Mobile, broadband and TV firms could soon be forced to tell customers when they’re nearing the end of their minimum contract term under new rules proposed today by Ofcom.
The UK’s competitive market means ISPs, mobile networks and pay-TV companies offer a range of promotions and deals to tempt new customers to switch to them, but many of these lower prices come to an end after the initial contract term, with customers often facing automatic price hikes as soon as they’re out of contract.
Under Ofcom’s proposals, all firms would have to tell customers when their contract end date is nearing, along with details of any changes to prices and actions they can take to ensure they get the best possible deal.
Providers would also be required to send a one-off ‘out-of-contract’ notification to all existing customers whose initial contract has ended, and who weren’t given this information at the time.
Lindsey Fussell, Ofcom’s Consumer Group Director, said: “We’re concerned many people are paying more than they need to – particularly those who are out of contract.
“Customers have told us they want to be alerted when their phone, TV or broadband contract is coming to an end, and get advice on their options.
“Under our plans, providers would have to do exactly that.”
The proposals are subject to a consultation which runs until 9 October 2018.