Ofcom to broaden investigation into BT,s 12 month rolling contracts.

utilitybroker

"Ofcom has broadened its investigation into claims that BT will restrict competition in the home phone market with plans for 12-month contracts.
The telecoms regulator is understood to have told BT's rival Carphone Warehouse, which made the allegation, that it will consider the issue as part of an ongoing review into all UK phone companies.

The largest, BT, introduced new tariffs last week, offering free evening and weekend calls if customers sign the contract.

Carphone's concern is that BT has said it will be automatically renewed unless customers respond to a BT letter saying they do not wish to continue with the free calls part of the offer."

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/04/07/cnbt107.xml

normanmark

I find it ironic that its CPW that have brought this matter up.

utilitybroker

Perhaps they were going launch same thing, and were pipped at post.:D

DonnyDave

This so-called "free evening and weekend calls" tariff is formally BT Together Option 2. So if I move to this, I will, not only have to commit to 12 months, but when those 12 months are up - I will either have to commit to a further 12 months or go elsewhere! :eek:

So this explains why BT, until recently, were doing an offer to get people onto this tariff.

Will all changes in BT tariffs will now result in this 12 "rolling" contract? So the only time to jump ship or change down is at renewal time.

Drunkstar

No Dave, its only this contract when you get it for the cost of Option1 (The Free Weekend Plan as its now known) just having option 2 (Free Evenings and Weekends) doesnt automaticly give you a new 12 month rolling contract.

bbb_uk

Drunkstar wrote: »

No Dave, its only this contract when you get it for the cost of Option1 (The Free Weekend Plan as its now known) just having option 2 (Free Evenings and Weekends) doesnt automaticly give you a new 12 month rolling contract.

Drunkstar, is it true that anyone moving back their calls to BT from another provider (just calls as linerental still with BT) have to agree to a minimum term contract?

Drunkstar

Nope, not true at all. Unless they take a special offer of course, but even with a special offer for calls you can CPS others out.

Heinz

Drunkstar wrote: »

Nope, not true at all. Unless they take a special offer of course, but even with a special offer for calls you can CPS others out.

Unfortunately, there's at least one report on here of someone changing from BTTO1 to the new BTTO2 Plan (with the 12 month rolling contract) and finding BT has taken them off their CPS.

Drunkstar

I cant, and wont, make excuses for advisors not doing their jobs correctly. All I can do is say what I know should be and what I know is.

bunking_off

DonnyDave wrote: »

This so-called "free evening and weekend calls" tariff is formally BT Together Option 2. So if I move to this, I will, not only have to commit to 12 months, but when those 12 months are up - I will either have to commit to a further 12 months or go elsewhere! :eek:

Not quite. BT will drop you a line to remind you it's renewal time, and if you don't say no, you'll automatically be rolled over onto a new contract. It's that aspect which is upsetting the competition as it plays on customer inertia. I wouldn't expect the renewal to be made particularly obvious if Ofcom don't intervene...

DonnyDave

Drunkstar wrote: »

No Dave, its only this contract when you get it for the cost of Option1 (The Free Weekend Plan as its now known) just having option 2 (Free Evenings and Weekends) doesnt automaticly give you a new 12 month rolling contract.

Thanks for that - I will not be holding my breath on this not becoming a "feature" of all BT's tariffs as well as with other telcos.

I can see they may not be allowed to do it with Option 1, although these days, anything seems allowed.