Ofcom has proposed new regulatory measures requiring major tech platforms to crack down on scam advertising, citing research showing that over half of UK adults have encountered potentially fraudulent ads online. The UK's communications regulator aims to hold companies like Google, Meta, Amazon, and TikTok accountable for the proliferation of deceptive advertisements on their services.
The proposals mark an escalation in Ofcom's oversight of tech giants. Under the new framework, platforms would face stricter obligations to identify and remove fraudulent ads before they reach users, rather than relying solely on reactive removal after complaints. The regulator plans to establish clearer standards for ad verification, transparency in ad placement, and remedies for victims of scams.
The move reflects growing pressure across regulators globally. The US FTC has similarly targeted deceptive advertising practices, while the EU's Digital Services Act imposes stringent ad accountability requirements. Ofcom's intervention addresses a gap where platforms have historically treated ad moderation as a lower priority compared to content moderation for violent or sexual material.
Tech companies argue they deploy machine learning and human reviewers to catch fraudulent ads. However, scammers continue to evade detection, targeting vulnerable demographics with fake investment schemes, counterfeit goods, and impersonation scams. The financial toll runs into billions annually across UK consumers.
Ofcom's consultation period will determine whether the proposals become binding rules. If implemented, platforms operating in the UK would need to strengthen internal enforcement systems, potentially increasing operational costs. Industry pushback is expected, with companies claiming the burden of pre-screening all advertising conflicts with scale and free-speech principles.
The proposals signal that regulators view scam ads not as a user-experience issue but as a consumer protection crisis requiring structural change. For platforms, compliance could reshape how ad networks operate and what verification technology they deploy.