Ofcom confirms definitions and end-user protection rules for the European Electronic Communications Code

Confirmed new rules

From 27 October 2020:

• Annual best tariff notifications. In July, Ofcom consulted on minor changes to the requirement to send annual best tariff notifications to customers on pre-pay tariffs. Ofcom has adopted its proposals with immediate effect, which means, CSPs are no longer required to send these annual notifications to any customer who did not previously have a contract with a fixed commitment period.

From 21 December 2021:

• Mobile device locking. Mobile providers will be banned from selling devices to consumers that are locked and cannot be used on another network.
• Extension of rules on accessible formats. New rules will be introduced to ensure disabled customers have equivalent access to all information about their communication services (except for marketing materials). CSPs will have to provide the communications in a format that meets the customer's needs, if requested. Ofcom is also working with industry to ensure that access to the emergency services is made available for free for deaf people by providing access to a free video relay service.
• Contract duration. The rules on not offering contracts, which stipulate commitment periods of longer than 24 months, are being extended to bundles and to small business and not-for-profit customers for the first time, although they can expressly agree otherwise. Ofcom has confirmed that this does not limit CSPs from advertising contracts with a minimum duration exceeding 24 months to these customers, provided that they expressly agree to the contract duration when they sign up. Where consumers, small businesses and not-for-profit customers add a new service to their existing contract for broadband or voice services mid-term, CSPs will no longer be permitted to extend the length of the original contract unless the customer expressly agrees to the extension.
• Publication of Information. The information that CSPs must publish on their website about their services has been extended to include the contact details of the service providers, details about quality of service levels and on restrictions on equipment that can be used, and a clear breakdown of charges included within tariff allowances. Limitations on access to the emergency services and details of services for end users with disabilities must also be published.
• Customer usage notification requirements. Consumer, small business and not-for-profit customers must be notified when a service included in their tariff is used up and of the charges that they will incur if they continue to use the service. Ofcom have decided not to introduce any further requirements to give customers additional information on their consumption level or to set consumption limits, which had been in its original proposals.
• Information sharing with price comparison tools. CSPs will be required to make available, free of charge, publicly available data on the prices, tariffs, download speeds for fixed broadband (and locations these are available) and minimum quality of service to qualifying comparison tools in an open data format.
• Non-conterminous linked contracts. Although not a new rule, Ofcom recognises that linked contracts (for example, in a bundle) with different end dates could act as a disincentive for customers to switch provider until all services are out of the applicable fixed commitment period. Ofcom has issued new guidance on how it will assess if the linked contract deters switching and breaches the revised General Condition C1.8. This will be dependent on the case facts and take into account the financial, technical and contractual nature of the link between services.
• Availability of broadband services. Ofcom is extending the requirement to ensure the ‘fullest possible availability’ of services in the event of a catastrophic network breakdown or force majeure from voice services to include internet access services (i.e. broadband) as well.

From 21 June 2022:

• Right to exit for contract changes. Customers must be permitted to exit their contract without the payment of exit fees (other than for the cost of hardware) if the CSP makes a change to the customer's contract terms during the fixed commitment period and where the change is not exclusively to their benefit, purely administrative in nature, or required by law. This is a much lower threshold than the current rules which permit customers to exit the contract where the change is to their material detriment. Ofcom has updated its guidance on how communications service providers can comply with this rule. These new rules will apply to all contracts, from the implementation date, including existing contracts and new contracts and to all categories of customer – including large businesses. This is one of the more controversial changes given its broad nature and the high potential for customer churn for minor contract updates.
• Pre-contract information and contract summary. A short summary followed up by a more detailed set of contract information in a prescribed format (which is provided in a durable medium or easily downloadable document) of the contract's main terms must be provided before the customer is bound by the contract. These rules will apply to all services, including pre-pay mobile. Ofcom has provided guidance on how practical compliance may be achieved where there is limited involvement of sales personnel; for example, the sale of pre-pay SIM cards in supermarkets. It has also issued guidance on how CSPs must comply with these rules in an annex to Ofcom's statement.
• Right to exit after fixed commitment period. Customers must be permitted to exit their contract on no more than one month's notice when the contract reaches the end of the commitment period and automatically rolls on a monthly basis. This will apply to consumers and small business and not-for-profit customers. Although, the small business and not-for-profit customers can expressly agree a longer notice period.

From 21 December 2022:

• Switching and number porting. The rules on switching are being extend from mobile providers and fixed services provided by BT and KCOM to all providers of fixed networks irrespective of whether the switch will involve a switch between different providers and different technologies. There are general rules which are less prescriptive and apply to both consumers and all business customers, as well as more specific rules on information, notice period charges, consent and the compensation regime for delayed switched which will only apply to consumers.

A summary of the key rules changes are:

• the switch will be led by the gaining provider;
• switching must take place as soon as possible and on the date agreed with the customer;
• the customer can request to port its number(s) for at least one month post termination and there will be a ban on charging for number porting;
• providers must take all reasonable steps to ensure all customers are adequately informed before and during the switching process, including informing customers of the right to compensation;
• any loss of service as a result of the switch must not exceed one working day for consumers;
• compensation for missed appointments or if the switch takes longer than one working day or doesn’t happen is to be paid to consumers automatically within 30 days;
• for pre-paid mobile services, the customer can request a refund of any unused credit remaining after the switch date;
• a ban on notice period charges beyond the switch date for consumers.