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Companies not complying with new rules on cookies in information technology law

26th June 2012

However, research by KPMG, the global network of professional services firms providing audit, tax and advisory services, has revealed that four out of five UK businesses have not yet conformed.

The new law introduced four new cookie categories which distinguish what each cookie is doing on the website the user is visiting, in a bid to protect surfer privacy.

According to Stephen Bonner, a partner at KMPG, 40% of businesses had not updated their privacy policies to cope with the changes to IT law, and he was critical of those companies who had adopted a “wait and see” approach.

The Information Commissioner (ICO) will have powers to impose a maximum penalty of £500,000 for the most serious breaches. However, an information technology law specialist has said that although the ICO is unlikely to readily hand out the maximum fines, all websites which handle user information must take steps to engender trust, by openly communicating with their users about the role of cookies.

He added that it was website operators’ duty to educate visitors that the majority of cookies are harmless.

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