Deepfakes are videos, pictures or audio clips made with artificial intelligence to look real, and such technology can be used to digitally alter pornographic images into the likeness of someone else.
Data from UK-based Revenge Porn Helpline showed image-based abuse using deepfakes has increased more than 400% since 2017.
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The previous Conservative government, which lost power to the Labour Party in July, announced similar plans to make sexually explicit deepfakes a criminal offence. Under its proposal, offenders would face fines and even jail time.
The government said it would also create new offences for the taking of intimate images without consent and the installation of equipment with intent to commit these offences. Those found guilty could face up to two years behind bars.
Technology minister Margaret Jones said tech platforms hosting abusive images would face tougher scrutiny and significant penalties.
The new offences will be included in the government's Crime and Policing Bill, which will be introduced to parliament. A date is yet to be set.
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