Broadband companies told to 'offer single price' for packages

The advertising watchdog has announced plans to crack down on the way broadband prices are advertised after criticisms from MPs and companies. However, it will not review rules on how top speeds are advertised.

The Advertising Standards Authority (ASA) is to force companies to advertise a single figure for their broadband packages. Under current rules, consumers are not provided with a single figure, often having line rental and extras such as installation fees added separately, which are regularly found in the small print.

The new changes, set to come into force on 31 October 2016, comes off the back of recent research that found that one in five consumers could not work out the correct monthly price of broadband, despite seeing an advert twice. The current rules also came under serious criticism from culture minister Ed Vaizey, who called them “misleading” and a “complete and utter joke”.

While these changes have been broadly welcomed by consumer groups, many critics want even more to be done, particularly regarding the way that broadband speeds are advertised. Under current ASA rules, companies are allowed to advertise top speeds, even if only 10 per cent of customers can get these speeds.

A spokeswoman for the ASA said: “Our position on broadband speed claims in ads is based on extensive work undertaken in recent years, including a full public consultation on new guidance.

“We are an independent, evidence-based regulator, and that underpins our regulation. We are, however, aware of concerns about this issue, and we are carefully considering if there is further work we can do on the matter.”

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