BT has voiced plans to simplify pricing, aligning with Ofcom’s push for clarity in broadband advertising and curbing mid-contract price fluctuations. The restructure is likely to see broadband prices rise by about £3 monthly, while mobile may see a £1.50 increase. BT’s current model adjusts customer fees annually by inflation plus 3.9%, a method unclear to most clients, inciting dissatisfaction and a rise in complaints. Ofcom seeks to ban mid-contract inflations under review until mid-February.
The Advertising Standards Authority (ASA) has ushered in stricter guidelines on mid-contract price changes in telecommunications, increasing the burden of clarity for operators. Historically, telecom contracts often obscured potential price fluctuations, misleading customers with allusions of fixed prices. These deceptive tactics, often rooted in fine print legalese, have necessitated ASA’s initiative for more transparent advertising. With Broadband and mobile contracts especially susceptible to annual adjustments, providers must alert customers clearly about prospective changes.
UK subscribers face controversy over recent price hikes, leading to the Committee of Advertising Practice issuing new guidance for telecom companies to prevent misleading consumers. The changes aim for transparency and fair advertising, but won’t take effect for six months.
