Uswitch responds to Ofcom proposal to ban inflation-linked mid-contract price rises
Uswitch responds to Ofcom’s proposal to ban inflation and percentage-based mid contract price rises:
Richard Neudegg, director of regulation at Uswitch.com, comments: “We welcome Ofcom’s proposal to ban inflation-linked and percentage-based price increases, something Uswitch has long campaigned for
“The inflation-linked mechanic has meant that customers have been unable to predict what the increase might be when taking out contracts, making it far harder for them to manage their finances.
“Ofcom’s proposal means providers would have to spell out in pounds and pence any increases consumers will be bound to later in the contract, not changeable, unknown percentages.
“In a tough economic climate, it’s vital for consumers to have full transparency over what they’ll be paying for mobile and broadband.
“Ofcom’s proposal has been a long time coming, with our own research revealing that 85% of consumers believe inflation-linked mid-contract price hikes are unfair.
“It is important to note that these are just proposals at this stage, and even if these new rules come in, they will only apply to new contracts. So broadband and mobile customers are still in for another challenging round of price increases coming in April.”
About Uswitch
Uswitch is one of the UK’s top comparison websites for home services switching, including energy, broadband and mobiles.
More people go to Uswitch to switch their energy, broadband and mobile than any other site, and we have saved consumers over £2.7 billion off their bills since we launched in September 2000.
Free mobile app Utrack also helps households manage their home energy usage and make potential savings.
Uswitch is part of RVU, a group of online brands with a mission to empower consumers to make more confident home services, insurance and financial decisions.