New data Bill drops plans for centralised cookie consent

The Data (Access and Use) Bill, one of the first new pieces of legislation introduced by the Labour Government, is focused on the role data can play in economic growth and delivering public services while ensuring that personal data is protected. It contains some provisions that were in the previous Government’s Data Protection and Digital Information Bill, including on cookie consent, which is relevant to digital advertising.

In a significant move, reflecting industry concerns, the new Data Bill does not include measures that would centralise cookie consent (into browsers or software, for example) as planned by the last government. This follows sustained lobbying efforts from IAB UK, our members and other trade bodies about the risks attached to this untested policy and the potential damage it could cause to the digital advertising industry and the wider digital economy.

The new Bill will take forward plans to create limited exemptions to cookie consent, with new powers for the Government to add further exemptions in the future. We have been arguing for the law to be changed to allow cookies to be used for ad and audience measurement on an opt-out basis, without requiring consent. We understand that the Government will carry out consultation with industry stakeholders – including IAB UK and our members – to explore this and other potential new exemptions.

Commenting on the Bill’s publication, Jon Mew, CEO of IAB UK, said: “We welcome changes that create a more risk-based and proportionate approach to cookie consent that reflects the non-intrusive nature of many purposes for which cookies are used. This will help improve consumers’ experience online and has the potential to benefit businesses.  

“The digital advertising industry is a critical contributor to the UK economy, and free access to ad-supported online services saves households £580 per year. This business model underpins the open internet yet is under threat from outdated rules that have not kept pace with modern technologies, hampering legitimate, necessary business practices and putting essential revenue at risk. IAB UK and our members look forward to working with the Government over the coming months to discuss how the powers in the Bill can be used to support a thriving digital advertising ecosystem that drives economic growth and continues to provide free digital content and services that are essential to our everyday lives."