Wrong mobile phone contracts cost customers £5.4bn a year
It has been revealed that mobile phone customers in the UK have overpaid £5.4bn to their providers because they are not on the right contracts.
Which? has called upon mobile phone providers to improve their contract pricing transparency or run the risk of being referred to Ofcom, the industry regulator. The consumer group says that many customers are charged for services they do not use or they incur extra charges because their package does not include the required services.
The research found that almost three-quarters of customers could save more than £150 per year if they changed to a different contract and 77 per cent would be able to save a minimum of £50 per year. The executive director of Which?, Richard Lloyd, described the findings as “shocking”.
Ofcom’s own research shows that almost 50 per cent of customers have never changed their mobile phone provider; meanwhile, the Which? survey, which is part of its Unlock Better Mobile Deals campaign, found that just over one-quarter of the respondents trusted mobile phone services.
Which? is calling for providers to unlock handsets automatically and free of charge so that customers can have more control over the tariff they pay. It also wants companies to be proactive when customers are nearing the end of their contract by offering information on better deals.
Customers are advised to shop around to make sure they get a great deal, although the research shows that many find this practice overwhelming.