No penalty for quitting slow internet deals

Better broadband

BROADBAND firms must let customers walk away free of charge if they receive poor service under new Ofcom rules being brought in next year.

For the first time, customers of providers that fail to deliver a minimum advertised speed and do not fix the problem within 30 days will be entitled to end their contracts without penalty.

Companies will also have to show the minimum guaranteed speed to potential customers at the point of sale.

The right to exit a contract penaltyfree will apply for the first time to landline and TV packages bought with broadband, meaning customers will not be locked into a TV contract if their broadband service falls short.

Providers will be obliged to give more realistic peak-time speed information at the point of sale. They have 12 months to make the changes before the requirements come into force for contracts signed from Mar 1 next year.

Lindsey Fussell, Ofcom’s consumer group director, said: “These protections will close the gap between the broadband speeds people are sold, and what they actually receive.”

Alex Neill, the managing director of home products and services at Which?, said: “Further steps to help inform customers and empower them to walk away without a penalty are welcome.

“Providers signed up to the code need to move quickly to implement these changes, so that broadband customers are given a realistic expectation of the speed they should experience before they commit to a contract.”