To ask His Majesty's Government what recent discussions they have had with Ofcom about how the telecoms industry could ease financial pressure on consumers, given the increased cost of living; and what was the outcome of those discussions.
Answered on
17 July 2023
Ofcom has a statutory duty to monitor ongoing household affordability in the sector and my Department meets regularly with them to discuss a range of issues relating to consumer protections.
The Government has worked closely with Ofcom and providers to ensure social tariffs are available for those on Universal Credit and other means-tested benefits. These low-cost broadband and mobile offers are available across 99% of the UK from 23 providers (including BT, Sky, Virgin Media, and Vodafone) from as low as £10 per month.
On 28 June, As part of the Government’s plan to half inflation this year, the Chancellor chaired a roundtable with sector regulators which included Ofcom. At that meeting Ofcom agreed to:
Take action to push suppliers who have yet to introduce social tariffs (discount deals for vulnerable customers) to offer them in the broadband and mobile markets, as well as waive fees for any customers who want to switch providers to access a social tariff.
Push suppliers to take immediate steps to raise awareness of existing social tariffs and drive consumer take-up. Ofcom will work with government and other relevant bodies to support industry efforts.
Publish a report on its current review of in-contract prices to ensure consumers are sufficiently aware of what they are signing up to by the end of the year. This will consider whether Ofcom’s rules need to be strengthened. Ofcom will also publish an update on its full range of work to support consumers in July.
In June 2022, leaders of the UK’s largest mobile and broadband companies agreed a set of public commitments to support their customers through the cost of living including allowing those struggling with their bills to enter into payment plans or switch to cheaper deals without penalty.