Meta takes Ofcom to court over Online Safety Act fee methodology
May 7, 2026 - 3:58 pm
Meta has filed a judicial review against Ofcom over the method used to calculate fees and penalties under the UK’s Online Safety Act, according to the High Court hearing on Thursday.
The Dispute
The dispute centers around how Ofcom calculates these fees and fines. Ofcom bills platforms based on what it calls qualifying worldwide revenue, which refers to global income tied to regulated services, rather than just the UK portion. Fines can reach 10% of this worldwide figure. Meta argues that any levy should be based on the country where the service is regulated.
“We and others in the tech industry believe (Ofcom’s) decisions... are disproportionate,” a Meta spokesperson stated.
Ofcom's Response
Ofcom maintains that the framework for these calculations was established by Parliament and that it has consulted extensively on its implementation. They expressed disappointment with Meta's objection to paying fees and potential penalties calculated using this method.
What’s at Stake
While the immediate financial impact for Meta is modest (estimated tens of millions in annual fees on a $165bn revenue base), the potential penalty exposure is significant, reaching up to $16bn based on 2025 figures.
Ofcom plans to issue the first round of invoices in Q3 2026, with the possibility of refunds if Meta succeeds in its challenge.
Legal Argument
Meta's argument focuses on procedural fairness, contending that Ofcom’s interpretation of "qualifying worldwide revenue" extends beyond Parliament's intent and results in a disproportionate calculation.