Mis-sold broadband: will Ofcom ever see this fraud banned?

UK regulator talks tough

UK regulator Ofcom has hinted that the nationโ€™s misled broadband customers could get clearer and more consistent information about their service when signing up to a new deal. New proposals announced by Ofcom today, hint at โ€˜planned new guidanceโ€™ about the use of the terms fibre and full-fibre on their websites and in contracts. According to Ofcom, they should only be able to use this if their network uses fibre-optic cables all the way from the exchange to the home. Customers would also be given a short, easy-to-understand description of the type of broadband network technology they are signing up to.

However, many UK consumers feel that Ofcom is effectively useless as a regulator. It allows the telcos license to mislead because, it says, full-fibre networks are currently being deployed at pace. Since some customers are now spoilt for choice, with a range of different technologies on off for their broadband service, it is assumed that the majority are happy. No even Ofcom has admitted that the term โ€˜fibreโ€™ is applied inconsistently by the industry, sometimes being used to describe older part-fibre, part-copper technologies, leading to confusion among customers.

Ofcom research has found that only 46% of customers who reported being on full-fibre broadband were living in areas where it is actually available. In addition, more than a quarter (27%) of broadband customers lacked confidence in understanding the language and terminology used by providers. โ€œWe also found that, when choosing a broadband service, more than half (53%) would find it useful to have a short description of the underlying technology used to deliver their services,โ€ said Ofcom.

Ofcom has existing rules requiring providers to give a description of the service they provide to customers. โ€œHowever, we do not believe there is sufficient clarity and consistency in how the underlying technologies used to deliver broadband services are described,โ€ it said, in a statement.

So, we are proposing new guidance to ensure providers give information on the underlying technology of the broadband connection using one or two consistent terms. Providers should also give a more detailed explanation of these terms in a format that is readily accessible to customers. Ofcom now inviting views on these proposals which should be submitted by 3 May 2023. We will consider all responses before making our final decision, which we aim to publish later this year.

โ€œSo today weโ€™re proposing to introduce new guidance to ensure that broadband firms give clearer, straightforward information about their services โ€“ making it easier for people to take advantage of more reliable, and potentially higher speed technology, as it becomes available,โ€ said Selina Chadha, Ofcomโ€™s Director of Connectivity.

Though Ofcom has taken its time to even recognise a malpractice that has been in existence for years and could easily have been tackled, its initiative was welcomed by two CEOs of genuine fibre infrastructure builders.

โ€œThere continues to be confusion around whether itโ€™s super-fast, ultra-fast, full or part fibreโ€ said Jarlath Finnegan, CEO of Giganet. Britainโ€™s telcos have got away with it for too long, according to Greg Mesch, CEO of CityFibre. โ€œMillions of consumers have been mis-sold broadband products for too long. They have been sold internet connections that still use outdated, slow and unreliable copper networks but have been advertised as fibre connections,โ€ said Mesch, โ€œOfcom is clear that full fibre is better broadband, and we look forward to it stamping out this practice so that consumers can no longer be misled.โ€