Two in five UK children say they bypass online age checks

Nearly two in five UK children aged 11 to 17 say they have successfully bypassed an online age check, according nationally representative research commissioned by the Department for Science, Innovation and Technology (DSIT).

The study surveyed 2,299 children in May 2026 to examine their experiences with age assurance, VPN use and methods of bypassing age checks. It also included an additional sample of recent VPN users.

Overall, 39% said they had successfully bypassed an age check at least once, while another 14% had tried unsuccessfully. Success rates rose from 28% among 11- to 12-year-olds to 43% among older teenagers.

Many children avoided age checks altogether by choosing websites, apps or games that either had no age verification or appeared easy to bypass. Among those who successfully circumvented checks, 63% said they simply pretended to be older, most commonly by entering a false date of birth.

Most successful circumvention involved simple self-declaration systems such as tick boxes and date-of-birth fields, which children also rated as the least effective.

By contrast, 86% of respondents who had encountered government ID verification considered it effective, while third-party identity services, payment card verification and facial age estimation also received substantially higher ratings.

Privacy was the most common reason for using a VPN. However, 22% of VPN users said they had used one to access age-restricted websites, apps or games, equivalent to 7% of all children surveyed.

Parents were involved in some VPN use. Among children who had used one, 22% received help from a parent to set it up, while 43% of current users said a parent paid for the service. However, older teenagers were more likely to install VPNs without parental knowledge.

Friends were the main source of information about bypassing age checks, cited by half of children who had done so. Practical consequences appeared to be the strongest deterrents, including harder-to-defeat checks, permanent account bans, and notifying parents about circumvention attempts.

The report also found an association between bypassing age checks and exposure to harmful content. Among children who had circumvented age checks, 51% reported later encountering at least one form of harmful material, including explicit content, contact from unknown adults and requests for personal information.

The researchers cautioned that the findings rely on self-reported behaviour and do not establish that VPN use or circumvention directly caused exposure to harmful content.

Why does it matter?

The findings suggest that basic self-declaration systems provide limited protection for children and are easily circumvented. As regulators increasingly require stronger age assurance under frameworks such as the UK’s Online Safety Act, the challenge will be deploying systems that are both effective and proportionate while protecting users’ privacy.

The research also highlights that technology alone is unlikely to solve the problem. Children’s motivations, platform design, parental involvement and digital literacy all influence whether age restrictions are respected, suggesting that meaningful online safety will require a combination of technical safeguards, regulation and education.

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UNCTAD launches global consumer product safety framework

UN Trade and Development (UNCTAD) has officially launched the United Nations Principles for Consumer Product Safety, providing countries with the first globally agreed framework to strengthen product safety, improve market surveillance and enhance international cooperation.

The launch took place during a meeting in Geneva attended by more than 400 participants from over 80 countries, where governments, regulators and international organisations discussed emerging challenges in consumer protection, competition policy and digital markets.

The Principles, adopted by the UN General Assembly in December 2025, are intended to help countries respond to increasingly complex global supply chains and the rapid growth of digital marketplaces.

UNCTAD also announced plans to publish a practical Handbook on Consumer Product Safety to support their implementation. Participants stressed that product safety is essential for consumer confidence and that stronger international cooperation is needed as product risks increasingly cross national borders.

Participants also discussed wider consumer protection and competition issues, including the impact of digital markets, cross-border e-commerce and concentrated supply chains.

They called for stronger international cooperation and regulatory frameworks capable of keeping pace with technological change while supporting innovation and consumer trust.

The meeting also launched the Voluntary Peer Review of Argentina’s consumer protection framework, reinforcing UNCTAD’s role in supporting member states through policy advice, technical assistance and the exchange of best practices.

Participants reaffirmed that international dialogue remains essential to ensuring markets remain fair, competitive, and safe during a period of growing global economic uncertainty.

Why does it matter?

The UN Principles for Consumer Product Safety establish a common international reference point for governments seeking to strengthen consumer protection in increasingly global and digital markets. As products are traded through complex international supply chains and online marketplaces, shared principles can help improve market surveillance, regulatory cooperation and consumer confidence.

The initiative also reflects a broader trend towards international coordination on digital commerce and consumer protection. By providing a common framework rather than legally binding rules, the Principles give countries greater guidance while encouraging more consistent approaches to product safety across jurisdictions.

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ECB confirms payment providers for digital euro trial

The European Central Bank has selected 36 payment service providers from across the euro area to take part in a digital euro pilot.

The pilot is due to start in the second half of 2027 and will run for 12 months.

It will test the digital euro’s technical functionality, operational processes and user experience as part of preparatory work for possible future issuance.

The ECB said it received more than 50 applications after opening expressions of interest in March 2026.

Selected participants include banks and non-bank payment service providers, covering a range of business models, sizes and euro area countries.

The pilot will use a beta version of the digital euro that is close to the design foreseen in draft legislation, but it will not have legal tender status.

Some providers will act as distributing PSPs, allowing Eurosystem staff to set up beta digital euro accounts and make payments. Others will act as acquiring PSPs, enabling selected merchants to receive beta digital euro payments.

Testing will take place at the ECB and 19 national central banks across the euro area.

The pilot will include person-to-person and person-to-business payments, both online and offline, as well as in-store and e-commerce transactions.

The ECB said the exercise will help refine the digital euro’s design and user experience before any decision on issuance.

Why does it matter?

The pilot is a significant step in testing how a digital euro could work in practice, especially through banks, payment providers and merchants. It will help the ECB assess technical performance, operational readiness and user experience before any launch decision. The exercise also matters for Europe’s payments sovereignty, as the digital euro is being developed as a public digital payment option alongside private payment services.

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Europe expands tech scaleup funding with ETCI 2.0

The European Investment Bank (EIB) Group, EU governments and private institutional investors have launched the second phase of the European Tech Champions Initiative (ETCI), aiming to mobilise up to €80 billion for Europe’s technology scaleups.

Known as ETCI 2.0, the initiative aims to strengthen Europe’s late-stage investment ecosystem by creating a pan-European platform that helps highly innovative companies scale into global technology leaders. The announcement was made in Brussels on the sidelines of the ECOFIN meeting of EU finance ministers.

The first phase, launched in 2023, backed 15 mega-funds investing in European startups and contributed to the emergence of 12 EU-based unicorns. ETCI 2.0 will expand both the size and scope of the initiative with continued backing from EU governments and new participation from private institutional investors.

The new initiative aims to raise up to €15 billion, around four times the size of the original fund of funds, and is expected to mobilise as much as €80 billion in investment for more than 1,500 European scaleups.

The EIB Group plans to invest up to €1.25 billion into the fund. Final contributions from participating governments and investors are expected to be determined in the second half of 2026 during the initiative’s first closing.

For the first time, ETCI 2.0 will support both European mega-funds and mid-sized growth funds managing more than €300 million in assets. The initiative is expected to anchor more than 100 funds, including up to 45 mega-funds making average investments of around €200 million per company.

Private investors joining the initiative include AltamarCAM, Azimut Holding, Banco Santander, BBVA, Compagnia di San Paolo, Danske Bank and Green Arrow Capital, with more investors expected to join later.

The initiative will also establish a pan-European investment platform providing investors with access to European technology funds, market intelligence and ecosystem insights, supported by a dedicated digital engagement tool.

ETCI 2.0 is designed to complement national and European initiatives, including France’s Tibi initiative, Germany’s WIN initiative and the Scaleup Europe Fund. The EIB said the aim is to build a more federated European investment ecosystem and help European tech companies remain anchored in Europe.

Why does it matter?

Europe has long struggled to provide sufficient late-stage financing for high-growth technology companies, with many scaleups seeking capital from US investors or relocating abroad as they expand. ETCI 2.0 is designed to address that gap by combining public and private investment to strengthen Europe’s own growth capital ecosystem.

The initiative also reflects the EU’s broader push for technological sovereignty and economic competitiveness. By helping innovative companies remain headquartered and financed in Europe, ETCI 2.0 aims to retain strategic technologies, talent and intellectual property while building globally competitive European firms.

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New York City targets junk fees and subscription traps

New York City has introduced two major consumer protection measures targeting hidden charges and difficult subscription cancellations, combining mandatory all-in pricing with new ‘Click-to-Cancel’ requirements.

The Click-to-Cancel rule will take effect on 1 October 2026, making New York City the first municipality to require businesses to offer subscription cancellations that are as simple as sign-up. Companies must clearly disclose subscription terms and provide straightforward cancellation mechanisms, ending practices that rely on confusing procedures or hidden recurring charges. According to the Roosevelt Institute, the rule could save New Yorkers between $21.5 million and $162.5 million each year.

The proposed Junk Fees rule would require businesses to display the full price upfront, including all mandatory charges. Companies would be prohibited from advertising misleading prices and would have to include service and processing fees in advertised prices. Businesses that violate either rule could face consumer restitution and civil penalties starting at $525 per violation.

Consumer Reports estimates that hidden fees cost the average family of four around $3,200 annually. The Department of Consumer and Worker Protection has published guidance explaining the proposed all-in pricing rules, with public consultation remaining open until a hearing on 7 August.

Why does it matter?

The measures reflect a growing regulatory effort to tackle so-called ‘dark patterns’—design practices that make prices harder to understand or subscriptions more difficult to cancel. By requiring transparent pricing and straightforward cancellation, New York City is shifting responsibility from consumers to businesses to ensure commercial practices are fair by design.

The rules could also influence wider consumer protection policy. As many companies operate nationally or globally, local requirements on pricing transparency and subscription management may encourage businesses to adopt similar practices across multiple markets, potentially shaping future regulation in other jurisdictions.

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UK brings major cloud providers under financial oversight

The UK government has designated Microsoft, Google Cloud, Amazon Web Services (AWS) and Oracle as Critical Third Parties (CTPs), bringing the major cloud providers under direct financial regulatory oversight for the first time.

From 13 July 2026, the four companies will come under direct oversight by the Bank of England, the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA), with the aim of strengthening the operational resilience of the UK financial system.

The new regime reflects the financial sector’s growing dependence on cloud infrastructure. Regulators will be able to assess the resilience of critical services, gather operational information and require providers to address risks that could disrupt banking, insurance or financial market infrastructure.

The oversight applies only to services considered systemically important to the financial sector, rather than to the companies’ wider commercial operations.

The UK government described the framework as a proportionate, risk-based approach designed to reduce the likelihood of widespread service disruptions affecting millions of consumers and businesses. It also said additional technology providers could be designated in the future if they meet the statutory threshold for systemic importance.

Microsoft, Google Cloud, AWS and Oracle all welcomed the framework, saying they would comply with the new requirements and continue supporting the resilience of the UK’s financial sector.

Why does it matter?

The designation marks a significant shift in financial regulation by extending direct oversight beyond banks and financial institutions to the technology providers that underpin critical financial services. As cloud infrastructure becomes increasingly central to banking, payments and financial markets, regulators are treating operational resilience as a systemic issue rather than solely a commercial responsibility.

The UK’s approach could also influence regulators in other jurisdictions. As financial institutions become more dependent on a small number of hyperscale cloud providers, governments may increasingly seek direct oversight of technology companies whose services have become essential to the stability of critical sectors.

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ILO and EU deepen cooperation on AI and jobs

The International Labour Organization (ILO) and the European Commission have reaffirmed their strategic partnership, agreeing to strengthen cooperation on social justice, quality jobs and the human-centred governance of AI and digital transformation.

Against a backdrop of geopolitical uncertainty, climate change, demographic shifts and rapid technological change, the two organisations committed to ensuring that global transitions create inclusive labour markets and resilient economies.

Co-chaired by ILO Director-General Gilbert F. Houngbo and European Commission Executive Vice-President Roxana Mînzatu, the meeting agreed on a renewed cooperation agenda building on the 2021 Exchange of Letters between the two institutions.

Both organisations stressed that multilateral cooperation, international labour standards and social dialogue remain essential for addressing the challenges and opportunities created by AI, digitalisation and broader economic transformation.

AI and its impact on the future of work featured prominently in the discussions. Participants agreed that AI governance should remain human-centred, supporting the creation and preservation of decent jobs while strengthening labour market institutions.

The partners also highlighted the importance of international cooperation on AI governance, workforce skills and policies that help workers adapt to technological change rather than be displaced by it.

The meeting also covered trade, international partnerships and sustainable development. The ILO and the European Commission reaffirmed that trade policies should uphold international labour standards and improve working conditions throughout global supply chains.

They also agreed to deepen cooperation by combining the EU’s financial and policy instruments with the ILO’s expertise on labour standards, social protection, skills development and just transitions, reinforcing their shared objective of building more inclusive, resilient and sustainable economies.

Why does it matter?

The renewed partnership highlights how AI governance is becoming closely linked with employment and social policy. Rather than treating AI solely as a technology issue, the EU and ILO are framing it as a labour market challenge that requires international cooperation, workforce development and strong social protections.

The agreement also reinforces the growing role of international organisations in shaping a human-centred approach to AI. As governments seek to harness AI for economic growth, ensuring that technological change supports decent work, skills development and social inclusion is becoming an increasingly important part of global AI governance.

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European Commission accepts SAP commitments in ERP antitrust case

The European Commission has accepted legally binding commitments from SAP to address competition concerns over maintenance and support (M&S) services for its on-premises enterprise resource planning (ERP) software.

The commitments follow the Commission’s preliminary finding that SAP may have abused its dominant market position by limiting customer choice, increasing switching costs and restricting competition in the aftermarket for ERP support services.

Under the agreement, SAP will give customers greater flexibility in managing software licences and support contracts. Businesses will be able to split their SAP environments and choose different maintenance providers or support levels for different parts of their systems.

SAP will also allow licence termination in specific circumstances, including reduced support phases, failed implementation projects attributable to SAP, insolvency, major workforce reductions and business divestitures.

Additional commitments include broader access to alternative licensing models, the removal of reinstatement fees, lower back-maintenance charges, clearer contractual terms and an internal mechanism for handling customer complaints related to compliance with the commitments.

The Commission opened its formal antitrust investigation in September 2025 after identifying practices that could have discouraged customers from using independent support providers and increased the cost of leaving SAP’s maintenance services.

Following a market test, SAP revised its proposal before the Commission concluded that the final commitments adequately addressed its concerns. The commitments will apply globally for ten years under the supervision of an independent monitoring trustee.

Executive Vice-President Teresa Ribera said the decision would give businesses using SAP’s on-premises ERP software greater freedom to choose maintenance and support providers while strengthening competition in enterprise software markets.

She added that the case sends a broader message that dominant technology companies should not use restrictive commercial practices to lock customers into their ecosystems, particularly as enterprises continue migrating to cloud-based services.

Why does it matter?

The decision reinforces the principle that customers should be able to choose maintenance and support providers without facing unnecessary contractual or financial barriers. For businesses relying on enterprise software, greater flexibility could reduce costs, increase negotiating power and make it easier to adopt competing services.

The case also shows that the European Commission is extending competition enforcement beyond consumer-facing digital platforms to enterprise software markets. As organisations increasingly depend on integrated cloud and business software ecosystems, regulators are paying closer attention to practices that may create customer lock-in and restrict competition after the initial software sale.

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China seeks stronger rules for virtual currency money laundering

China has proposed a series of legal and procedural reforms to improve the investigation and prosecution of virtual currency-related money laundering cases. Prosecutors argue that current legislation creates difficulties in determining criminal liability, collecting digital evidence and recovering illicit assets, leaving gaps in the country’s enforcement framework.

The proposals recommend issuing dedicated judicial guidance, expanding training in blockchain analysis, and requiring investigators to examine both the underlying criminal offence and any related laundering activity. Greater use of blockchain transaction reports and earlier prosecutorial involvement in complex investigations are also intended to improve case handling.

Prosecutors have also suggested updating evidence rules to recognise verifiable blockchain transaction records and qualified blockchain analytics reports, subject to judicial review. Courts could rely more heavily on corroborating circumstantial evidence in cases involving mixers, privacy-focused cryptocurrencies or anonymous wallets where direct tracing is difficult.

The recommendations also call for a national framework to manage seized virtual assets through standardised custody, valuation and disposal procedures, alongside stronger international cooperation on cross-border investigations and asset recovery.

Why does it matter?

The move signals that China is refining its legal approach to virtual currency crime by focusing on investigative procedures and evidentiary standards rather than introducing an outright policy shift. Clearer rules for handling blockchain evidence and seized digital assets could strengthen enforcement while providing greater consistency in complex financial crime cases.

The recommendations also reflect a broader global trend towards equipping law enforcement with specialised tools to investigate illicit cryptocurrency activity. If adopted, the reforms could influence how other jurisdictions develop legal frameworks for digital asset investigations, cross-border cooperation and asset recovery.

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Canada funds AI mining innovation projects

Canada has announced CAD 6.7 million in federal funding for two AI-enabled mining innovation projects aimed at improving critical minerals extraction and ecological restoration.

The two projects, worth a combined CAD 19.8 million, are led by Novamera Inc. of Oakville, Ontario, and Koonkie Canada Inc. of Vancouver, British Columbia. Funding is being provided through Canada’s Digital Technology Cluster (DIGITAL).

Novamera will receive CAD 3.8 million for a CAD 10.9 million project to advance its Surgical Mining technology, which combines subsurface imaging, AI, robotics and conventional drilling equipment to access mineral deposits with greater precision.

The technology is designed to enable more targeted extraction of critical minerals, including copper and rare earth elements. According to the government, the project will help move the technology from development towards commercial deployment.

Koonkie will receive CAD 2.9 million for a CAD 8.9 million project to develop an AI-powered mine restoration platform. The system will combine environmental DNA analysis, soil health data, remote sensing and Indigenous ecological knowledge to monitor biodiversity and ecological recovery.

Project partners estimate the platform could shorten ecological restoration timelines by five to ten years while reducing restoration costs by up to 40% compared with conventional approaches.

The projects are expected to create up to 35 jobs and maintain a further 37. The government said the investments support Canada’s broader strategy to strengthen critical mineral supply chains, advance clean technologies and improve industrial competitiveness.

Industry Minister Mélanie Joly said the investments would help Canadian companies develop and deploy technologies that improve the precision of critical minerals extraction, support responsible resource development and strengthen mine restoration.

Why does it matter?

Critical minerals such as copper and rare earth elements are essential for AI infrastructure, semiconductors, batteries and clean energy technologies, making mining innovation an increasingly important part of national industrial strategies. AI is also expanding beyond mineral exploration into operational efficiency and environmental management, helping companies improve resource recovery while reducing environmental impacts.

The projects illustrate how governments are using AI to strengthen both the competitiveness and sustainability of critical mineral supply chains. By combining automation, environmental monitoring and Indigenous knowledge, Canada is positioning digital technologies as a key component of responsible resource development.

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