UK Law and Practice Contributed by: Huw Morris, Dominic Bray, Nick Swimer and Rebecca Coleman, Lee & Thompson LLP
2.7 Disclosures Under the CAP Code, ads “must be obviously identifi - able as such”. Consumers should be able to recog - nise that something is an ad without having to click or otherwise interact with the content. Disclosures must be clear, unambiguous and prominently placed. Dis - closures are required to ensure transparency in claims and pricing, and their effectiveness can determine if a message would be deemed misleading or otherwise non-compliant. Where legal lines are used (linked to via an asterisk in the body copy), they should qualify and support the main message, rather than contradict it. There are particular rules around advertorials, where disclosures such as “Advertisement Feature” or “Advertisement Promotion” should be used, accord - ing to guidance from both the ASA and the CMA. 2.8 Other Regulated Claims Other regulated claims, such as “natural”, “organic” or “Made in [Country]”, are subject to specific rules under the Codes. As always, claims must be accurate and properly substantiated with evidence. Misleading claims about a product’s origin or natural ingredients can lead to regulatory action, especially if they cre - ate a false impression of quality or ethical production standards. Over the last year, the ASA has issued rul - ings against several companies for making unverified claims about their products being “free from” certain ingredients or produced under specific ethical stand - ards. 3. Limitations and Special Laws 3.1 Representation and Stereotypes in Advertising Rules and related guidance to restrict ads that rein - force harmful gender stereotypes have been in place for several years, aiming to prevent ads from perpetu - ating negative or harmful stereotypes based on gen - der, race, age or other protected characteristics. Recent rulings have targeted ads portraying outdated gender roles or offensive racial depictions. In 2023, the ASA published guidance on avoiding racial and ethnic stereotypes after several adjudications against
would need to be supported by empirical evidence such as scientific studies, clinical trials or independent expert verification. 2.4 Product Demonstrations Product demonstrations must accurately reflect per - formance under normal usage conditions. Misleading demonstrations, where products are shown to per - form better than they do in real-world settings, are prohibited. Advertisers must ensure that demonstra - tions do not give consumers an unrealistic impression of the product’s capabilities. 2.5 Endorsements and Testimonials Endorsements and testimonials must be genuine and reflect the honest opinions or experiences of the indi - viduals featured. Advertisers must hold documentary evidence that a testimonial or endorsement is genu - ine, and must hold contact details for the person who gives it; signed and dated proof is likely to be consid - ered acceptable evidence. Advertisers should seek permission before using a testimonial from a customer or consumer. Paid-for endorsements or testimonials must clearly disclose the nature of the commercial relationship (see 5.5 Influencer Campaigns and Online Reviews ). 2.6 Environmental Claims Environmental claims (“greener”, “cleaner”, “carbon neutral”, etc) are heavily regulated under the Codes and other legislation, including the DMCCA. Such claims must not mislead, must be substantiated with credible evidence, and must not make vague or unver - ified “green” claims. In recent years, several high- profile companies have been sanctioned for making unsubstantiated claims about sustainability, recycling or carbon neutrality. The CMA has issued a “Green Claims Code” to ensure that environmental claims are clear, accurate and not misleading. Product claims must take into account the whole product lifecycle, and claims regarding a business must take account of all aspects of that business (including, for example, its investment strategy). The ASA is expected to continue issuing rulings in this area, and the CMA can also employ its new enforce - ment powers under the DMCCA against advertisers making misleading environmental claims.
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