The latest draft of the Online Safety Bill will give regulators greater powers to tackle harmful, offensive and misleading adverts.
It could also see tougher penalties places on influencers who fail to declare payment for promoting products on their social media channels.
The latest changes to the bill follow calls from a coalition of 17 consumer and business groups last year for the government to include scams within the scope of the much-delayed bill.
In December, the Joint Committee responsible for reviewing the bill concluded that serious changes are needed to “call time on the Wild West online”. Peers and MPs said the draft bill, which was published last May, must be clearer about what content is illegal.
The latest additions are designed to improve protections for internet users from the potentially devastating impact of fake ads, including where criminals impersonate celebrities or companies to steal people’s personal data, peddle bad financial...