The Government says it will implement new EU legislation on behavioural advertising in the UK by allowing users to opt out from organisations taking data from their computers.
Online ads across Europe will need to display a recognisable clickable icon so users can access more information about how companies will use their data through cookies. It will allow consumers to refuse companies access to that data.
However, the Department for Culture Media and Sport (DCMS) said a one-size-fits-all solution won’t be appropriate for the UK. This referred to the EU’s recommendations for users to opt to receive cookies, rather than the opt-out approach.
As a result, the DCMS is setting up a second industry working group to assess other options available within the EU guidelines.
The Government said that, due to the complicated nature of behavioural targeting, it will try to mitigate the effects of the EU directive by not taking enforcement action against offenders in the short term to give advertisers time to address their cookie policies.
The DCMS said it recognises that the internet would be “severely restricted” without the use of cookies.
It also acknowledged concerns from businesses that an opt-in approach to the way they collect customer data would have a negative impact on businesses because the majority of consumers would refuse to receive behavioural advertising.
Communications Minister Ed Vaizey said, “We recognise that work on the technical solutions for cookie use won’t be complete by the implementation deadline. It will take time for meaningful solutions to be developed, evaluated and rolled out. Therefore, we don’t expect the Information Commissioner’s Office to take enforcement action in the short term against businesses and organisations as they work out how to address their use of cookies.”
Browser manufacturers, such as Microsoft and Google, will work with the Government to discuss if browser settings can be enhanced to present users with clear information about cookies in order to meet the requirements of the revised directive.
The Government’s announcement follows a five-month consultation period assessing the impact of the revisions to the EU Electronic Communications Framework that will be implemented from 25 May.
In reaction to the announcement, online advertiser body ISBA said the Government’s decision to use an opt-out rule on cookies is a “victory for common sense”.
ISBA’s director of public affairs Ian Twinn said, “Strict interpretation of the EU e-privacy directive would have closed down or seriously curtailed many commercial uses of the online economy, disrupting users’ experience not just online but across all digital platforms.”
James Mullock, head of the privacy and data protection practice at law firm Osborne Clarke, pointed out that the Government’s statement “is also an implicit acknowledgement that the technology is clearly not ready yet. So the pressure is really now on the technology industry to come up with a solution that works online.”
He added, “The Government is basically buying time. It’s desperate to avoid too harsh an implementation of the directive. It’ll cross reference with an industry group to try to get the browser route into compliance shape.”
The Advertising Standards Authority will handle any complaints about behavioural advertising, it was confirmed earlier this week.
This story first appeared on marketingweek.co.uk