ASA wrist slaps half a dozen UK telcos for misleading ads

The Advertising Standards Authority (ASA) has upheld complaints against six UK telecoms providers for failing to present information about mid-contract price rises in way that would be clear to consumers.

Mary Lennighan

October 9, 2024

2 Min Read

All six were judged to have breached relatively new guidelines on the presentation of mid-contract price increases in advertising that came into force in December. As such, the watchdog has ordered all six to pull the ads in question.

The ASA issued separate, but linked, rulings against BT, EE, Plusnet, TalkTalk, Telefonica O2 and Virgin Media. In all six cases, the authority said it had received complaints that the presentation of information about mid-contract price rises in specific adverts from April and May last year was misleading.

Naturally, all the adverts are slightly different, but the over-arching theme is the way the operators positioned the headline prices for their broadband plans – and in O2's case, a trio of mobile data offers – followed by the relevant information about any mid-contract increases.

BT, EE and Plusnet were – understandably, given that they hail from the same stable – highly similar in the way they shared those details: they gave a headline figure then information on the price rises in smaller text. In BT and EE's case this information was given in pounds and pence, as per the upcoming Ofcom guidance in this area, while Plusnet stuck to an inflation-linked increase.

It's worth noting that these six cases have nothing specifically to do with the Ofcom rules that will ban inflation-linked mid-contract rises from 17 January next year. But they are all part of a broader picture in which UK regulatory authorities are seeking to make life simpler for consumers when it comes to selecting broadband and mobile plans.

TalkTalk advertised four separate packages on 24-month contracts with prices set until next April, but the ASA was unhappy with the number of asterisks linking to the small print, which it says did not give enough weight to the fact that the headline prices would then be subject to an inflation-linked hike. The use of asterisks and links to provide full pricing information also went against Virgin Media. And O2 was also adjudged to have failed in its duty to provide clear information on three iPhone data plans despite the presence of a pinned banner that included advice on future price rises.

That's a broad brush summation of the six rulings. There was lots more to go on in each case; those keen to check out the finer details can find the rulings on the ASA's webpage.

There is no actual penalty for the telcos, other than being required to withdraw – or rework – their advertising material. But it's the broader implication of the decisions that is important here.

The six rulings serve to demonstrate that the UK's various regulatory bodies are on the same page when it comes to the way information about telecoms service plans is shared. All concerned are championing consumer clarity and that can only be a good thing for the market. Telcos are being told in no uncertain terms to ditch the smoke and mirrors.

About the Author

Mary Lennighan

Mary has been following developments in the telecoms industry for more than 20 years. She is currently a freelance journalist, having stepped down as editor of Total Telecom in late 2017; her career history also includes three years at CIT Publications (now part of Telegeography) and a stint at Reuters. Mary's key area of focus is on the business of telecoms, looking at operator strategy and financial performance, as well as regulatory developments, spectrum allocation and the like. She holds a Bachelor's degree in modern languages and an MA in Italian language and literature.

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