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January 16, 2015

UK Mobile users wasting Billions on Wrong Contracts, reports Which?

which-logoToday Which? the UK’s consumer research and campaigning champions have published a report that show consumers could on average save hundreds on a mobile contract by switching to a better-suited one.

Which? survey finds UK mobile users could be wasting billions of pounds each year simply by being on the wrong phone contract, new research has found.

A report from industry watchdog Which? found that customers in the UK are losing out overall to the tune of £5.42bn per year, primarily by incurring extra charges on data, texts or minutes outside of their price plan.

Overall, seven in ten  mobile customers could save £159 each year on average by switching to a contract that better suits their needs, according to supporting Ofcom figures, with three-quarters able to save at least £50 a year.

In demand

Fortytwo% of people with a mobile phone contract think that there is a better value tariff out there for them, however Ofcom research shows switching levels are low with half fortyeight % of people confessing that they have never switched supplier.

With only three in ten people trusting mobile phone services, Which? is calling on mobile phone companies to take several steps to improve the consumer experience.

Switching Mobile Providers

Even when people know they’re on the wrong deal, they’re reluctant to switch due to the many barriers in the way. For example, mobile companies don’t always notify you when your contract’s about to end, they require 30 days’ notice if you want to switch and charge you to unlock handsets you’ve already paid for. And then there are all the different tariffs available.

We’re calling on mobile companies to notify you a month before your contracts ends with the best deals for you, show the monthly cost of the handset separately from the service charge and to unlock handsets for free.

 

Which? executive director, Richard Lloyd said:

“It’s shocking that consumers are overpaying by billions of pounds for mobile phone contracts that just don’t suit their needs. Mobile phone companies must do more to help people get the best deal, making switching hassle free and ensuring that pricing is transparent. If we don’t see mobile firms making voluntary improvements then we will ask the regulator Ofcom to step in.”

Via: Which? report

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Dave Thornton

Senior Editor

Senior Editor
Been involved in technology for many years, more than I care to remember. Live in Dundee, Scotland. I like Android, Windows Phone OS, BlackBerry OS and iOS, and love writing about all things techie. Currently have a Honor 6+, Elephone P6000, Nexus 5, Chrombook C720, HTC One M7, Nokia Lumina 625, Microsoft Lumia 435, Blackberry Q10, HTC Hero and iPad mini