Loan company banned from encouraging borrowing for Brexit stockpiling
The Advertising Standards Agency have banned Peachy from using Brexit to promote taking out a loan. - Credit: Archant
An ad for a high-cost loan which used uncertainty around Brexit to encourage consumers to stockpile food has been banned for being socially irresponsible.
A January 24 email from Cash On Go, trading as Peachy.co.uk, a financial services company specialising in short-term loans, stated: 'No one really knows what's going on with this whole Brexit malarkey... and some say it could affect the amount of food available...
'We do not want to believe that Brexit will impact the amount of food available but it's still a good idea to have a little stockpile ready. That way you're always prepared for the worst.'
Bold text stated 'In case of emergency press here,' and offered a promotional discount.
A reader complained that the ad irresponsibly encouraged people to take out a loan by playing on their fears.
You may also want to watch:
Peachy said the ad referred to Brexit to make it topical and to reflect some situations where people might find it difficult to fully prepare for unexpected scenarios.
It believed the mention of Brexit was made in a light-hearted manner to avoid causing any actual concerns.
Most Read
- 1 Jacob Rees-Mogg claims fish captured after Brexit deal came into effect were 'British and happier for it'
- 2 Matt Hancock praises free school meals before being reminded he voted against them
- 3 The greatest failure of government in our lifetime
- 4 Katie Hopkins joins UKIP in time for leadership contest
- 5 Brexiteer MP ridiculed after calling for free movement of goods between GB and NI
- 6 Spokesman indicates Boris Johnson has not read Brexit trade deal text
- 7 Michel Barnier tells Britain Brexit red tape is here 'for good'
- 8 What Remainers should have done differently
- 9 Britons hit with £1,700 increase on country's two most popular cars due to Brexit
- 10 Liz Truss told to 'do better' after speaker tells trade ministers to end 'political games' in Commons
The lender said they would not use the ad again and would ensure they 'considered public sensitivities more thoroughly'.
The Advertising Standards Authority (ASA) said the ad was likely to put emotional pressure on readers to the effect that it was sensible to go further than they would otherwise have been able to afford by taking out a loan, and that, if they did not, they risked being unable to feed themselves or their families.
The ASA said: 'We considered that the ad's references to possible food shortages and the stockpiling of food were likely to play on some people's concerns regarding Brexit, including financially vulnerable consumers who were already struggling or worrying about their financial situation.
'We therefore concluded that the ad was irresponsible.'
The ASA ruled that the ad must not appear again in its current form, adding: 'We told Peachy to ensure future ads did not send an irresponsible message about debt to readers by, for example, putting emotional pressure on them to take out a short-term loan.'
Become a Supporter
The New European is proud of its journalism and we hope you are proud of it too. We believe our voice is important - both in representing the pro-EU perspective and also to help rebalance the right wing extremes of much of the UK national press. If you value what we are doing, you can help us by making a contribution to the cost of our journalism.
