Broadband firms face new advert rules in the UK
The UK's broadband providers have been told to expect tougher rules on how they advertise their services.
By Leo KelionTechnology desk editor The UK's Advertising Standards Authority said it was considering the step to ensure people "aren't misled by pricing claims". It follows a study that indicated most users could not correctly calculate bills based on the information given in a selection of broadband ads. The ASA said it would make a final decision before June. A lobby group representing the broadband industry has suggested more research is needed before any changes are imposed. But one of the internet service providers has already said it supports reform. "It's obvious that a single headline price is much clearer and better for customers, and we're actually already doing it on a pilot project up in York," said a spokesman for TalkTalk. "But until the whole market moves to single prices, any company that advertises its products like this will struggle to compete with what look like better deals from other providers." The announcement comes a month after the charity Citizens Advice called on the ASA to review its code of practice because it said consumers were being misled by attractive-sounding broadband offers. 'Better when trusted' The ASA has suggested it will call on ISPs to follow three new guidelines: "Advertising works better when it's trusted," said the ASA's chief executive Guy Parker. "We'll now be moving quickly, working alongside broadband providers, to clarify the presentation of price information." Confused consumers The move follows a study carried out on behalf of both the ASA and the communications regulator Ofcom in June. It involved 300 home broadband "decision makers" being shown adverts that had been made for TV, newspapers, websites and outside billboards. The research firm Futuresight then quizzed them about their recall of the details. Its findings suggest: "Many people are confused by complicated adverts and offers, so we welcome the ASA's plans to simplify broadband advertising," said Ofcom's chief executive Sharon White. However, the Internet Services Providers' Association has raised concerns. "[We] believe that more detailed research is needed to corroborate the survey findings," said Nicholas Lansman, the industry group's secretary general. "Beyond adverts, ISPs provide clear information if consumers engage more closely with them, for example by going to their website, visiting a shop, working with comparison and consumer websites or by calling the providers. "This has not been reflected in the survey, which is based on a small sample size with some of the reviewed adverts only being shown to eight participants."