#MadAdBanPlan
The Government wants to ban your local chippy from tweeting about its food - and nobody is talking about it.
Join The Campaign
In November 2020, the Government unveiled plans for a total ban on all online advertising of so-called ‘junk food’.
It would include family favourites from sausage rolls and fish fingers to mustard and marmite.
If implemented, it would cover all social media, all commercial websites, personal business websites, emails and text messages.
The Adam Smith Institute has consistently opposed this and similar advertising crackdowns. They hurt consumers, burden British businesses and do nothing to reduce the UK’s obesity rate.
Support the ASI’s Opposition to the Ad Ban Plan:
The ASI depends on generous donations to bring attention to and oppose bad public policies like the Government’s ad ban plan.
There are a number of compelling reasons to oppose the mad ad ban plan:
It hurts consumers.
We might find some online ads annoying, but they benefit consumers in important ways. Have you ever found out about a local restaurant or takeaway online? Or perhaps ordered a cake from a local bakery you came across on Facebook? Advertising saves us time and reduces the "search costs" of finding new places to eat or drink. There's also compelling evidence that advertising tends to reduce prices, boost competition and increase product quality.
The Government’s Impact Assessment fails to mention any of these costs to consumers. They simply haven’t thought this through.
It burdens British businesses—at the worst possible time.
The proposed ban will have huge ramifications for the food and advertising industries. This is particularly true for small businesses that increasingly rely on online ads and are facing huge pressures from the Covid-19 pandemic.
Research from the Internet Advertising Bureau found 69% of SMEs use online advertising (both free and paid). Of that, 64% believe digital advertising is now more important to the future of their business in recovering from the pandemic.
Up to 45% of the UK’s total digital ad spend comes from SME spend, coming in at over £7bn in 2019.
There were approximately 7,130 SMEs in the food and drink sector with turnover of around £21 billion and 135,000 employees in 2019. In the food sector (excluding beverages) SMEs accounted for 79% of businesses, 27% of employment and 17% of turnover.
It’s poorly targeted.
The Government's definition of 'junk food' used for the proposed ban is laughable.
Numerous everyday foods would be caught by the ban: everything from jam and yoghurt to Cornish pasties and mustard. Takeaways would be unable to post images of their food online. Small, independent coffee shops would also be prevented from using social media to show off their products.
The proposals are also in direct opposition to the Government’s own strategy. DEFRA’s “Food is Great” campaign promotes British salmon, cream tea and whisky, all of which would not be able to be advertised online under current proposals.
Further, it flies in the face of the Government’s regional ‘levelling up’ agenda. Not only will established classics from Scotland’s Walker’s shortbread to Birmingham’s Cadbury be affected. Smaller, independent producers, from Kent to the North East will see their outreach curbed. Even London’s famous greasy spoons will not be able to advertise their Full English online.
It won’t work.
The Government’s own evidence estimates the ad ban will reduce children’s calorie consumption by just 2.8 calories per day—it's likely to be even less.
The review that the Government’s calculations are based on - Viner et. al (2019) - does not contain any studies that simulate a realistic environment in which children are exposed to ‘junk food’ advertisements. In all of the 11 studies included, children were allowed to consume an unlimited quantity of food at no cost and none featured parental supervision.
As for adults, adverts do not brainwash us into buying things we would not want otherwise. Decades of economic research instead points to the conclusion that advertising influences our choice of brand within a particular product category. In other words, seeing a YouTube ad for McDonalds doesn’t magically force us to order a Big Mac—it encourages us to choose McDonald’s over Burger King or KFC next time we want a burger and chips.
What can we do about it?
The Government thinks that everyone is perfectly happy for them to ruin their local restaurants, pubs and cafés. That’s where you come in. We need to spread the word. You can take action against the ad ban by:
“In the line of fire are exactly the people the Tories claim to support: the farmer selling honey from his own bees; the mom-and-pop cafe... All would be banned from promoting their wares online.”
— Adam Smith Institute (@ASI) December 16, 2020
Our @morgandelmeier in @timesredbox: https://t.co/arWXhnaOab
ASI Senior Fellow Tim Ambler unpicks the flaws in the Government's proposed #MadAdBanPlan in his newest blog. Tim notes that 'junk food' is poorly defined and advertising plays little role in increasing caloric intake. It is time to #ScrapTheAdBanhttps://t.co/kfbcYteXXw
— Adam Smith Institute (@ASI) December 10, 2020
“The Government’s own estimates say the ad ban will reduce children’s calorie consumption by just 2.8 calories per day.”
— Matthew Lesh (@matthewlesh) December 7, 2020
My latest for @CapX https://t.co/ex4dKAiYlD
“The Government’s barmy ad ban plan doesn’t cut the mustard. Well, technically it does.”
— Adam Smith Institute (@ASI) August 17, 2020
Our @DanielPryorr fumes in @TheSun: https://t.co/AOheFzuCns
#MadAdBanPlan is far reaching and based on flimsy evidence. Debate is needed on impact of proposals the consultation comes up with. Good to hear @Jacob_Rees_Mogg in response to @mark4dewsbury say after a year of restrictions we should be doing all we can to help small business pic.twitter.com/F6M95Pi2Nu
— Adam Smith Institute (@ASI) December 10, 2020
"Not only is a 2.8 calorie reduction pathetic, the ASI’s Matthew Lesh points out even this is likely to be an exaggeration."
— Adam Smith Institute (@ASI) December 9, 2020
Our #ScrapTheAdBan features on @GuidoFawkes:https://t.co/7PxQ3LwzVo
Many may find online ads annoying. But advertising benefits consumers in important ways. Have you ever found out about a local restaurant or takeaway online? Or perhaps ordered a cake from a local bakery you came across on Facebook? https://t.co/u0QodvVyEn
— CapX (@CapX) December 7, 2020