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If you have a website for your business you may have a cookie consent banner that asks visitors whether they’d like to accept or reject cookies. But what if your website is not offering those visitors a fair and informed choice when it comes to how their personal data is used?

A recent case involving Sky Betting and Gaming, shows just how serious the consequences can be when businesses fall short of these legal requirements.

What happened?

Between January and March 2023, Sky Betting and Gaming was found by the Information Commissioner’s Office (ICO) to be processing personal information from visitors to their website and sharing it with advertising companies without obtaining their prior consent.

Visitors to the SkyBet website had their personal data used for targeted ads before they had the opportunity to accept or reject cookies.

While there was no evidence that Sky Betting and Gaming was deliberately targeting vulnerable users, the investigation concluded that the company’s use of cookies was neither lawful, transparent, nor fair.

As a result, Sky Betting and Gaming made necessary changes to ensure that people could reject advertising cookies before their personal information was processed. But the case serves as a clear warning to businesses about the importance of complying with cookie and data protection regulations.

Why businesses should take note

The SkyBet case is part of a wider crackdown on websites that misuse advertising cookies. Last year, the ICO reviewed the UK’s top 100 websites and found that more than half of them had issues with how they were using cookies.

Many of these sites have since made changes, but any business that fails to comply could face enforcement action.

The key takeaway? Businesses need to ensure their websites give visitors a clear choice with regards to cookies, particularly when it comes to how personal data is used for targeted advertising.

There continues to be increasing scrutiny on how businesses handle personal data online. As a business owner, it’s essential to make sure your website complies with data protection regulations—especially when it comes to cookies and targeted advertising.

Compliance isn’t just about avoiding fines; it’s about building trust with your customers and ensuring that your business operates fairly and transparently in today’s digital world.

Further information

This press release from the Information Commissioner’s Office gives additional detail about the background and action taken against SkyBet https://ico.org.uk/about-the-ico/media-centre/news-and-blogs/2024/09/action-taken-against-sky-betting-and-gaming-for-using-cookies-without-consent/

About the Author

Paul Newbold Image

Paul Newbold

Partner
After qualifying with KPMG where he gained significant audit experience, Paul joined Torgersens in 1991 and became the firm’s audit partner in 2000. Paul employs his broad range of financial skills to provide commercial and accounting advice to a range of owner-managed businesses in the independent retail, education and professional services sectors. He also has extensive experience dealing with charities, Registered Social Landlords and not-for-profit organisations and co-operatives.   Outside of work, Paul likes to visit Eastern France and South-West German and read novels by David Morrell, Michael Blake and Harper Lee. He also likes watching films, his favourite is The Shawshank Redemption.

To get in touch please e-mail paul.newbold@torgersens.com.

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