UK Regulator Ofcom Reviewing Mobile Phone Contracts


UK Regulator Ofcom is reviewing mobile phone contracts here in the UK, and they are considering modifying their general conditions to allow customers to leave their monthly contracts before it is up if the operator makes changes to the contract, for example if the mobile phone operator decides to increase their prices in the middle of your contract.

Ofcom has decided to review mobile phone contracts after it received a total of 1,644 complaints from mobile phone users for the period of September 2011 and May 2012.

iPhone 4S

This proposed change would address consumer concerns that it is unfair that providers are currently able to raise prices, while they themselves have little choice but to accept the increase or pay a penalty to exit the contract. Under the current rules, the exception is where a provider agrees that the price increase would be likely to cause ‘material detriment’.

Ofcom would also expect providers to be transparent about the potential for price increases so consumers can make an informed choice when entering the contract.

It will be interesting to see what happens, and whether Ofcom decides to allow customers to get out of these mobile phone contracts early if the operator decides to make changes t the contract.

Source The Next Web