• news-banner

    Expert Insights

British Gas at boiling point: ASA rules BOXT breached CAP codes with misleading price comparison claims

On 15 July 2020, the Advertising Standards Agency (“ASA”) published its ruling on BOXT’s advertising campaign following British Gas’ claim that the advert was misleading. Three issues were investigated; one of which was upheld.

On 15 July 2020, the Advertising Standards Agency (“ASA”) published its ruling on BOXT’s advertising campaign following British Gas’ claim that the advert was misleading. Three issues were investigated; one of which was upheld.

On 15 July 2020, the Advertising Standards Agency (“ASA”) published its ruling on BOXT’s advertising campaign following British Gas’ claim that the advert was misleading. Three issues were investigated; one of which was upheld.

The complaint related to two separate adverts: a video on YouTube; and a TV advertisement for the heating company BOXT. The advertisements were published in October and November 2019. 

British Gas challenged both advertisements on the basis that a voiceover in the ads stated:

Listen up, if you’re thinking of replacing your boiler with British Gas, you might want to come a bit closer. BOXT can install your boiler the next day and a boiler from BOXT costs on average … actually you may want to turn the sound up too … £1217 less than the same one from British Gas. BOXT are also rated Britain’s number one heating company on Trustpilot. So don’t buy a new boiler from anyone else until you’ve checked BOXT, you’d be a fool to yourselves. BOXT, faster, cheaper, trustier."

British Gas challenged whether the references to installation and price comparisons in the advert were misleading. A member of the public also challenged whether BOXT’s Trustpilot claim misleadingly implied a comparison against British Gas.

BOXT response and ASA decision

Regarding installation, BOXT said they guaranteed next-day installation if the purchase took place before the cut-off point of 3pm, which was highlighted in the footer of their website home page. They further stated that if their website showed no availability for next-day installation, customers could call them as they had many engineers on standby to ensure customers received next-day installation.

The ASA concluded that whilst next day installation was subject to availability the evidence demonstrated that BOXT had sufficient measures in place to ensure consumers that chose next day installation received it, therefore the claim against BOXT was not upheld.

With regards to pricing claims, BOXT commissioned a third party to carry out market research via a mystery shopping programme. From this, a spreadsheet was created showing an average saving of £1,217.73 compared to British Gas boilers. However, the ASA noted that the spreadsheet only contained one type of boiler and many others had not been included in the comparisons, so the evidence was insufficient to support the claim. They held the claim was misleading and breached CAP codes 3.1 and 3.3 (Misleading advertising), 3.7 (Substantiation), 3.33 (Comparisons with identifiable competitors) and 3.39 (Price comparisons).

In relation to the Trustpilot reviews, it was held that consumers would understand the claim as separate to the comparison claims made against British Gas, as there was no reference to the competitor in that segment of the advertisement. Furthermore, BOXT were the top-rated company under the category of ‘heating services’ on Trustpilot, so the claim was not misleading and not upheld.

As part of the ruling, the ASA warned BOXT that the adverts must not appear again in the form complained of.

Comment

The ASA’s ruling in this case highlights the importance for brands to ensure they do not make comparative pricing claims unless they have sound evidence to support those claims. The threshold of this evidence is considered to be high – as demonstrated in this case, an independent third-party research assessment was considered insufficient.

Divider

For more information, please contact Anna Rogers.

Our thinking

  • Thomas Snider, Reem Faqihi and Dalal Alhouti discuss the impact of technology on the arbitration landscape for Legal Community MENA

    Thomas R. Snider

    In the Press

  • Breaking Barriers: The Tech Revolution in Arbitration

    Thomas R. Snider

    Insights

  • Charles Russell Speechlys grows its rankings in The Legal 500 EMEA directory

    Frédéric Jeannin

    News

  • Forbes quotes Gareth Mills on the US government’s antitrust lawsuit against Apple

    Gareth Mills

    In the Press

  • The Financial Times quotes Nicola Thorpe on the importance of improving digital hygiene in the fight against cyber crime

    Nicola Thorpe

    In the Press

  • Embracing AI's potential in arbitration

    Thomas R. Snider

    Insights

  • Thomas Snider, Patrick Gearon and Dalal Alhouti discuss the impact of AI on international arbitration for Legal Community MENA

    Thomas R. Snider

    In the Press

  • Landmark European AI Act Passed By The European Parliament

    Louise Zafer

    Insights

  • A Modern Marriage: How AI Powered By Blockchain Could Protect IP Rights

    Shennind Awat-Ranai

    Insights

  • Digital assets consultation by the Law Commission

    Cheryl Tham

    Insights

  • Thomas Snider and Dalal Alhouti write for New Law Journal on international arbitration trends

    Thomas R. Snider

    In the Press

  • UK Government AI Regulation Response & Roadmap – Is the Government behind the wheel?

    Mark Bailey

    Insights

  • Charles Russell Speechlys advises the management sellers of Membr on its sale to Xplor Technologies

    Andrew Clarke

    News

  • Fortune quotes Richard Davies on sponsorship deals and the strength of brand/supporter loyalty in football

    Richard Davies

    In the Press

  • Nick White writes an opinion piece for City AM on the EU AI Act

    Nick White

    In the Press

  • Nick White and Olivia Gray write for Law360 on a Supreme Court decision on AI and patents

    Nick White

    In the Press

  • Legal tips and trends for Creative Design Agencies in 2024

    Rebecca Steer

    Insights

  • Charles Russell Speechlys advises Downing LLP on the successful refinancing of its loan facility with Kao Data

    News

  • Kelly Evans and Francesca Heath-Clarke write for People Management on the right to disconnect

    Kelly Evans

    In the Press

  • Charles Russell Speechlys advises Puma Private Equity on its investment into Transreport

    David Coates

    News

Back to top