Source · Select Committees · Treasury Committee
Recommendation 38
38
Pending any legislative changes, the FCA should continue to work with online platforms such as...
Conclusion
Pending any legislative changes, the FCA should continue to work with online platforms such as Google to remove misleading and fraudulent adverts as quickly as possible, to protect customers from scams. (Paragraph 193) The Financial Conduct Authority’s Regulation of London Capital & Finance plc 53
Government Response
Not Addressed
HM Government
Not Addressed
The inclusion of fraud in scope of the Online Safety Bill will have a real impact on protecting people from the devastating impact of scams posted on social media and dating sites. Furthermore, the Government is considering tougher regulation of online advertising, including regulations designed to tackle fraud online. DCMS has set out that it will consult by the end of this year on proposals related to its Online Advertising Programme. As part of our departure from the EU the UK Government removed an exemption to the financial promotions regime available to online platforms for incoming electronic communications from the EU. As a result of that change, the FCA is looking at the operations of the major online platforms to determine whether their communication of financial promotions is subject to the financial promotion restriction and, if so, whether they are compliant. Where they are not, the FCA will take action to ensure consumers are protected. The Treasury will support the FCA in these conversations going forward, as part of the Government’s ongoing efforts to protect consumers from fraud online. The Government is continuing to explore additional legislative and non-legislative solutions to tackle fraud in the round. This work is led across Government by the Home Office, in collaboration with industry, regulators and consumer groups. The Home Office is developing an ambitious Fraud Action Plan, which will be published after the 2021 Spending Review.