Co-regulation of broadcast advertising

In November 2004, the ASA assumed responsibility for maintaining standards for broadcast advertising in the UK.

Prior to this, regulation of non-broadcast advertising was conducted by the self-regulatory CAP/ASA system and broadcast advertising was regulated separately by a statutory regulator, Ofcom.

There is a statutory duty placed on Ofcom to maintain standards in broadcast advertising. However, better regulation principles that were included in the Communications Act 2003 placed a duty upon Ofcom to pursue alternative forms of regulation where practical. Ofcom took advantage of this provision and established a co-regulatory partnership with the ASA in 2004.

In practice, this means that the ASA is responsible on a day-to-day basis for broadcast advertising content standards. The Broadcast Committee of Advertising Practice (BCAP) has inherited the TV and Radio Advertising Codes from Ofcom and is responsible for writing and maintaining them.

The system has been described as self-regulation within a co-regulatory framework. It is underpinned by an enabling statutory instrument, The Contracting Out (Functions Relating to Broadcast Advertising) and Specification of Relevant Functions Order 2004 and a formal Deed (link to MOU) between Ofcom and the ASA (Broadcast), BCAP and Basbof.

The arrangement is monitored against clear reporting obligations and key performance indicators.

Broadcasters are obliged to comply with the Advertising Codes under their broadcast licences from Ofcom. When the ASA adjudicates on an advertisement, broadcasters comply with rulings immediately under the conditions of their licences. However, where necessary and appropriate, the ASA is able to refer licensees to Ofcom for regulatory action. Ofcom is able to levy fines and revoke licenses. Such action is very rarely necessary.

The co-regulatory arrangement with Ofcom for broadcast advertising created for the first time in the UK a single advertising regulator. The ‘one-stop shop’ system brings great benefits for consumers and for business:

Easier for consumers

Having a single complaints body has made it easier for consumers to negotiate the complaints system. In the ten months prior to taking on responsibility for TV and radio ads, we received 5,814 complaints about broadcast ads that we were unable to act upon.

Free

The whole regulatory system for advertising is funded by the advertising industry, not the taxpayer, via a 0.1% levy on the cost of advertising space. The money is collected at arm’s-length from the ASA to maintain our independence.

Simpler for Advertisers

Advertisers have only to deal with one body during the complaints process.

Harmonious decision-making

Decisions about ad campaigns running across several media platforms e.g. TV, poster and radio, are made by a single organisation.