Ofcom Proposes Rules to Force Big Tech to Remove Scam Ads

UK communications regulator Ofcom has announced proposals that would require large technology platforms to take direct responsibility for identifying and removing fraudulent advertisements from their services. The move comes as new figures show that more than half of all UK adults have encountered potentially fraudulent online adverts, highlighting the scale of the problem.

What Ofcom Is Proposing

Under the proposals, companies classed as large platforms under the Online Safety Act would face binding obligations to proactively detect and remove scam ads — including fraudulent financial promotions, fake celebrity endorsements, and phishing schemes disguised as legitimate adverts. Ofcom says that the current system, which relies primarily on users reporting suspicious content, is insufficient to protect the public at scale.

A Widespread Problem

The data underpinning Ofcom's proposals is striking: more than half of UK adults say they have come across online advertisements they believed could be fraudulent or deceptive. Scam adverts are a leading route through which criminals steal money and personal data from consumers, often targeting vulnerable individuals with fake investment opportunities or fraudulent prize draws.

Big Tech Under Pressure

The proposals add to growing regulatory pressure on technology companies in the United Kingdom. The Online Safety Act, which became law in 2023, established Ofcom as the key regulator for online safety in the UK and gave it powers to require platforms to address a range of harms. Penalties for non-compliance can include substantial fines. The consultation period for Ofcom's new scam ad proposals is now open, with final rules expected to follow later this year.