The Cookie Law Explained

The Cookie Law is a piece of privacy legislation that requires websites to obtain consent from visitors to store or retrieve any information on a computer or any other web connected device, like a smartphone or tablet.

It has been designed to protect online privacy, by making consumers aware of how information about them is collected by websites, and enable them to choose whether or not they want to allow it to take place.

It started as an EU Directive that was adopted by all EU countries in May 2011. In the UK it was brought into law by an update of the Privacy and Electronic Communications Regulations.   Although each EU country has its own approach and interpretation, the basic requirements are very similar across all EU members. 

If you are based in the EU and own a website, or your site is outside the EU but targeted towards EU citizens, you are now expected to comply with the law.

Why 'Cookie Law'?

Almost all websites use a data storage mechanism known as a cookie.  Cookies store bits of information in peoples' web browsers when they visit a site, and then send the data back to it again.

There are other technologies, like Flash and HTML5 Local Storage that do similar things, and these are also covered by the legislation, but as cookies are the most common technology in use, it has become known as the Cookie Law.

However it is important to note that when we talk generally about cookies in context of the law, we are also talking about all of the similar technologies that perform the same function.

Cookies are used in many different ways on the web, the vast majority of them beneficial to visitors.  They act a bit like a form of memory for web pages, and help to personalise a users web experience.

This includes tracking people across the sites they visit, and using this information to display more targeted advertising. Some people are not comfortable about this happening without their permission.

What it Means for You

Almost all websites use cookies and similar technologies.  Especially company websites, e-commerce sites, and any sites that carry advertising.

If your business has a website, you will almost certainly need to make changes to it to comply with the law.

If you don't you risk losing the trust of your customers, especially if more and more of your competitors are changing their sites to comply.

You also face the possibility of enforcement action from The Information Commissioners' Office (ICO), the UK regulator responsible for the cookies law.

The ICO has powers which can include a fine of up to half a million pounds. Although they won't issue fines except in serious cases, they can still force you to change your website to comply with the law.

What You Need To Do

All the guidance or advice you can find comes down to three basic steps:

The Cookie Collective can provide you with all the tools you need to become compliant.
 

What are Cookies For?

Cookies are used by almost all websites as a kind of memory.  They are stored in your browser and enable a site to 'remember' little bits of information between pages or visits.

They are mostly used to make the web experience better, like automatically logging you in to a site on return visits, or remembering settings like text size.  Most websites also use some kind of visitor tracking, like Google Analytics, to measure site performance, and this will also use cookies in most cases.

However some cookies are used to collect data across websites and display content and advertising based on user profiles created with this data. This 'behavioural advertising' use of cookies is something the EU particularly wants to raise awareness of with the new law.

By requiring websites to inform and obtain explicit consent for cookies it aims to give web users more control over their online privacy.  At the same time this also helps to improve consumer trust, which research shows increases the use of online services, and improved the digital economy.

To find out lots more about cookies in general and the different types, take a look at Cookiepedia - a new information resource we have built all about cookies.