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Privacy Policy and Cookies

BusinessLast reviewed: 1 April 20255 min

If your business has a website that collects any personal data — including via analytics, contact forms, or simply cookies — you need compliant privacy and cookie notices. Getting these wrong can attract ICO enforcement and damage customer trust.

Important

The ICO has investigated and fined organisations of all sizes for cookie non-compliance. "Accept All" buttons without an equally prominent "Reject All" option are specifically highlighted as unlawful.

Key points

  • Every website that collects personal data must have a privacy policy that is clear, accessible, and up to date.
  • UK GDPR requires specific information in privacy notices — including what data you collect, why, and for how long.
  • Cookies that are not strictly necessary require prior, informed consent from the user before being set.
  • Strictly necessary cookies (e.g. session cookies) do not require consent, but you must still inform users about them.
  • Analytics cookies (such as Google Analytics) are not strictly necessary and require consent under PECR.
  • Cookie consent tools (CMPs) must not use dark patterns to push users towards accepting all cookies.

What Must a Privacy Notice Include?

Under UK GDPR, your privacy notice must be written in clear, plain language and must include (at minimum):

  • Identity and contact details of the data controller (your business) and, if applicable, your Data Protection Officer
  • What personal data you collect (name, email, IP address, payment details etc.)
  • Why you collect it — the purposes of processing
  • Your lawful basis for each processing activity
  • How long you retain personal data (or the criteria used to determine retention periods)
  • Who you share data with — third parties, including analytics providers, payment processors, and marketing platforms
  • Whether data is transferred outside the UK and the safeguards in place
  • The rights of individuals and how to exercise them
  • How to make a complaint to the ICO

Your privacy notice should be prominently linked from the footer of your website and from any forms that collect personal data. Keep it updated whenever your data processing practices change.

Cookie Law and PECR

The use of cookies and similar tracking technologies is regulated by the Privacy and Electronic Communications Regulations 2003 (PECR), which implements the EU ePrivacy Directive in the UK. Under PECR:

  • Strictly necessary cookies (required for the website to function — e.g. session cookies, shopping cart cookies) may be set without consent, but users must be informed about them
  • All other cookies — including analytics, advertising, personalisation, and social media tracking cookies — require the user's prior, informed consent before they are set

This means analytics tools like Google Analytics 4, Meta Pixel, and LinkedIn Insight Tag cannot be loaded until the user has actively consented. Consent must be:

  • Freely given — not obtained through a design that makes refusal harder than acceptance
  • Specific — granular options (e.g. accept analytics cookies separately from marketing cookies)
  • Informed — users must know what cookies do before they consent
  • Unambiguous — a pre-ticked box does not constitute valid consent

ICO Enforcement of Cookie Rules

The ICO actively monitors and enforces cookie compliance, particularly for higher-traffic websites. Common enforcement approaches include:

  • Warning letters and informal complaints guidance for smaller organisations
  • Formal reprimands (which are published publicly)
  • Fines — the ICO has fined organisations for serious cookie non-compliance, particularly where large numbers of users were affected

The ICO's published guidance makes clear that common non-compliant practices — such as setting analytics cookies by default, providing only an "Accept All" button, or burying the opt-out in settings — are unlawful. Even small websites can receive complaints from users, which the ICO is obliged to investigate.

Regularly audit your website's cookies (a free tool such as Cookiebot's scanner can help) and ensure your CMP reflects the actual cookies being set. Many websites set more cookies than their owners realise, particularly when using third-party plugins.

Frequently asked questions

Do I need a cookie banner if my website only uses one analytics cookie?
Yes. Analytics cookies (including Google Analytics) are not strictly necessary for the website to function and therefore require prior consent under PECR. Even a single analytics cookie requires a compliant consent mechanism. The exception is if you configure your analytics tool to use only first-party, anonymised data that does not set tracking cookies — some "cookieless analytics" tools operate this way and do not require a consent banner.
Can I use a free privacy policy template from the internet?
Generic templates can be a useful starting point, but a template that does not accurately describe your actual data processing activities is not compliant. Your privacy notice must reflect what your business actually does — the specific data you collect, the tools you use, the third parties you share with, and your actual retention periods. Review any template carefully and adapt it to your specific circumstances. The ICO provides free guidance and example privacy notices.
I run a B2B website. Do I still need a privacy policy?
Yes. Even if your website is aimed at businesses rather than consumers, it almost certainly collects personal data — for example, through contact forms that capture names and email addresses, website analytics that may collect IP addresses, or a LinkedIn or Google remarketing pixel. UK GDPR applies to personal data about individuals, whether or not they are acting in a professional capacity.
How often should I update my privacy policy?
Review your privacy policy at least annually, and update it whenever your data processing practices change — for example, if you start using a new analytics tool, email marketing platform, or CRM system. If you make material changes that affect how you use customers' data, you should proactively notify them (e.g. by email) rather than simply updating the website.
Is a cookie banner legally required?
Yes, if your website uses any non-essential cookies — including analytics, advertising, or social media tracking cookies. The Privacy and Electronic Communications Regulations (PECR) require prior, informed, and freely given consent before non-essential cookies are set. The ICO is clear that pre-ticked boxes and implied consent do not comply. Strictly necessary cookies (for example, session cookies that make a website function) do not require consent.
What must a privacy policy contain?
Under UK GDPR, your privacy notice must include: who you are and your contact details; what personal data you collect and why; the legal basis for each type of processing; how long you keep data; who you share it with; whether data is transferred outside the UK; and the individual's rights (access, rectification, erasure, portability, objection). It must be written in clear, plain language and be easily accessible on your website.

Official bodies and resources

Information Commissioner's Office

Regulator

The UK's independent authority for data protection and information rights, enforcing the UK GDPR and Data Protection Act 2018.

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Disclaimer

This information is for general guidance only and does not constitute legal advice. You should seek qualified legal help if your situation requires it.