Google Taking Steps Against Financial Fraud In UK

Google has announced new measures to protect users and advertisers against fraud and scammers in the U.K.

Beginning in September, financial service advertisers will be required to show they are authorized by Britain’s Financial Conduct Authority (FCA) or that they qualify for one of the exemptions listed on the UK Financial Services verification page.

“Today’s announcement reflects significant progress in delivering a safer experience for users, publishers and advertisers,” the company said in its announcement. “While we understand that this policy update will impact a range of advertisers in the financial services space, our utmost priority is to keep users safe on our platforms — particularly in an area so disproportionately targeted by fraudsters.”

Google said it will update its policy on Aug. 30 and begin enforcing it on Sept. 6. Advertisers must complete the updated verification process by then if they want to show financial service ads to U.K. users. The requirement applies to products that are regulated and not regulated by the FCA.

According to the tech giant, this move is part of a larger effort to combat financial crime in the U.K. As PYMNTS reported in March, financial fraud was common during the pandemic, with some critics accusing Google of benefiting from the fraud by allowing people selling fake schemes to buy their ad space. Google has responded that it works to take down scams as they appear.

The company said it has worked with the FCA for the past 18 months to get notifications of new additions to the authority’s warning list, and has updated its unreliable claims policy based on FCA feedback.

According to Google, this update restricts the rate of return a firm can advertise, and also bans terms that make “unrealistic promises of large financial return with minimal risk, effort or investment.” There’s also a new advertiser identity verification tool that requires businesses to prove who they are and the country where they operate.