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Ofcom to investigate BT for over-charging Anytime customers Ofcom to examine BT over-charging claims
(3 days later)
BT has been accused of over-charging its customers – possibly by millions of pounds – after adding an extra 1p to the cost of calls to mobiles for some customers on its most popular package.BT has been accused of over-charging its customers – possibly by millions of pounds – after adding an extra 1p to the cost of calls to mobiles for some customers on its most popular package.
Some two-thirds of the company's 10 million home phone customers are thought to be on the telecom group's Anytime calls deal, which advertises unlimited free calls to other landlines, as well as discounted calls to mobiles.Some two-thirds of the company's 10 million home phone customers are thought to be on the telecom group's Anytime calls deal, which advertises unlimited free calls to other landlines, as well as discounted calls to mobiles.
The BT tariff shows that Anytime customers should be paying 21p for short mobile calls. But the Guardian has found that some customers are in fact being charged 22p. Only BT knows how many of its 10m customers are affected because of its complex tariff structure, but for every million customers paying 1p extra on 10 calls a month, BT would net an extra £1.2m a year.The BT tariff shows that Anytime customers should be paying 21p for short mobile calls. But the Guardian has found that some customers are in fact being charged 22p. Only BT knows how many of its 10m customers are affected because of its complex tariff structure, but for every million customers paying 1p extra on 10 calls a month, BT would net an extra £1.2m a year.
The telecoms firm insisted it is not overcharging, but conceded that the complicated way it rounds up call charges can add an extra penny to bills. It is now reviewing the way it "informs" customers about its pricing.The telecoms firm insisted it is not overcharging, but conceded that the complicated way it rounds up call charges can add an extra penny to bills. It is now reviewing the way it "informs" customers about its pricing.
The telecoms regulator, Ofcom, confirmed it is investigating, and has asked BT for a full explanation. If it finds that the company has advertised one price but charged a higher amount, BT could be forced to refund those affected.The telecoms regulator, Ofcom, confirmed it is investigating, and has asked BT for a full explanation. If it finds that the company has advertised one price but charged a higher amount, BT could be forced to refund those affected.
The extra penny charge was uncovered by BT customer and Guardian reader Gordon Jones. Calls to mobiles from his landline are supposed to incur a 15p set up fee, plus 6p per minute. Jones, who lives in west London, said every call to a mobile on his most recent bill shows an extra 1p.The extra penny charge was uncovered by BT customer and Guardian reader Gordon Jones. Calls to mobiles from his landline are supposed to incur a 15p set up fee, plus 6p per minute. Jones, who lives in west London, said every call to a mobile on his most recent bill shows an extra 1p.
"I have queried this four times with BT customer service. Twice they promised to get back to me but didn't. I then received a slightly incoherent explanation about how they handle VAT and rounding up of charges. And finally they have ignored me again. I suspect its not just me who is being overcharged. If you can add a penny to every mobile call being made I'd have thought it would add up to quite a big total," he says."I have queried this four times with BT customer service. Twice they promised to get back to me but didn't. I then received a slightly incoherent explanation about how they handle VAT and rounding up of charges. And finally they have ignored me again. I suspect its not just me who is being overcharged. If you can add a penny to every mobile call being made I'd have thought it would add up to quite a big total," he says.
Guardian analysis of bills sent to a number of BT Anytime customers found they are all paying differing rates to call landlines from home.Guardian analysis of bills sent to a number of BT Anytime customers found they are all paying differing rates to call landlines from home.
Anytime customers who originally signed up to the Friends & Family Mobile tariff - now withdrawn - have also had a penny added to mobile calls.Anytime customers who originally signed up to the Friends & Family Mobile tariff - now withdrawn - have also had a penny added to mobile calls.
An Ofcom spokesperson said the regulator has strict rules in place to ensure that communications providers provide accurate information to consumers.An Ofcom spokesperson said the regulator has strict rules in place to ensure that communications providers provide accurate information to consumers.
"While Ofcom does not regulate the retail prices charged by providers, nor any rounding policies applied, all pricing information and related policies should be published clearly and transparently," she said."While Ofcom does not regulate the retail prices charged by providers, nor any rounding policies applied, all pricing information and related policies should be published clearly and transparently," she said.
"We are currently engaging with BT following concerns raised about possible discrepancies between the advertised price for calls to mobiles, and the actual charge made to some consumers. It is essential that consumers are made fully aware of the actual price they will pay and are able to make meaningful cost comparisons,"We are currently engaging with BT following concerns raised about possible discrepancies between the advertised price for calls to mobiles, and the actual charge made to some consumers. It is essential that consumers are made fully aware of the actual price they will pay and are able to make meaningful cost comparisons,
A spokesman for BT insisted the company has not overcharged customers, but was unable to say what determined whether the extra penny was added.A spokesman for BT insisted the company has not overcharged customers, but was unable to say what determined whether the extra penny was added.
"The way our system rounds up the cost of calls to full minutes and pennies can sometimes have the effect of adding a maximum of 1p to a call of any duration. Our tariff guide on bt.com explains clearly how we do this, but we are happy to review how we inform customers about this small financial anomaly as we are always keen to be open and transparent with our customers.""The way our system rounds up the cost of calls to full minutes and pennies can sometimes have the effect of adding a maximum of 1p to a call of any duration. Our tariff guide on bt.com explains clearly how we do this, but we are happy to review how we inform customers about this small financial anomaly as we are always keen to be open and transparent with our customers."