SAYNOTO0870.COM - O2 Increase Prices From 28/2/2013

bigjohn Supreme Member Offline Posts: 2,316 Gender:	O2 Increase Prices From 28/2/2013 Jan 23^rd, 2014 at 5:49pm See http://www.o2.co.uk/desktop/prices
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bigjohn Supreme Member Offline Posts: 2,316 Gender:	O2 Increase Prices & Dodge Ofcom Ruling Reply #1 - Jan 23^rd, 2014 at 5:53pm They have found a way to dodge Ofcom's latest contract price-rise guidelines by issuing an update to their terms and conditions. See: http://thenextweb.com/uk/2014/01/23/o2-changes-terms-conditions-circumvent-new-o...
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Dave

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Re: O2 Increase Prices & Dodge Ofcom Ruling
Reply #2 - Jan 23^rd, 2014 at 6:35pm

bigjohn wrote on Jan 23^rd, 2014 at 5:53pm:

See: http://thenextweb.com/uk/2014/01/23/o2-changes-terms-conditions-circumvent-new-o...

Quote:

Ofcom’s new guidance has made it easier for subscribers to exit their contract if their carrier chooses to increase the subscription price agreed upon at the start date. By being upfront about its price hikes in the beginning, O2 has successfully circumvented the new guidance.

Is it really that easy for the telcos to get around the new regulation?

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CJT-80 Global Moderator Offline Posts: 1,714 Manchester Gender:	Re: O2 Increase Prices From 28/2/2013 Reply #3 - Jan 23^rd, 2014 at 7:15pm Dave, Most likely as Ofcom has hardly any teeth it would seem!
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bigjohn

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Re: O2 Increase Prices & Dodge Ofcom Ruling
Reply #4 - Jan 23^rd, 2014 at 7:49pm

Dave wrote on Jan 23^rd, 2014 at 6:35pm:

Is it really that easy for the telcos to get around the new regulation?

Apparently so according to o2.

"Ofcom's Updated Guidance clarifies that consumers will be free to enter a contract which includes a price change each year in line with a measure of inflation like RPI - provided the relevant price term is clear and prominent so that the customer clearly agrees to this at the outset. Where this is the case a customer will not be able to end the contract when a price change is applied."

http://www.theinquirer.net/inquirer/news/2324728/o2-dodges-ofcoms-contract-price...

Fortunately Tesco Mobile who use the O2 Network operate a no price rise policy during term of contract.

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« Last Edit: Jan 23^rd, 2014 at 8:06pm by bigjohn »

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Dave

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Re: O2 Increase Prices & Dodge Ofcom Ruling
Reply #5 - Jan 24^th, 2014 at 2:23am

bigjohn wrote on Jan 23^rd, 2014 at 7:49pm:

Dave wrote on Jan 23^rd, 2014 at 6:35pm:

Is it really that easy for the telcos to get around the new regulation?

Apparently so according to o2.

"Ofcom's Updated Guidance clarifies that consumers will be free to enter a contract which includes a price change each year in line with a measure of inflation like RPI - provided the relevant price term is clear and prominent so that the customer clearly agrees to this at the outset. Where this is the case a customer will not be able to end the contract when a price change is applied."

http://www.theinquirer.net/inquirer/news/2324728/o2-dodges-ofcoms-contract-price...

Fortunately Tesco Mobile who use the O2 Network operate a no price rise policy during term of contract.

But has O2 really got around the new rules?

The original problem and reason for issuing Guidance on GC9.6 was because telcos were increasing the price of services without allowing consumers to exit and without giving consumers clear prior notification of the level of any hikes.

What O2 has done is give notification of future price rises at point of sale. It is still limited in the degree to which it can increase prices without giving consumers a right to exit without penalty — this limit being specified in the contract terms.

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