Rhinehart Studio

The Weekly Brief · Issue #1 · 26 October 2026

Hidden fees, look-alike search ads, and ads someone else made for you

Sources checked: ICO news and enforcement, ASA rulings, CMA, HMRC, Companies House, HM Treasury, DBT, OPSS and Insolvency Service news on GOV.UK (19–26 October 2026); FTC press releases, California Privacy Protection Agency and Texas Attorney General news (October 2026)

Welcome to issue #1 of the UK Small Business Compliance & AI-Ads Brief. From this week the Brief has a US section too, for readers who sell to American customers or run a US business. UK items cover the past week. Because this is our first US section, it also catches up on the rest of October. Every item has a one-line TLDR, a link to the original source, and one thing to do this week. This is general information, not legal advice. If something affects you, read the source.

UK

1. Before the Budget: a red-tape package for small firms, tariff relief and local AI money

TLDR: HM Treasury says businesses will save almost £800 million a year from a package of measures. These include clearer, small business-friendly compliance guidance, simpler corporate reporting, a way for small businesses to report disproportionate regulations, and extending import tariff suspensions on more than 250 products until December 2028. The full detail of the admin savings is due on GOV.UK on 28 October, and a window to comment on tariff suspensions opens from 11 November to 3 February. Separately, the Chancellor's AI package includes £30 million for local AI partnerships with Mayoral Strategic Authorities, which are meant to support local businesses, including SMEs, and give workers AI skills.

Do this week: If you import goods, note the 11 November to 3 February window and check on GOV.UK whether your products are covered by a tariff suspension. Don't change any plans until the detail is published (28 October) and the Budget is out. No application details for the local AI partnerships have been published yet.

Sources: HM Treasury, "Government slashes red tape and tariffs to give businesses breathing space", 23 October 2026 · HM Treasury, "Chancellor unveils Britain's ambitious plan for AI", 24 October 2026

2. CMA wants to hear from Microsoft's business customers by 13 November

TLDR: The CMA is proposing to designate Microsoft with "strategic market status" in business software, covering products such as Word, Excel, Outlook, PowerPoint, Teams and, increasingly, Copilot, as well as its security, server and operating system products. It says over a million UK businesses and public bodies use this software. Areas it may look at include whether customers can freely choose AI tools other than Copilot, how Microsoft bundles its security products, and how licensing affects which cloud you can run your software on. The findings are provisional and the CMA says designation does not assume wrongdoing. The consultation closes at 5pm on 13 November 2026, and a final decision is due by 13 February 2027.

Do this week: Nothing changes for your licences now. If you have struggled with Microsoft licensing on another cloud, with switching away from a Microsoft product, or with using a non-Microsoft AI tool alongside it, you can send the CMA a short account of what happened. Email business.software.sms@cma.gov.uk before 5pm on 13 November.

Sources: CMA, "CMA takes first steps to ensure choice in business software", 16 October 2026 · CMA, "Proposed decision: SMS investigation into Microsoft's business software ecosystem", 16 October 2026

3. ASA: "a third party made the ad" didn't help

TLDR: The ASA upheld a complaint against an in-game ad for the mobile game Last Light: Rebirth. It found the ad objectified and sexualised a female character, made light of removing her clothing without consent, and condoned violence. The advertiser said outside advertising companies had made and run the ad from artwork it supplied, and that it had since ended that arrangement. The ruling was still made against the advertiser, which was told the ad must not appear again.

Do this week: If an agency, affiliate, freelancer or AI tool makes ads in your name, nothing should go live until someone at your business has seen it. Write that into your agreements. Keep a list of every account that is allowed to run ads for you, and know how to pull an ad quickly if someone complains.

Source: ASA ruling on Bingchuan Network (Hong Kong) Co Ltd t/a Last Light: Rebirth, 21 October 2026

US

4. FTC sues over look-alike search ads, low "from" prices and fake reviews

TLDR: The FTC has sued GovAssist LLC, Entry LLC and their owner. It alleges they used paid Google search ads for searches like "passport renewal" to send people to sites that appeared to be, or to be linked to, the US government. It also alleges they advertised services "starting at $89" when the lowest price was $119 plus a $29 shipping fee, promised expedited timelines faster than the State Department's own fastest service, and showed an "excellent rating" built on fake positive reviews. These are allegations, and a court will decide the case.

Do this week: Open your own search ads and their landing pages. Can a real customer actually buy at the "from" price you show, with any compulsory shipping or fees made clear? Is there anything (names, logos, wording) that could make people think you are an official body or a brand you aren't? Is every star rating or review badge based on genuine reviews you haven't filtered?

Source: FTC, "FTC Sues Perpetrators of Government Impersonation Scheme Over Deceptive Ads, Misleading Promises and Fake Reviews", October 22, 2026

5. The price in the ad should be the price at checkout: Lens.com and Greenway

TLDR: On October 2, the FTC and the Utah and Nevada Attorneys General sued contact lens retailer Lens.com. They allege it advertised low prices in Google search ads and on its site, then added a mandatory "Taxes & fees" charge at checkout that often doubled the price. They say that line was placed below the visible part of the screen, and that the "taxes" label misleads because many states don't charge sales tax on contact lenses. They also allege its auto-refill subscription didn't clearly explain the fees or how to cancel. These are allegations. Separately, on October 8, car dealership group Greenway Auto Group settled with the FTC and agreed that its price ads will prominently show the actual price, excluding only charges the government requires. The FTC alleged Greenway charged more than $3,350 above the advertised price on average, in over 92% of sales.

Do this week: Add every mandatory fee (service, handling, "admin", "processing") to the price you advertise, in ads and on product pages. Only call something "tax" if it really is a tax. If you sell subscriptions, show the recurring price, when it renews and how to cancel before you take card details.

Sources: FTC, "FTC, States Sue Lens.com for Misrepresenting the Price of Contact Lenses in Search Ads and on Its Website", October 2, 2026 · FTC, "FTC Secures Settlement with Auto Dealership Group in Price Transparency Win for Consumers", October 8, 2026

6. Texas settles with Temu over data and product safety

TLDR: The Texas Attorney General announced a settlement with Temu (PDD Holdings and WhaleCo), following a lawsuit filed in February 2026 that claimed Temu deceived consumers by exposing Texans' personal data. Temu will pay $3 million to Texas. It must store Texans' personal data on American-owned and controlled servers in the US, restrict access from China except for essential business functions, and run annual independent product safety tests. If a product is confirmed to contain harmful substances, Temu must remove it, terminate the seller and its affiliated stores, notify affected Texas customers and give full refunds.

Do this week: Check that what your privacy policy says about where customer data is stored and who can access it matches what your hosting, email and app providers actually do. State attorneys general can treat a gap between the two as deception. If you sell through marketplaces, keep your product safety and test documents where you can find them quickly.

Source: Texas Attorney General, "Attorney General Paxton Secures First-of-Its-Kind Settlement with Temu to Protect Texans' Data from the CCP and to Protect Consumers from Toxic Products from China", October 16, 2026

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General information, not legal advice. Corrections: hello@rhinehartstudio.com.