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Post Office Homephone service being investigated by Ofcom.

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"An investigation was launched yesterday into the Post Office for allegedly using dirty tactics to persuade customers to join its fledgling phone business."


http://www.thisismoney.co.uk/bbphone/article.html?in_article_id=415789&in_page_id=182


Also http://news.bbc.co.uk/1/hi/business/6192775.stm

Comments

  • bbb_uk
    bbb_uk Posts: 2,108 Forumite
    I don't know why but I never would have thought the Post Office would mis-sell and switch people without their knowledge/consent.

    I thought it was just related to bigger companies like TalkTalk, etc.

    I bet you this is because their sales staff are on commission!
  • Heinz
    Heinz Posts: 11,191 Forumite
    Part of the Furniture Combo Breaker Car Insurance Carver!
    Time has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.
  • I know that they were using agency staff in Post Offices to sell the service. I dont know if they still are.

    The rest of the operation is outsourced to Cable and Wireless.
  • Post Office has gone down in my estimation since finding out they had large share in a junk mail operation based in Southall sending out those illegal/bogus prize offers from abroad (I think it was last week's 'Watchdog'), so nothing would surprise me about them.
  • Heinz
    Heinz Posts: 11,191 Forumite
    Part of the Furniture Combo Breaker Car Insurance Carver!
    Post Office has gone down in my estimation since finding out they had large share in a junk mail operation based in Southall sending out those illegal/bogus prize offers from abroad (I think it was last week's 'Watchdog'), so nothing would surprise me about them.
    Then you weren't surprised with THIS either then.

    I particularly liked the below from utilitybroker's thisismoney link
    If found guilty, the Post Office could face a fine of up to 10% of HomePhone's annual sales, which are not publicly disclosed-News of the investigation comes at a fraught time for the Post Office network which is losing about £4m every week.
    So, their phone business is losing £4m per week and the price of posting letters is going up again.

    Isn't that called a 'cross-subsidy'? Well, I'm cross anyway.
    Time has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.
  • Stamps and phones are from 2 different companies.
    Post office is not the same as Royal Mail.
    Post Office only sell the stamps just the same as W H Smith does.
  • Heinz wrote:
    Then you weren't surprised with THIS either then.

    I particularly liked the below from utilitybroker's thisismoney link So, their phone business is losing £4m per week and the price of posting letters is going up again.

    Isn't that called a 'cross-subsidy'? Well, I'm cross anyway.

    I think your find their talking about the Post Office Network of branches losing £4 m per week, not the Phone Business on its own!!
  • Stamps and phones are from 2 different companies.
    Post office is not the same as Royal Mail.
    Post Office only sell the stamps just the same as W H Smith does.

    They are both part and parcel! of the The Royal Mail Group.


    http://www.royalmailgroup.com/portal/rmg
  • They are both part and parcel! of the The Royal Mail Group.


    http://www.royalmailgroup.com/portal/rmg

    Yes, but they were forced to split up by government regulation and made to operate as seperate companies, albeit within the same group. Similar to BT.
    Stamps are sold in post offices, but on behalf of Royal Mail.
    Because of the historic link between the mail (post) and the Post Office, lots of people still think of them as one and the same thing.
    With the tight restrictions still imposed on them by the government, I don't think (as Hienz sugested) they would dare risk any cross subsidising.
  • 1882
    1882 Posts: 497 Forumite
    Part of the Furniture 100 Posts
    I was sick of folk coming up to me in the PO asking if I had a BT line, I just told them to get lost.

    As someone who speaks to PO Homephone customers, quite often they haven't a clue they are PO customers and many were collecting their pensions and approached while waiting.
This discussion has been closed.
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