Ofcom plans instant payback for broadband problems

Landline and broadband customers who suffer slow repairs and other forms of poor service could get money back automatically under proposals set out by Ofcom, the communications regulator.

The compensation plans would also benefit some businesses, because around a third of SMEs choose residential landline and broadband services for their internet and phone provision.

Under the plans broadband customers who experience slow repairs or missed deadlines or appointments would automatically be compensated in the form of a cash payment or credit on a bill.

Ofcom said while most people are “generally satisfied” with their telecoms services, every year more than five million consumers suffer a loss of their phone or broadband service, engineers fail to turn up for around 250,000 appointments and around one in eight landline and broadband installations are delayed.

The compensation levels look like this:

£10 for each calendar day that the service is not repaired
£30 for any time that an engineer fails to turn up for a scheduled appointment, or that it is cancelled with less than 24 hours' notice
£6 for each calendar day of delay at the start of a new service, including the missed start date

Lindsey Fussell, Ofcom’s Consumer Group Director, said: “When a customer’s landline or broadband goes wrong, that is frustrating enough without having to fight tooth and nail to get fair compensation from the provider.

“So we’re proposing new rules to force providers to pay money back to customers automatically, whenever repairs or installations don’t happen on time, or when people wait in for an engineer who doesn’t turn up. This would mean customers are properly compensated, while providers will want to work harder to improve their service.”

A consultation on the proposals is open until 5 June 2017. Ofcom will publish its 'decision statement' around the end of the year.

(Image: Kainet)