Ofcom publishes guidance about 'small print' charges

Regulator Ofcom has published guidance that tells communications providers how it thinks the law - the the Unfair Terms in Consumer Contract Regulations 1999 - applies to any charges consumers may have to pay in addition to their regular bill. These charges are usually for not paying by direct debit, for receiving paper bills, for late payments or for leaving before a contract ends. Ofcom has also published a consumer guide that covers the same subject. Its guidance says charges for late payments and different payment methods should be limited to the cost of dealing with payments, charges for itemised billing shouldn't be more than £1.50 per bill and consumers who end contracts early should never have to pay more than the payments left under the contract. [Press release; Consumer guide (pdf)]

New Ofcom head announced

Dr Colette Bowe has been chosen to replace David Currie as chairman of Ofcom, the independent regulator and competition authority for the UK communications industries. Dr Bowe began her career as an economist at the Department of Trade and Industry and is currently a Board Member of Axa Framlington, Morgan Stanley Bank International, Electra Private Equity and London & Continental Railways, as well as being Chairman of Council at Queen Mary College and a board member of the National Institute for Economic and Social Research. She has been a member of the Ofcom Board since January 2008 and is a member of the Ofcom Audit Committee. Her appointment will now be formally scrutinised by the Business and CMS Select Committees. David Currie steps down from his role after Easter next year. [Press release]

Ofcom says messaging revenue is falling as volume increases

Ofcom has just published its Telecommunications Market Data Update for the second quarter of 2008. It says the number of SMS and MMS messages sent was 4.8% higher than in the previous quarter. although messaging revenue fell by 1.7% over the same period. Total mobile revenue across the four mobile operators in the survey (Vodafone, O2, Orange and T-Mobile) increased by 1.2% compared to the previous quarter, driven by a 1.9% increase in revenue from calls and other charges. [Press release]

Cashback complaints have fallen, says Ofcom

Ofcom has published a new report called The Consumer Experience 2008, which reveals that complaints about mobile phone cashback deals have fallen from a peak of more than 600 per month in September 2007 to fewer than 70 per month in September 2008. It's also revealed that more consumers are contacting Ofcom about fixed line mis-selling and silent calls than any other telecoms issue. In addition, Ofcom revealed that consumers are increasingly aware of the number of different fixed line and mobile suppliers. 62% of consumers are aware of three or more fixed line suppliers and 89% are aware of three or more mobile providers (compared to 55% and 85% in 2007). That means 11% of people aren't aware of all five UK mobile networks. [Press release]

Ofcom report shows UK top for mobile broadband coverage

Ofcom has published its third annual International Communications Market Report, which looks at take-up, availability and use of broadband, landlines, mobiles, TV and radio in a number of countries. Some of the key mobile-related points include:

• HSDPA mobile broadband availability covers 87% of the UK population; the highest of all 16 countries surveyed.
• In all of the countries covered by the report, total mobile revenues last year were higher than fixed-line voice and broadband combined.
• Mobile call volumes grew by 21% in the UK during 2007. However, increases in call volumes have not been matched by corresponding increases in retail revenue.
• Text messaging volumes increased by 36% in the UK, 90% in Poland and over 100% in the US and Canada.

[Ofcom report]

Ofcom ends Phones 4U investigation

Ofcom has closed its 6-month investigation into the activities of Phones 4U after persuading the retailer to change its handset return policy, its chequeback terms and its sales practices. It says Phones 4U had been acting in a way that breached aspects of the Sale of Goods Act 1979, the Unfair Contract Terms Act 1977, the Unfair Terms in Consumer Contracts Regulations 1999 and the Control of Misleading Advertising Regulations 1988. [Ofcom bulletin]

Ofcom chairman gives final lecture

Ofcom chairman David Currie has given the organisation's 2008 lecture; his last before he leaves the organisation. He contrasted the current state of the market with Ofcom's first report from early 2004, when mobiles accounted for almost a quarter of voice calls and each person sent an average of one text message a day. Today, mobile calls account for 40% of voice minutes and text messaging has grown by 27% per year. [Ofcom Annual Lecture 2008]

New quarterly industry figures from Ofcom

Another quarter, another batch of UK statistics from regulator Ofcom. Apparently revenue across Vodafone, O2, Orange and T-Mobile fell by 1.6% in Q1 2008, with call volumes dropping slightly (0.23%) and messaging volumes increasing by 8%. Customers with 'pay monthly' constracts increased by 1.9% - a trend that's happened since the beginning of 2006. 'Contract' customers now account for 36% of all mobile subscribers, compared to 32% in Q1 2006. [Press release]

Ofcom announces 116xxx number range

Not directly mobile-related but interesting nonetheless. Ofcom has announced a consultation about its plans to set aside six-digit numbers beginning 116 so that important services can use the same number range across the EU. For example, there'll be a 116000 hotline for missing children, 116111 for child helplines and 116123 for emotional support helplines. [Press release]

UK Porting group suspends operations

UKPorting, the UK telecommunications industry group that was working to speed up the transfer of mobile phone numbers between networks, has decided to suspend its operations. The decision follows last week's judgement by the Competition Appeal Tribunal that said regulator Ofcom hadn't taken enough care with its proposals. Ofcom says it's disappointed with UKPorting's decision, which was taken after at least one of the networks involved decided to withdraw from the group. [Source: ZDNet.co.uk]

Ofcom expresses concerns about EC termination plans

Ofcom and the government Department for Business, Enterprise and Regulatory Reform say that the European Commission's plans to cut termination rates could cause problems for people on low incomes. In a joint statement, the two organisations said cutting cross-network termination charges could result in lower bills for the caller but higher costs for the person receiving the call. This could mean that costs were increased, particularly for prepay tariffs. Ofcom added that it has already agreed mobile phone termination rates in the UK until 2011 and it is reluctant to alter those rates now. [Ofcom pdf document]

Ofcom's number porting plan defeated... for now

Vodafone has won a court case against telecomms regulator Ofcom. The Competition Appeals Tribunal has said that Ofcom must reconsider its decision to introduce a two-hour Mobile Number Portability limit next year. The CAT ruled that insufficient analysis and consultation had taken place, cost estimates were inaccurate and the benefit to customers had not been sufficiently demonstrated. Ofcom says it won't be deterred, although the proposed September 2009 date may now slip. [Sources: Mobile News; CAT pdf document]

Is mobile technology giving us what we need?

Ofcom has published a consultation called "Mobile citizens, mobile consumers", which considers whether the mobile sector is delivering on the needs of UK citizens asking whether regulation should adapt to reflect market and technological changes. The consultation, which ends on 6th November, is looking at

• customer service, consumer choice and value for money;
• mobile as part of the broader communications market; and
• the future of industry regulation, including mobile termination rates.

[Executive summary; News release]

We're communicating more but paying less

Ofcom's Communications Market Report 2008 reveals that consumers are spending more time using communications services than in previous years but are paying less for them. 86% of UK adults now own a mobile phone, making 99 billion minutes of outbound calls in 2007 – a rise of 91% in the number of minutes and 48% in the number of connections since 2002. Around 6% of UK internet users aged 16 or over (around 4% of all over 16s) are using mobile broadband. 44% of UK adults use text messaging every day, compared to 36% who regularly use the internet. At the other end of the scale, 25% of adults never use text messaging and 28% never use the internet. [Ofcom report]

Ofcom publishes recommendations to protect under-18s from adult material on mobiles

Ofcom has published recommendations for the Mobile Broadband Group to consider when restricting mobile access to adult material for anyone who could not prove they were over 18. The regulator says the current Mobile Broadband Group UK Code of Practice works well, although it pointed out that only 15% of adults who used a mobile and who had a child in their household were aware of the current age verification systems. [Ofcom review; MBG pdf document]

Dealers lobby Ofcom with scheme to end clawback

The Independent Mobile Phone Dealers Association (IMPDA) has suggested to Ofcom that dealers would be prepared to accept a £10 reduction in commission if this insured them against immunity from network clawbacks. Networks currently retain or "claw back" commission they've paid dealers for connecting new customers if the customer defaults on their bills. IMPDA chairman Chris Caudle said "no dealer should be clawed back unless there is sufficient proof of wrongdoing, such as fraudulent connections.” [Source: Fone magazine]

Ofcom research on visual impairment and communications services

Ofcom has published research on the problems experienced by visually-impaired people when using communications services. It says mobile phone users often require help from friends and family - and they are frequently unable to use all the functions on their handsets. Problems with topping up prepay phones were highlighted, as were difficulties when using call centres. [Research; audio summary]

Ofcom publishes mobile travel tips

Ofcom has published a guide to help customers avoid unexpectedly high bills when using mobile phone services abroad. There's a downloadable pdf and a video, too. [Press release]

Ofcom annual report

UK telecoms regulator Ofcom has just published its annual report for April 2007 - March 2008.

Ofcom chairman to step down

Ofcom chairman David Currie has said he's stepping down from his role after Easter 2009. He's been chairman since Ofcom was created in 2003. His successor will be appointed by the Department for Culture, Media and Sport and the Department for Business, Enterprise and Regulatory Reform. [Press release]