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Lengthy radio advertising terms and conditions in the UK and Europe are set to be a thing of the past as new guidelines will allow them to be more concise.

The move aims to make it easier for listeners to absorb and recall the information, according to Radiocentre, which has published the Financial Conduct Authority confirmed industry guidance.

Radiocentre said that phrases that are not always required but often used include "subject to status", "over 18s only" and "you will not own the vehicle".

The industry body said that its research shows that only 4% of consumers are able to recall any salient facts, "as listener attention plummets when they are broadcast".

Radiocentre also said that some brands have been put off using the medium because of the lengthy terms and conditions required. It estimates that terms and conditions cost the industry £120m a year through lost revenue, airtime costs and reduced return on investment.

According to the body, the automotive sector is one of the biggest spenders on radio advertising, having spent £106m last year, but often comes up against the barrier of having to add lengthy terms and conditions.

Paul Philpott, president and chief executive of Kia Motors UK, welcomed the move. He said: "I believe the motor industry will welcome this new FCA-approved guidance, as they will allow us to streamline the terms and conditions we need to quote when we advertise on radio."

Radiocentre is planning to host a series of workshops and seminars around the new guidelines.

Siobhan Kenny, chief executive of Radiocentre, said: "Shorter, punchier terms and conditions are proven to be more effective as there is a greater chance listeners will recall the relevant and most important details at the right time.

"This new guidance will help advertisers get their message across in a way that is clear, fair and not misleading, and will simultaneously relieve the nation’s ears by improving the radio listening experience.

"The UK wants to lead the way in the best consumer protection on the radio and we hope this will usher in a new era of more comprehensible Ts&Cs."

The move has been welcomed by ad agencies and the radio industry. Dee Ford, group managing director for radio at Bauer, said that its listeners "want to hear less indecipherable" terms and conditions. Trevor Robinson, executive creative director and co-founder of Quiet Storm, hopes the changes will enhance the credibility of radio ads.