Ofcom establishes One-Stop Shop
for all advertising regulation
New rules on alcohol advertising published
The Advertising Standards Authority (ASA), which has more than 40 years'
experience of regulating non-broadcast advertising, today also assumes
responsibility for television and radio advertising under a new co-regulatory
system, to become a 'one-stop-shop' for all advertising standards and
consumer complaints.
Ofcom consulted extensively in October 2003 on its initial proposals
to transfer broadcast advertising content regulation to a new system to
be established under the auspices of the ASA. Ofcom's final proposals
received Parliamentary approval, under the Deregulation of Contracting
Out Act 1994, in July 2004.
Ofcom remains ultimately responsible for broadcast advertising under
the Communications Act 2003 and will monitor the effectiveness of the
new system to ensure that audiences are adequately protected. Ofcom is
satisfied that the contracting out of broadcast advertising through this
new system will create an effective, properly funded and sufficiently
independent co-regulator.
LEAST INTRUSIVE MEANS OF REGULATION
The Communications Act 2003 encourages Ofcom to consider effective forms
of self-regulation for its various functions where appropriate. This,
coupled with Ofcom's overarching principle to seek the least intrusive
regulatory mechanisms to achieve its policy objectives, enables the regulator
to step back from direct statutory control in some areas of
its work, placing greater reliance upon industry to take more
responsibility for its own actions. This approach is evident in other
areas of Ofcom's statutory responsibilities, such as:
• The appointment of the Independent Adjudicator to oversee the Contract
Rights Renewal (CRR) remedy for the ITV television airtime sales market
put in place as a result of the Carlton and Granada merger.
• The appointment of the Independent Telecommunications
Adjudicator to facilitate effective processes and resolve
working-level implementation disputes in the Local Loop Unbundling market.
• The new process for competition complaints and disputes which focuses
regulatory resource on the issues which most warrant attention whilst
minimising unnecessary and ineffective intervention.
• The introduction of spectrum trading and the liberalisation of
restrictions on spectrum use, giving greater control to the users and
providers of wireless communications services.
Ofcom Chief Executive Stephen Carter said: "Good regulation meets
the needs of both consumers and industry without imposing undue burdens
on either. The co-regulation of broadcast advertising more than meets
that
test. We welcome the transfer of responsibility for this area to the ASA."
NEW ALCOHOL RULES
Separately, Ofcom today publishes its final amendment to the Advertising
Standards Code before responsibility for future development of the Code
is assumed by the new ASA-led 'one-stop-shop'. The existing rules on alcohol
advertising have been significantly strengthened in many areas, particularly
to protect the under-18s.
The consultation on proposals to update the rules in Section 11.8 of
the Advertising Standards Code for television was launched in July 2004.
The final rules published today include changes which reflect the views
of a number of consultation respondents.
The rules include requirements that:
• Advertisements for alcoholic drinks on television must not be
likely to appeal strongly to people under 18, in particular by reflecting
or being associated with youth culture;
• Advertisements must not link alcohol with sexual activity or success
or imply that alcohol can enhance attractiveness;
• Television advertising for alcoholic drinks must not show,
imply, or refer to daring, toughness, aggression or unruly,
irresponsible or anti-social behaviour;
• Alcoholic drinks must be handled and served responsibly in
television advertising.
With the launch today of the new broadcast advertising co-regulatory
system, Ofcom has agreed that the Broadcast Committee of Advertising Practice
(BCAP) will draft interpretative guidance which supports the alcohol advertising
rules. BCAP is the code-making arm of the ASA-led 'one-stop-shop'. This
will enable the ASA, the advertising industry, and the Broadcast Advertising
Clearance Centre to commit fully to the guidance that they will be applying
in support of the rules published by Ofcom today.
The new rules will come into effect from 1 January 2005. The new rules
and final statement on the consultation can be obtained from the Ofcom
website at: www.ofcom.org.uk
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