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Rules and ethics

Part of Business licences rules and ethics: a publisher's guide

Advertising rules for business licences: what consultancies must disclose

Check advertising for England business-licensing services, including evidence, scope, comparisons, approval claims and commercial disclosures.

Marketing a licensing service does not make the service responsible for the authority's decision. Claims should describe what the provider can evidence and control. Approval, statutory timing and the legal outcome of an individual case sit elsewhere.

What to take away

  • Qualify claims by activity, service stage and geography rather than implying one search finds every permission.
  • Disclose paid placement, referral fees, sponsorship, ownership and free access next to the recommendation.
  • Keep a claim ledger recording wording, channel, evidence, owner, approval date and review trigger.

1. Hold evidence before making the claim

The Advertising Standards Authority's CAP Code section on misleading advertising includes rule 3.1 on misleading impressions, rule 3.3 on material omissions and rule 3.7 on holding evidence for objective claims. Keep the evidence file before publishing claims about speed, savings, success, coverage or superiority.

Evidence Before Claiming

  • Keep evidence file before publishing
  • Substantiate speed, savings, success claims
  • Don't present internal turnaround as council time
  • Client example is not a guarantee

A supplier's internal turnaround can be measured. Do not present it as the council's processing time. A client example must not become a general guarantee.

2. Qualify activity and geography

The Department for Business and Trade's Find a licence service uses activity and nation filters and warns that the catalogue may be incomplete. Marketing should therefore avoid claims that one search finds every permission. State which activities, service stages and places the offer covers.

For example, a premises licence under the Licensing Act 2003 is issued by an English licensing authority such as Leeds City Council, not by a search tool.

Do not hide a decisive limitation in terms that the reader sees only after purchase.

3. Explain what the customer receives

Department for Business and Trade guidance on dealing with licences and regulations encourages founders to identify requirements and responsible authorities. A commercial provider can document how it assists that work. It should distinguish information, administration and professional advice, with no suggestion of government endorsement.

4. Compare on a stated basis

Use the same dated scenario and criteria for every provider. Separate desk research from hands-on testing. If price, response or feature information is unknown, label it unknown rather than assigning a poor score. Recheck first-party pages for every named service.

5. Disclose influence near the recommendation

Paid placement, referral fees, sponsorship, ownership and free access can affect how content is understood. Put the relevant disclosure next to the list or comparison. Do not describe a sponsored position as an independent winner.

Example paid placement wording: 'This is a paid placement. We receive payment from the provider for this position and it is not an independent ranking.'

Example referral fee wording: 'We may receive a referral fee if you buy through this link. This does not change the price you pay.'

6. Review contract-linked promises

Sales copy and supplier terms must describe the same service. The Unfair Contract Terms Act 1977 is a primary legislative record relevant to some liability restrictions, but the effectiveness of a clause depends on its context. Seek legal review of material promises, exclusions and caps.

7. Keep a claim ledger

Give each material statement a row containing its exact wording, channel, evidence, owner, approval date and review trigger. A speed claim needs defined start and finish points, a sample period and exclusions. A savings claim needs the counterfactual and calculation. A coverage claim needs a current list of activities or areas actually served.

8. Consequences of non-compliance

An ASA upheld ruling is published and the advertiser must withdraw or amend the ad. The ASA can issue an ad alert and refer persistent offenders to Trading Standards. Consumer protection law also applies. The Consumer Protection from Unfair Trading Regulations 2008 prohibit misleading actions and omissions.

The CMA and Trading Standards can enforce, and the Digital Markets, Competition and Consumers Act 2024 introduces new direct enforcement powers for the CMA for unfair commercial practices.

Before you act

  • State which activities, stages and places the offer covers.
  • Distinguish information, administration and professional advice.
  • Label unknown price or feature information as unknown.
  • Place disclosures next to the list or comparison.
  • Record wording, owner and review trigger for each claim.

Common questions

What must a provider hold before publishing claims about speed or savings?

A supplier's internal turnaround is not the council's processing time.

How should a provider handle price or feature information it does not know?

Label unknown price or feature information as unknown.

Why does a website qualification not fix an unqualified advert?

Review all channels together. A website qualification does not correct an unqualified advert.

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