reproduced only if accompanied by the author's name and bio.

Maria is founder and director of Anassutzi & Co limited a specialist legal and business strategy consultancy having previously held a number of senior positions including being partner and head of IP/IT in London. Maria speaks fluently Greek, Italian and has basic knowledge of the French language.

Maria is a seasoned multi-jurisdictional lawyer with vast experience in general corporate commercial law, specialising in intellectual property, information technology, e-commerce and outsourcing and having extensive in-house legal experience and having worked in City law firms and multinational companies.

All articles are for general purposes and guidance only and do not constitute legal or professional advice. Copyright 2010 Anassutzi & Co Limited. All rights reserved. Information may be shared or reproduced only if accompanied by the author's name and bio.