Crackdown on cold call companies unveiled by Government with threats of £500k fines

COMPANIES which cause distress through cold-calling and nuisance texts could be fined up to £500,000 under tough new regulations.

Cold call companies could face up to £500k fines GETTY

Cold call companies could face up to £500k fines

For far too long companies have bombarded people with unwanted marketing calls and texts, and escaped punishment because they did not cause enough harm

Digital economy minister Ed Vaizey

The move comes after tens of thousands of complaints about cold calling by firms harassing members of the public at all hours of the day. 

The current law branded a "licence for spammers and scammers" requires the Information Commissioner's Office (ICO) to prove that unwanted messages cause a "substantial damage or substantial distress" before action is taken against those responsible.

But from April 6, that legal requirement is to be removed and instead ICO will be able to respond immediately and target board-level executives behind the firms responsible. 

More than 175,000 complaints were made to the ICO last year about nuisance calls and text messages. 

Digital economy minister Ed Vaizey said: “For far too long companies have bombarded people with unwanted marketing calls and texts, and escaped punishment because they did not cause enough harm.

"This change will make it easier for the ICO to take action against offenders and send a clear message to others that harassing consumers with nuisance calls or texts is just not on."

In a speech earlier this month information commissioner Christopher Graham branded the current law "a licence for spammers and scammers" and called for more powers to tackle the problem.

Speaking to the Alzheimer's Society, Mr Graham said: "The elderly and vulnerable are particularly at risk and this can only add to the worries of those who care for them. 

"The Government need to lay the order, change the law and bring in a reform that would make a real difference."

Launching a six-week consultation last October on the proposed removal of the "substantial distress" threshold, Culture Secretary Sajid Javid said: "Companies have bombarded people with unwanted marketing calls and texts, but have escaped punishment because they did not cause enough harm.

"Being called day after day may not be 'substantially distressing', but that doesn't make it acceptable.

"I want to make it easier for companies to face the consequences of ignoring the law and subjecting us to calls or texts we have said we don't want."

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