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Telecoms regulator, Ofcom, is set to scrutinise "hidden" charges that may appear in the bills of broadband or mobile phone customers.

Ofcom has received complaints regarding unexpected charges that are levied for itemised bills, non-direct-debit payment and premium-rate technical helplines.

Now the regulator is trying to find out whether the charges are fair or justified as fierce competition for customers continues.

Speaking to the Times, Ed Richards, head of Ofcom, said: "Consumers of communications services see headline prices fall, but they must not be misled… they need confidence that any additional charges are fair, transparent and justified."

As a result of increased competition within the sectors, prices have lowered, and some families in Britain enjoy the lowest prices in Europe for their broadband, telephone and television services.

But according to Ofcom low prices could lead to "hidden" charges that are not beneficial to consumers.

The Carphone Warehouse offered a "free" broadband service but adverts for service drew many objections.

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