What your trade business needs to know about PECR regulations

PECR Regulations, officially termed the Privacy and Electronic Communications Regulations, are there to protect people. They are designed to protect consumers from unwanted electronic communications such as email marketing.

Whatever your trade business, you’re sure to do some things online. If you contact customers and prospects electronically to win business then that’s when certain rules apply.

The Information Commissioner’s Office (ICO) is responsible for applying PECR to protect consumers.

It is important to get to grips with the regulations, because the ICO can apply hefty fines for businesses that break the rules.

What are the PECR regulations?

Data protection is a big issue that the government takes seriously.

It uses legislation like the PECR data protection to crack down on nuisance calls and emails as well as scams and hackers.

From January to October 2023, the ICO received over 8,600 complaints that fell under PECR rules. That’s nearly 900 complaints a month on average.

As you can see, it is a problem that businesses have to take seriously.

PECR regulations apply when you:

• Make marketing phone calls, emails or texts
• Use cookies (cookies automatically download to your computer from websites you visit)

This covers pretty much anything you send digitally promoting your business.

It also covers:

• The use of geographic location data collected in electronic marketing

Under PECR, it is illegal to use automated recorded messages to advertise and market your trade business without permission from the person you are contacting.

What’s the difference between GDPR and PECR?

PECR sits alongside the General Data Protection Regulation (GDPR) and the Data Protection Act.

In general:

• GDPR applies when you are handling and processing someone’s personal data
• PECR compliance can apply to your business even if you aren’t handling customer data

Some exemptions to PECR apply to businesses. These are mainly to do with how you use cookies. For example, if the cookie is only needed to send the electronic communication then it should be allowable under PECR regulations.

So, as well as getting a customer’s permission to send them electronic marketing materials, you also need to protect your customers’ data.

Our handy free data protection checklist will help you ensure your trade business is compliant.

How do I comply with PECR?

As with GDPR, you need to look closely at how you communicate electronically with your customers.

One of the main ways to be PECR compliant is to make sure people consent to receive marketing information from you electronically. As we’ve said, you’re not allowed to rely on people ‘opting out’ of receiving your marketing messages.

You can achieve PECR compliance by:

• Telling people that your business uses cookies, what they are for and getting their permission to store your cookies on their devices
• Making it very clear that consent is required for you to send them marketing material
• Ensuring consent covers all types of electronic marketing that you want to send
• Making sure people have to take a positive step to consent – called an opt-in – such as ticking a box

You should also:

• Keep records of the consent
• Make it easy for people to withdraw their consent by including a clear ‘opt-out’ choice every time you send a marketing message
• Make sure consent isn’t a condition of you providing people with a service

What is the maximum fine under PECR?

The government takes data protection very seriously.

Penalties for breaking PECR compliance rules include criminal prosecution. The ICO can also carry out an audit of your business.

Your business and its directors could be fined as much as £500,000 if you are found to be in breach of regulations.

Business compliance is about more than PECR

Meeting rules and regulations for running your business extends beyond PECR compliance. Data compliance is just one of the areas you need to be aware of.

Putting in place effective small business compliance can help you:

• Win more customers
• Make more profit
• Reduce your business expenses

Why not get to grips with our introduction to the different types of compliance that could affect your trade business?

FAQs

What does PECR do?

The PECR protect people from unsolicited electronic marketing, such as emails, texts and calls.

Does PECR apply to all businesses?

Generally, yes. But there can be exceptions.

Does PECR apply to individuals?

Yes, if they send electronic marketing communications to people. Whether you’re a business or an individual, you need to obtain consent from people before sending them electronic marketing messages.

What are the exemptions for PECR?

There are only two exceptions for PECR regulations. Neither of these are likely to apply to your trade business – being in the case of national security, or a law and crime exemption.

Content disclaimer: This content has been created for general information purposes and should not be taken as formal advice. Read our full disclaimer here.