The UK Information Watchdog has asked the Facebook Inspectorate to investigate how the company addresses, monitors and displays ads.
The Information Commissioner said he was worried about Facebook's practices and how political parties target users online.
It is the case that Cambridge Analyctica, a Trump-affiliated company, did not properly collect the personal information of 87 million Facebook users.
The Commission said that it also found further problems on Facebook, which it had referred to the Irish Data Protection Commission, the lead supervisor for the social network in the European Union.
Scroll down for video
The British Information Watchdog has referred Facebook to the Irish Data Protection Commission to investigate how the company addresses, monitors, and reports to advertisers
A spokesman for Facebook said it had been alerted to fake political ads on the network.
The social network said it was looking forward to discussing the matter.
"We regularly work with regulators on our advertising materials, which we believe fully comply with EU data protection laws," added a spokesperson.
The Irish Data Protection Commission (DPC) said it will evaluate the information and decide which steps are needed.
According to the EU Data Protection Regulation, a company breached the rules of data processing and processing can be punished with up to 4% of its worldwide turnover in the previous financial year or 20 million euros (17 million euros each).
Facebook's total revenue for 2017 was € 35.41 billion (£ 30.9 billion).
The Cambridge Analytica scandal has demonstrated the role of personal data for both marketers and political groups in the Internet age.
The political consultants were able to harvest the data of 87 million people after a researcher developed an app that was downloaded by 270,000 people, exposing not only their own data but also their friends' personal information.
Cambridge Analytica worked on Donald Trump's US presidential campaign in 2016.
"Citizens can only make informed decisions about who to vote for if they are sure that those decisions have not been unduly influenced," Britain's Information Commissioner Elizabeth Denham told lawmakers in a report released Tuesday.
CEO Mark Zuckerberg was rigorously tested when it revealed that 87 million Facebook users were selling personal information to Cambridge Analytica
"We have uncovered a disturbing disregard for voter privacy," Denham said. "Social media platforms, political parties, data brokers and credit bureaus have begun to question their own processes – sending waves through the Big Data ecosystem."
The Commissioner has also initiated audits on the role of credit agencies such as Experian and has sent assessment messages to data brokers such as Acxiom to understand the market for buying and selling personal information.
Acxiom stated in a statement that it will fully cooperate with the Information Commissioner and that it does not host, offer or process in the UK "special category" data as defined by the DSDPR, including political data.
"The staff has to undergo annual training and auditing, and to ensure compliance with applicable data protection laws, Acxiom underwent an Independent Privacy Review by the Direct Marketing Association in May of this year," he said.
Introduced in May by the EU to protect personal information, the GDPR has compelled the various online players to ensure that they have been given permission by users to handle their personal information.
The UK Commissioner has already fined £ 500,000 ($ 653,800) for the misappropriation of data on Facebook, but said on Tuesday that he referred other unanswered questions to Ireland.
The Cambridge Analytica scandal has demonstrated the role of personal data for both marketers and political groups in the Internet age
"We have forwarded our continuing concerns about the Facebook targeting capabilities and techniques used to monitor individuals' browsing habits, interactions and behaviors across the Internet and across devices to the Irish Data Protection Commission," said the British Watchdog.
The BBC reported in October that a fake political ad had been posted on Facebook. Facebook had already stated in October that advertisers who cite political figures, materials or parties would be required to prove their identity and location, and to indicate on Facebook who paid for the ad.
Facebook has also tried to give users more control over their privacy by simplifying data management.
The credit data company Experian stated the concerns of the UK regulator
"As a heavily regulated company, we work closely with regulators and strictly adhere to data protection laws in all the countries we operate in, and we are vigilant in terms of data security and integrity," a statement said.
(1 USD = 0.7648 pounds) (coverage by Kate Holton, Alistair Smout and Kylie MacLellan in London and Noor Zainab Hussain, edited by Jane Merriman and Mark Potter)
Facebook announced in late September that it had been hit by its worst ever data breach affecting 50 million users – including Facebook boss Mark Zuckerberg and COO Sheryl Sandberg.
Attackers took advantage of the site's "Show As" feature, which allows users to see what their profiles look like to other users.
The unknown attackers used a feature in the code called "Access Token" to take over people's accounts and potentially grant hackers access to private messages, photos, and posts.
The hackers also tried to retrieve people's private information, including name, gender, and place of residence, from the Facebook systems.
Facebook said it still does not know if information from the affected accounts has been misused or accessed, and is working with the FBI to investigate further.
However, Mark Zuckerberg assured users that passwords and credit card information were inaccessible.
Facebook says it has found no evidence to date that hackers broke 50 million users into third-party apps following a data breach.
As a result of the security breach, the company today reported about 90 million people out of their accounts for security reasons.
Facebook made headlines earlier this year after Cambridge Analytica, a political consulting firm, failed to properly retrieve data from 87 million users.
The disclosure has prompted government investigations into the company's privacy practices around the world and led to a move by "deletFacebook" among consumers.
The communications company Cambridge Analytica had offices in London, New York, Washington, Brazil and Malaysia.
The company is proud to "find and move" its constituents through data-driven campaigns and a team of data scientists and behavioral psychologists.
"In the United States alone, we have been instrumental in winning presidential races, as well as congressional and statewide elections," Cambridge Analytica said on its website, with data on more than 230 million American voters.
The company benefited from a feature that allowed apps to request permission to access their own data as well as the data of all their Facebook friends.
The data company suspended its CEO, Alexander Nix (pictured) after footage in which he made a series of controversial claims, including the claim that Cambridge Analytica played a pivotal role in Donald Trump's election
This enabled the company to identify the information of 87 million Facebook users, even though only 270,000 people gave it permission.
This should help them develop software that can predict and influence voter choices at the ballot box.
The data company suspended its CEO Alexander Nix after records surfaced in which he made a series of controversial claims. Including the note, Cambridge Analytica have played a crucial role in the election of Donald Trump.
This information is believed to have been used to support the Brexit campaign in the UK.
It has also suffered several previous problems.
In 2013, Facebook uncovered a software bug that exposed 6 million phone numbers and email addresses of users to unauthorized audiences for one year, while a technical flaw in 2008 revealed confidential birth data on 80 million Facebook user profiles.