Cookie consent exemptions for affiliate reward websites 

If you run an affiliate reward website, cashback platform, or loyalty programme, there's good news about your cookie compliance obligations. The UK Information Commissioner's Office (ICO) has introduced an exemption that could significantly simplify how you manage cookie consent on your site under the strict Privacy and Electronic Communications Regulations (PECR) rules. 

If you need clarification on your cookie classification, consent requirements and PECR, or you if are unsure about how this exemption impacts you, our data protection solicitors can help. 

Why does this matter to your business? 

Until now, you've had to obtain user consent for virtually all cookies under PECR rules. This created challenges if you operate an affiliate reward site, where cookies are essential for tracking user activity and delivering rewards. 

The official ICO guidance now recognises that certain cookies used by your reward service may qualify as "strictly necessary" if they meet specific conditions. This means you might not need to get explicit consent for these cookies. 

To qualify for this exemption, you'll need to ensure: 

• Your cookies are essential for delivering the reward service 

• Users have explicitly signed up for cashback or rewards 

• You're not using these cookies for secondary purposes like analytics or marketing 

• You've assessed your arrangements with third-party partners 

What benefits could you see? 

This guidance is promising for businesses that meet the exemption criteria. It could help reduce your compliance burden, potentially improve user experiences by removing the need for disruptive consent banners and could even potentially increase conversion rates and streamline your reward tracking process. The Affiliate & Partner Marketing Association has welcomed these developments for the industry.  

Cookie law rules are complex, and you could face significant penalties if you get this wrong. Becky White, our Senior Data Protection solicitor emphasises: 

This exemption represents a significant opportunity for your affiliate reward business to streamline operations while maintaining compliance. However, you'll need to carefully assess your specific circumstances. We recommend conducting a thorough audit of your cookie practices, documenting your justification for using the exemption, and regularly reviewing your processes. Even if you qualify for the exemption, maintaining transparency about your data practices builds trust with your users and supports long-term compliance.

What should you do next? 

The upcoming Data (Use and Access) Bill proposes further changes to cookie law rules, so it's important to stay informed about how these developments could affect your business operations. 

If you're unsure whether your site qualifies for this exemption, don't take unnecessary risks. Our data protection team can help you assess your eligibility and implement appropriate measures to protect your business.