UPC in breach of code over price hikes

TELEVISION, PHONE and broadband provider UPC has been reprimanded for failing to properly inform its customers of a price increase…

TELEVISION, PHONE and broadband provider UPC has been reprimanded for failing to properly inform its customers of a price increase which it rolled out in early January.

Under the terms and conditions of a code of conduct, the company must inform its customers individually in writing of increases and substantial changes to the terms and conditions of their contracts.

According to the code, overseen by the Commission for Communications Regulation (ComReg), it also has to give customers 30 days to opt out of contracts if they wish without imposing any penalty.

ComReg found the company had failed to properly notify customers of the increases which came into effect across its broadband and telephone services on January 4th. UPC now has a month to respond to the charges and if it fails to adequately address them, it could face High Court action.

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The issue was first highlighted in this newspaper before Christmas. When contacted at that time UPC said it had “conducted a review across its service and product portfolio” and publicly announced the outcome of this review “in the press and on the company website”.

It insisted it had not been in breach of the code or tried to impose the price hikes without properly informing customers. It also claimed that in addition to publishing information about the increases on its website and in newspaper advertisements, customer communications also included bill inserts, e-inserts; letters, e-letters and bill messages.

ComReg said yesterday the company had been in breach of regulations by failing “to furnish its subscribers with the proper individual and prior notification of a proposed change to their contract terms and conditions . . .”

UPC said it believed it had complied with “all regulatory obligations as provided under our licence”. It said it would take the time allowed to it to respond and had “nothing further to add”.

Conor Pope

Conor Pope

Conor Pope is Consumer Affairs Correspondent, Pricewatch Editor