UK — Ofcom announced new proposals to require major technology platforms to ban scam advertisers in the United Kingdom. Made under the next phase of implementing the Online Safety Act, the proposals would require platforms such as Facebook, Instagram, Snapchat, X, and YouTube to block entities posting fraudulent advertisements and prevent them from creating new accounts.

The proposed measures also include reducing the risk of existing accounts being compromised for scam purposes, ensuring that advertisements for banking or financial services have legal clearance, and providing law enforcement with channels for identifying fraudulent ads. The scam ad requirements apply to category 1 platforms, which include Instagram, X, Google, and ChatGPT.

Oliver Griffiths, Ofcom's online safety group director, stated, "We expect firms to take robust action to stamp out scam ads and boot out the bad actors behind them to safeguard their users." Failure to implement these measures could lead to fines up to 10% of a platform's global revenue once the proposals become legally binding under the Online Safety Act. Ofcom launched a consultation on specific steps on a Friday, with the period concluding in October and final decisions expected next year.

The consumer group Which? welcomed the proposals while accusing tech firms of treating scam ads as a "profitable income stream." The group also expressed concerns that the measures would not be implemented until next year.

These proposals by Ofcom aim to address the proliferation of fraudulent advertisements on major online platforms in the UK. The measures standardize expectations for how large platforms manage advertising content and seek to enhance user protection in the digital space. The financial penalties associated with non-compliance potentially reach 10% of global revenue.