Services A-Z     Pricing

When can organisations rely on “consent” under data protection laws? The Court of Appeal clarifies in RTM v Sky Betting and Gaming

28 April 2026

The Court of Appeal's recent decision in RTM v Bonne Terre Limited & Hestview Limited [2026] EWCA Civ 488 is an important one for any business/controller that relies on consent as a lawful basis for processing personal data or sending direct marketing communications. In short, the legal test for consent under data protection legislation is an objective one, not a subjective inquiry into the data subject’s internal state of mind. 
 

Background

The respondent, known only as RTM to protect his anonymity, was a problem gambler who used Sky Betting and Gaming's (“Sky Betting”) online platforms during a two-year period prior to early 2019. During that time, Sky Betting placed cookies on his devices, processed his personal data, and sent him targeted direct marketing communications. RTM subsequently brought a claim for compensation, arguing that he had never given legally valid consent to any of these activities, and that Sky Betting’s conduct had caused him to gamble more and suffer financial loss and distress as a result. In particular, he argued that because of his gambling addiction, that his apparent consent was therefore not ‘freely given’, and therefore invalid.   
 
At first instance, the High Court found in RTM's favour, finding that because of the impact of RTM’s gambling problem, the judge found that he had not given ‘legally operative consent’ applying a novel three-strand test which included an assessment of his subjective autonomy. 
 
Sky Betting appealed on the grounds that the judge’s analysis was legally wrong. Interestingly and most notably, the Information Commissioner's Office (“ICO”) intervened to assist the court and agreed that the legal test for consent is objective, not subjective, while also contending that vulnerability might in some circumstances be relevant to other aspects of compliance.
 

The key legal question

At the heart of the appeal was a deceptively simple question, ‘What must a data controller actually prove in order to establish that a data subject gave valid consent’ under the Data Protection Act 1998 and its parent Directive 95/46EC, the Privacy and Electronic Communications (EC Directive) Regulations 2003 (“PECR”) and its parent Directive 2002/58/EC (the PEC Directive), and the General Data Protection Regulation 2016/679 (“GDPR”) (together, the “Data Protection Legislation”).
 
Consent is defined in Article 4(11) of the GDPR as a "freely given, specific, informed and unambiguous indication of the data subject's wishes" by which they "signify agreement" to the processing of their personal data. Under Article 7, the burden of proof lies with the data controller.   
 
The first instance judge approached the definition of consent as having a subjective element, turning on an individual’s ‘internal state of mind’ at the time of giving the consent.  This approach meant that Sky Betting, as the data controller, would need to demonstrate not just that RTM (the user) had clicked ‘accept’ to their terms of business or taken some other affirmative action, but that RTM had ‘genuinely and autonomously’ consented in his own mind at the time. 
 

The Court of Appeal's decision

The Court of Appeal allowed Sky Betting’s appeal and set aside the first instance judgment.  
The Court held that consent under GDPR, PECR and their predecessor regimes is an objective concept. The question is whether, viewed objectively, the data subject gave:
  • a freely given;
  • informed;
  • specific; and
  • unambiguous indication of agreement,
    by statement or clear affirmative action.
Consent under the GDPR and related Data Protection Legislation is assessed by reference to an objective, outward-facing standard and not a subjective one, none of which import a requirement to probe the data subject's inner psychological state or subjective decision-making capacity.   
 
The Court was also critical of the practical consequences of the subjective approach (a sentiment which the ICO appeared to echo as well), as a user might lack true autonomy for any number of reasons entirely unknown to the controller such as relating to addiction, coercion, or other personal vulnerabilities. Extending liability to cover such circumstances would create an unworkable and unintended regime, with implications far beyond the gambling sector.   
 

What this means for controllers of personal data from a compliance perspective

The Court of Appeal’s judgement provides welcome clarity for data controllers across all sectors. The key takeaways are:  
  • Consent remains an objective standard. A data controller does not need to prove that a user subjectively and autonomously consented in their own mind. What matters is whether the user's ‘indication of agreement’, howsoever made, such as by clicking a button, ticking a box or completing a sign-up form constitutes a clear affirmative action meeting the GDPR's requirements.   
     
  • The bar for valid consent remains high. The Court reaffirmed that consent must be freely given, specific, informed, and unambiguous. Pre-ticked boxes, vague opt-in language, and bundled consents will not suffice. Businesses should continue to review their consent mechanisms carefully and ensure that each element of valid consent is met. 
     
  • Vulnerability is not irrelevant, but it is not determinative. Vulnerability is not relevant to the specific question of whether consent was given but may be relevant to other GDPR principles such as fairness or transparency. This means that vulnerability cannot, of itself, invalidate consent that was otherwise validly obtained through a compliant process.   
The case will now return to the High Court. It remains to be seen how the Court will approach the remaining issues of the case, including questions around fairness, purpose limitation, and whether RTM's gambling data constituted special category personal data.   
 
For now, however, controllers can take some reassurance that the Court of Appeal has drawn a sensible and workable line. Consent is about what users do, viewed objectively and in context, assessed against a clear and objective standard and not what they may or may not have been thinking at the time.   
 

Further information 

If you have any questions regarding this blog, please contact Caroline Sheldon in our Corporate, Commercial & Finance team.

About the author

Caroline Sheldon joined the Corporate, Commercial & Finance team in August 2022 as an associate and specialises in advising on commercial matters. She advises entrepreneurs, startups and established businesses across a variety of sectors, with a focus on those in the technology sector.

Latest blogs & news

When can organisations rely on “consent” under data protection laws? The Court of Appeal clarifies in RTM v Sky Betting and Gaming

The Court of Appeal's recent decision in RTM v Bonne Terre Limited & Hestview Limited [2026] EWCA Civ 488 is an important one for any business/controller that relies on consent as a lawful basis for processing personal data or sending direct marketing communications. In short, the legal test for consent under data protection legislation is an objective one, not a subjective inquiry into the data subject’s internal state of mind.  

“Recruitment Rewired”: what employers need to know about automated recruitment

 On 31 March 2026, the Information Commissioner’s Office (ICO) published its Report, “Recruitment Rewired: an update on the ICO’s work on the fair and responsible use of automation in recruitment, setting out its findings and regulatory expectations for employers using AIenabled or automated tools in recruitment. 

Employment law changes tech businesses need to know about

A significant number of employment law reforms are coming into effect in 2026 and 2027 following the introduction of the Employment Rights Act 2025 at the end of last year. 

Court of Appeal confirms scope of data controllers’ security obligations

In a recent decision, the Court of Appeal allowed the UK Information Commissioner's appeal against the decision of the Upper Tribunal in proceedings involving DSG Retail Limited ("DSG"). The case arose from a nine-month cyber-attack in 2017-2018 on DSG’s systems, during which the attackers scraped transaction data from point-of-sale terminals from over 5.6 million payment cards. The compromised data included card numbers and expiry dates but not cardholders' names, meaning the attackers could not directly identify individuals from the data alone.

Copyright & artificial intelligence: Progress, pause and persistent uncertainty

The UK Government has now published its March 2026 Report on Copyright and Artificial Intelligence, following its 2024–25 consultation on the use of copyright protected works in AI training. The outcome is significant - not for what it introduces but for what it postpones.

Government announces tough new late payment laws – what happens next?

The UK Government has confirmed a major package of reforms to tackle late payments, a persistent pressure point for small businesses, costing the economy £11 billion a year and contributing to 38 business closures every day.

Business Development: Playing The Right CARD

The professional services industry faces rapid change

Companies House security issue: What your business should do now

A serious security vulnerability affecting the five million registered companies on Companies House was recently discovered. More on this below, but we would urge all companies to check their records carefully and ensure there is nothing unexpected in their Companies House filings and dashboard. 

What tech businesses need to know in 2026

At our recent Tech Briefing, 'What tech businesses need to know in 2026', we explored how the EU’s Digital Omnibus package and the UK’s Employment Rights Act will reshape compliance for UK tech SMEs. 

Five common contract weaknesses – and how to fix them

Most commercial disputes don’t come from exotic legal issues - they come from everyday contract weaknesses that could have been avoided with a few smart tweaks

2026 marks a turning point for data governance in the UK

2026 is shaping up to be the most consequential year for UK data protection enforcement since the introduction of the EU/UK GDPR regime. With record fines issued in late 2025, a new enforcement playbook on the horizon, and shifting legislative and regulatory expectations, the Information Commissioner’s Office (“ICO”) is signalling a marked transformation in how it supervises, and sanctions, organisations. 

Why limitation of liability clauses deserve more attention than they get

Too often, limitation of liability clauses are treated as standard boilerplate - something to tidy up at the end of a negotiation once the “real” commercial points are agreed.

2026 brand threats that could be opportunities: Polarisation, AI, NextGen, and Saturation

What are these megatrends that could pose a threat to brands in 2026?

From Seed to Series A and Beyond: 7 Key Insights for Tech Founders

In this article, we share 7 key considerations to help tech founders navigate the journey from seed funding to Series A and beyond.

Biggest EU Digital Shake-Up Since GDPR? What Businesses Need To Know

In November 2025, the European Commission unveiled its Digital Omnibus package – a set of proposals aimed at simplifying (not deregulating) EU rules on data protection, cybersecurity and AI.

Clearview AI ruling confirms UK GDPR applies beyond borders

In a recent decision on the UK GDPR’s global scope, the Upper Tribunal in The Information Commissioner v Clearview AI Incorporated and Privacy International [2025] UKUT 319 (AAC) confirmed that the UK’s data protection regime can extend well beyond its borders.

UK Tech SMEs & the November Budget

Founders and teams across the country are looking for signals that the UK still backs its innovators. Here’s what’s top of the wish-list:

Why does software ownership matter? Six key legal takeaways for tech businesses

For founders, investors and anyone involved in the tech sector, understanding who owns your software and how to prove it is critical. Whether you’re seeking investment, planning an exit or simply aiming to protect your IP, clarity on ownership can make or break a deal

Court of Appeal clarifies data protection claims for non-material damage: A win for claimants - But what are the implications for controllers and processors?

The Court of Appeal has recently handed down an important decision in respect of data protection law considerations in Farley & Others v Paymaster (trading as Equiniti) [2025] EWCA Civ 1117, providing clarity on the scope of infringement and compensation data protection claims under the UK GDPR and Data Protection Act 2018 (“DPA”). The judgment will be of particular interest to any service provider dealing with and processing large volumes of customer personal data.  

5 Reasons Why Fundraising can Go Wrong

At some point in their history, businesses commonly have need for external funding to help their growth trajectory.

Skip to content Home About Us Insights Services Contact Accessibility