Authors: Louise Prince, Hannah Mughal
The “consent or pay” model which allows websites to share users’ personal information unless they pay to keep their data private has now made it to the UK. “Consent or pay” pop ups last week appeared on many major UK news websites including Mail Online, The Daily Mirror, The Daily Express and The Independent, giving users a difficult dilemma. Either they agree and pay anything from between £1.99 to £4 monthly for a cookie-free experience, only seeing basic, non-targeted adverts, or they “allow” their data to be monetised. It’s a win-win situation for the media as either way there is an income stream. This must be the objective given falling advertising revenue and could prove to be expensive for users who regularly consume media from many outlets.
Whilst this is not a new development as around 80% of German news websites already now adopt this model, the speed in which it has been adopted in the UK is surprising. In March 2024, the Information Commissioner’s Office (ICO), the UK’s independent regulator for data protection, called for views on the model indicating that “in principle, data protection law does not prohibit [such] business models”. They said “any organisation considering such a model must be careful to ensure that consent to processing of personal information for personalised advertising has been freely given and is fully informed, as well as capable of being withdrawn without detriment”. On the subject of fees, the ICO also said “should be set so as to provide people with a realistic choice between the options, with the provider capable of providing objective justification of the appropriateness of the level”.
Given the ICO’s position so far, there is little standing in the way of the new model at the moment but it is worth noting that the ICO also emphasised their “emerging thinking” … “should not be interpreted as confirmation that such an approach is legally compliant”. The consultation closed on 17 April 2024.
Managing associate Louise Prince said:
“The consent or pay model illustrates that privacy can sometimes come at a cost. It will be interesting to see the ICO’s upcoming guidance on cookies and similar technologies following the call for views, and what the EU has to say from a legal perspective. This may not be the end of the story and other websites may proceed with caution opting to wait and see what happens next both in the UK and Europe before implementing this significant change.”
The ICO’s call for views on the “consent or pay” business model can be found here: Call for views on “consent or pay” business models | ICO