UK Ofcom Proposes Scam Ad Ban on Big Tech Platforms

Ofcom, the UK communications regulator, has proposed new measures requiring major tech platforms such as YouTube, Instagram, and X to take robust action against scam adverts, with potential fines of up to £18 million or 10% of global revenue for non-compliance Source: BBC.

What's proposed

Under the next phase of the Online Safety Act (OSA), Ofcom's draft measures include:

• Mandating platforms ban users who post fraudulent ads and prevent them from creating new accounts Source: The Guardian.
• Reducing risks of account hijacking and ensuring ads for financial services have legal clearance Source: The Guardian.
• Providing law enforcement channels for identifying fraudulent ads Source: The Guardian.

The proposals target "category 1" platforms, including Google, Facebook, Instagram, Snapchat, X, and YouTube Source: The Guardian.

Reactions and timeline

Ofcom's Oliver Griffiths stated tech firms have not done enough and expects "robust action" Source: BBC. Consumer group Which? welcomed the proposals but expressed concern that measures won't be implemented until next year, calling it "very problematic" given AI advancements Source: The Guardian. The consultation on specific steps closes in October, with final decisions expected next year Source: The Guardian.