News Articles

Thursday, December 20, 2012

Possibility of price rises means Three UK has advertising complaint upheld

The possibility of monthly charges rising during a fixed-term mobile phone contract has resulted in a complaint being upheld against a Three UK advertisement. Because the network reserved the right to increase charges in line with inflation during the minimum term, the UK Advertising Standards Authority has ruled that referring to a fixed monthly amount was misleading.

Consumer organisation Which? has been campaigning for mobile networks to guarantee fixed prices throughout the initial term of ‘pay monthly’ contracts, while UK regulator Ofcom has responded to these concerns with a formal consultation.

Promoting a tariff as ‘£30 per month’ for a ‘24 month contract’ is unacceptable, the ASA said, because this did not clearly explain that the network could increase the monthly price within the term of the contract.

Three noted that its contracts only permitted the monthly recurring price to increase in line with inflation (the ‘RPI’), pointing out that other mobile operators and internet service providers had similar terms. In addition, 2012 was the first time it had increased prices in this way for nine years.

In its assessment, the ASA said the potential for the monthly tariff to be increased should have been made clear in Three’s advertising material. As it wasn’t, the ad breached the Committee of Advertising Practice rules on misleading advertising and qualification.

[ASA adjudication]

Print
Author: The Fonecast
0 Comments
Rate this article:
No rating

Leave a comment

This form collects your name, email, IP address and content so that we can keep track of the comments placed on the website. For more info check our Privacy Policy and Terms Of Use where you will get more info on where, how and why we store your data.
Add comment

Follow thefonecast.com

Twitter @TheFonecast RSS podcast feed
Find us on Facebook Subscribe free via iTunes

Archive Calendar

«July 2024»
MonTueWedThuFriSatSun
24252627282930
1234567
891011121314
15161718192021
22232425262728
2930311234

Archive

Terms Of Use | Privacy Statement