From tomorrow, UK broadband and pay TV service providers must ow warn their customers when current contracts are ending and inform them how much they could save by signing up to a new deal, under new rules brought into force by regulator Ofcom.
The regulator estimates that around 20 million customers are already out of contract – including 8.8 million broadband customers – and many are paying more than they need to.
Phone, broadband and pay TV companies will have to warn customers between 10 and 40 days before their contract comes to an end, informing what they are paying and what they will payt after the end of the contract, and provide information about their best deals., including prices only available to new customers.
Anyone who is already out of contract must also be reminded they are out of contract and told every year about their firm’s best deals.
According to the regulator, out-of-contract broadband customers could save around £100 a year, on average, by agreeing a new deal with their existing provider. Some could save £150 or more, depending on their provider.
Lindsey Fussell, Ofcom’s consumer group director, said: “Millions of people are out of contract right now and paying more than they need to. These new rules make it easier to grab a better deal. But you don’t need to wait to hear from your provider. Just a few minutes of your time could save you hundreds of pounds today.”
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