Broadband ISP TalkTalk Unveil Fairer Pricing Commitments

Low cost UK ISP TalkTalk has today responded to Ofcom’s wider call for greater industry fairness to consumers by unveiling a new set of “pricing commitments“, which they claim will ensure that “vulnerable customers can benefit from the best available deals” and receive the “most appropriate support” to meet their needs.

Back in the Spring the regulator published a new “Fairness for Customers” commitment, which saw them asking broadband ISPs and mobile operators to voluntarily commit themselves to supporting a series of customer promises in respect to various areas including their quality of support, clarity of information and fairness in pricing etc.

Shortly after that Ofcom began consulting on a new Fairness Framework (here), which was centred on how they propose to actually assess “fairness” in the regulatory sense, such as in terms of identifying and then “stamping out unfair and harmful practices.”

Suffice to say that today’s announcement by TalkTalk, which introduces four new commitments to help “create a fairer telecoms market“, could perhaps be seen as somewhat of a response to Ofcom’s recent efforts.

TalkTalk’s New Pricing Commitments

1. Fairer pricing for all new and existing customers

TalkTalk firmly believes that loyalty is best rewarded by offering great value deals to those who commit to staying with us. We are now reaffirming our commitment of treating both new and existing customers fairly. From January 2020, it will be easier than ever for customers who wish to re-contract to access the same deals that are available for new customers.

2. The best tariff for vulnerable customers

TalkTalk is aware that some of its most vulnerable customers may find it difficult to take advantage of its best deals. We are therefore committed to switching vulnerable customers who are out-of-contract to a better deal. We will carry out an annual review and offer the best tariff for their individual needs. Customers who don’t respond will be automatically moved to the new tariff after a three-month period.

3. Better support for our vulnerable customers

TalkTalk will strengthen its staff training and experience in identifying vulnerable customers. This will ensure that new customers are always aware of the help, support and services that are available. We will also continue to work with consumer groups and charities as well as other industry sectors to better understand the needs of different groups of vulnerable customers.

4. Fair price increases

From October 2019, price increases for out-of-contract broadband customers will be capped at the annual rate of inflation.

We should add that TalkTalk already guarantees no mid-contract broadband price increases and they’re also one of the few ISPs that gets in touch with customers ahead of contract end, warning them that their bills are about to rise and proactively encouraging them to re-sign for cheaper deals. However Ofcom’s end-of-contract notification letters will soon spread this to other providers.

Tristia Harrison, CEO of TalkTalk, said:

“We’re proud to be launching our new fairness commitments that will ensure our customers are always put first.

Since TalkTalk was launched at the turn of the millennium, we have consistently challenged the industry to be fairer and campaigned for positive change. We hope our new commitments will encourage other broadband providers to follow suit. It’s time for the industry to properly address unfair tariffs and up its game when it comes to the support available to the most vulnerable in society.”

The changes are a most welcome development and we wouldn’t be surprised if other providers followed suit, which is no doubt something that Ofcom will highlight once their review of broadband pricing and the related fairness consultations have concluded.