UK steps up its consumer protection crusade

The UK government has announced it wants to give some regulators the power to fine companies unilaterally without involving the courts.

Scott Bicheno

June 18, 2019

5 Min Read
UK steps up its consumer protection crusade

The UK government has announced it wants to give some regulators the power to fine companies unilaterally without involving the courts.

The main beneficiary of these proposed new powers will be the Competition & Markets Authority, which exists to regulate markets. The plan was unveiled by Business Secretary Greg Clark as outgoing Prime Minister Theresa May rushes through a bunch of commitments in an apparent bid to have something to show for her time in charge. Specifically this refers to claimed ‘loyalty penalties’ in which existing customers are given insufficient information about available deals.

A key part of this initiative seems to be to give the CMA the power to interpret and enforce the law itself, without needing to trouble the judiciary. Why the matter of a few punters paying a bit more for their utilities is a matter of sufficient gravity to suspend the rule of law is not made clear, but Clark seems to want the CMA and possibly other regulators to be able to fine companies whenever they feel like it.

The Government has already committed to legislate in order to give consumer enforcers the power to impose fines on companies for breaches of consumer law by applying to the courts,” wrote Clark in his letter to the CMA. “We will follow this through and also want to go further to ensure that enforcers have the powers they need to incentivise firms to comply with the law. This will include empowering the CMA to decide itself whether consumer protection law has been broken and then impose fines for wrongdoing directly.”

“I strongly believe that consumer loyalty should not be exploited and nor should consumers have to work so hard to get a fair deal,” said Clark in the press release of the announcement. “We have already shown our willingness to take action through our energy price cap, which means every household is protected from unjustified price rises.”

The system as it stands not only lets consumers down but it also lets down the vast majority of businesses who play by the rules,” said May. “It is high time this came to an end and today we are confirming our intention to give much stronger powers to the CMA, to strengthen the sanctions available and to give customers the protection they deserve against firms who want to rip them off.”

All this agonising over the plight of hapless UK consumers isn’t limited to the government. The Advertising Standards Authority thinks UK companies shouldn’t be allowed to portray claimed ‘gender stereotypes’ in their ads because they might cause some unspecified harm. Even the prospect of harm is now sufficient justification for state censorship, it seems.

“Our evidence shows how harmful gender stereotypes in ads can contribute to inequality in society, with costs for all of us,” said ASA boss Guy Parker. “Put simply, we found that some portrayals in ads can, over time, play a part in limiting people’s potential.  It’s in the interests of women and men, our economy and society that advertisers steer clear of these outdated portrayals, and we’re pleased with how the industry has already begun to respond”.

So we’re not even talking about harm here, just ‘playing a part in limiting people’s potential’. Parker is so concerned about this blight on UK society that he has sat on his claimed evidence for two years before acting. Here are the ‘outdated portrayals’ advertisers are no longer allowed to depict.

  • An ad that depicts a man with his feet up and family members creating mess around a home while a woman is solely responsible for cleaning up the mess.

  • An ad that depicts a man or a woman failing to achieve a task specifically because of their gender e.g. a man’s inability to change nappies; a woman’s inability to park a car.

  • Where an ad features a person with a physique that does not match an ideal stereotypically associated with their gender, the ad should not imply that their physique is a significant reason for them not being successful, for example in their romantic or social lives.

  • An ad that seeks to emphasise the contrast between a boy’s stereotypical personality (e.g. daring) with a girl’s stereotypical personality (e.g. caring) needs to be handled with care.

  • An ad aimed at new mums which suggests that looking attractive or keeping a home pristine is a priority over other factors such as their emotional wellbeing.

  • An ad that belittles a man for carrying out stereotypically ‘female’ roles or tasks.

That’s all nice and clear isn’t it? Presumably it’s OK to have a bloke doing the washing up in an ad, or a woman chopping down a tree, so long as it’s not also considered to be taking the piss. It looks like ads now have to feature unattractive people being fancied by everyone, but it’s unclear whether beautiful people are allowed to be fancied too. Lastly the ASA advises that banned gender stereotypes are allowed, but only as a means to challenge their negative effects, so the Gillette ad below is presumably OK.

At this rate it’s possible to imagine a time when no UK consumers will ever come to any harm whatsoever and everyone will be free to explore their full potential, unencumbered by dispiriting imagery. Anyone who has a problem with UK agencies unilaterally fining and censoring companies with vague, arbitrary justification, in the name of the public good clearly doesn’t understand the extent of the danger we’re in.

 

About the Author

Scott Bicheno

As the Editorial Director of Telecoms.com, Scott oversees all editorial activity on the site and also manages the Telecoms.com Intelligence arm, which focuses on analysis and bespoke content.
Scott has been covering the mobile phone and broader technology industries for over ten years. Prior to Telecoms.com Scott was the primary smartphone specialist at industry analyst Strategy Analytics’. Before that Scott was a technology journalist, covering the PC and telecoms sectors from a business perspective.
Follow him @scottbicheno

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