Phone firms could be banned from rising prices
Phone providers could be banned from raising prices in the middle of a broadband, mobile or home phone contract, according to Ofcom, giving consumers the right to get out of a contracts if providers increase prices on fixed deals.
Ofcom have received 1,644 complaints between September 2011 to May last year, thanks to telecom providers not being clear enough regarding potential price rises in what were believed to be fixed contracts.
"Many consumers have complained to us that they are not made aware of the potential for price rises in what they believe to be fixed contracts," said Claudio Pollack, consumer group director at the watchdog. "Ofcom is consulting on rules that we propose would give consumers a fair deal in relation to mid-contract price rises."
With BT, O2 and Virgin Media sticking their prices up, customers are only able to get out of contracts under current rules in certain limited situations, which Ofcom seek to change. New proposals expect providers to be transparent about any increases and is considering a blanket ban on price rises during fixed contracts.
If there's going to be any changes, new rules should come into place in June.