Misleading Advertising

Advertising in the UK is mainly controlled through codes of practice. In the case of advertisements in the non-broadcast media, the Advertising Standards Authority http://www.asa.org.uk/ oversees and acts to ensure compliance with the British Codes of Advertising and Sales Promotion.

The Codes are the body of rules the advertising industry draws up and agrees to abide by. In essence, they require advertisements to be legal, decent, honest and truthful and that they be prepared with a sense of responsibility to consumers and society at large.

The Control of Misleading Advertisements Regulations 1988 - SI 1988/915 (as amended by the Control of Misleading Advertisements (Amendment) Regulations 2000 - SI 2000/914), implement EU Directives 84/450/EEC and 97/55/EC on misleading and comparative advertisements. They provide the legislative back-up to the self-regulatory system in respect of advertisements which mislead or which do not comply with the conditions under which comparisons are permitted in advertisements.

The Regulations require the Director General of Fair Trading (DGFT) to investigate complaints. They empower him to seek an injunction from the courts against publication of an advertisement, if necessary. More usually, however, he would initially seek assurances from an advertiser to modify or not repeat an offending advertisement. Before investigating, the DGFT can require that other means of dealing with a complaint, such as the ASA system mentioned above, have been fully explored. Action by the DGFT therefore usually results only from a referral from the Advertising Standards Authority where the self-regulatory system has not had the required impact.

Advertising in the broadcast media is subject to codes of practice formulated and enforced by the Independent Television Commission and the Radio Authority. Government policy in respect of this sector rests with the Department of Culture, Media and Sport.

The Financial Services Authority (FSA) has a statutory duty to ensure that financial promotions are clear, fair and not misleading. The FSA encourages consumers to send in misleading adverts via their on-line reporting system at:
www.fsa.gov.uk/consumer/shop_around/index.html

Please click the button to read our Fact Sheet on misleading or offensive advertising.

This booklet provides information on what to do if you wish to complain about an advertisement which you believe to be misleading, or if you find an ad offensive.

Please click the 'Order Now' button to request a printed version. 

Trade Descriptions

The trade Descriptions Act 1968 makes it an offence for a trader to apply, by any means, false or misleading statements, or to knowingly or recklessly make such statements about services.

The Act carries criminal penalties and id enforced by local authorities' Trading Standards Officers.

It should be noted that labelling of, and the provision of information on, food and drink is the responsibility of the Foods Standards Agency.

on Trade Descriptions.

Property Misdescriptions

The Property Misdescriptions Act 1991 makes it an offence for an estate agent or property developer to make false or misleading statements, in the course of their business, about any of 33 property related matters listed in the Property Misdescriptions (Specified Matters) Order 1992.

The list includes, for example:

•        location or address;
•        aspect, view, outlook or environment;
•        accommodation, measurements and sizes;
•        physical or structural characteristics.

The Act is enforced by local authorities' Trading Standards Officers.

on Property Misdescriptions

Product Labelling

Product Labelling Schemes

The Department of Trade and Industry (DTI) is the lead Department for co-ordinating product labelling policy and provides the secretariat for an Interdepartmental Group on Product Labelling. The Group has produced policy guidelines on the issues to be taken into account when Government support for new product labelling proposals are being considered.

Product Labelling Scheme Proposals.

The DTI commissioned research to look at the impact of labelling schemes. Available literature was reviewed and conclusions drawn about which characteristics of labels and labelling schemes were effective in terms of meeting their objectives, and which were not. The effective schemes were also assessed on the ways in which they were effective and the reasons for it. The results are contained in this report.

Report on labelling schemes research.
Annex (questionnaire used).

Footwear Labelling

The Footwear (Indication of Composition) Labelling Regulations 1995 were made on 20 September 1995; they came into effect throughout the United Kingdom on 23 March 1996. The Regulations implement EC Directive 94/11 on the "approximation of the laws, regulations and administrative provisions of the Member States relating to labelling of the materials used in the main components of footwear for sale to the consumer".

Footwear Labelling Regulations.

Hallmarking

In the United Kingdom the Hallmarking Act 1973 makes it an offence for anyone, in the course of a business, to sell or offer for sale, an unhallmarked article to which has been applied a description indicating that it is wholly or partly made of gold, silver or platinum.

There are some exemptions from this requirement, such as articles of a minimum fineness below the statutorily prescribed weight.

The Act is enforced by local authority trading standards officers, and was amended in January 1999 to take account of a European Court of Justice ruling.

Consumer Guide to the 1999 changes to Hallmarking Act

At the beginning of their Presidency in July, the Italians revived the Draft EU Directive on the marking of precious metals, which aims to harmonise hallmarking in Member States.

The Government strongly supports retaining the current UK hallmarking system and opposed the Directive at meetings of the Council Working Group on Precious Metals. This was because of the inclusion of manufacturer marking, which the Government believes would lead to a weakening of consumer protection in the UK.

Following a lack of agreement at the Council Working Group and at the Committee of Permanent Representatives (Coreper), the Directive did not go to the Council of Ministers for a vote. This means that the Draft Directive has effectively been shelved.

Information sheet on the Draft Directive (2 pages).

Origin Marking

Generally speaking, there is no requirement in the law of the United Kingdom nor European Union for goods to bear marks indicating their origin, nor is there anything to prevent voluntary origin marking where traders wish to do so.

However, where such marks are applied to goods, the Trade Descriptions Act 1968 effectively requires these marks to be accurate.  This Act makes it a criminal offence for a person, in the course of business, to apply false or misleading trade descriptions to goods.

DTI/HM Customs guidance notes for traders on Origin Marking.

Fact Sheet on Origin Marking.

Price Indications 

The Price Marking Order 1999 sets out pricing requirements for products that are for sale by traders to consumers. The aim of the Order is to provide price transparency for consumers.

Price Marking Order 1999.

Price Marking Order.

The Department consulted on changes to the Order a couple of years ago. You can view the consultation by clicking here   Responses to the consultation are still being considered.

Price Marking (Food and Drink Services) Order 2003