Virgin Media fined £28 million for hindering customer contract cancellations
Virgin Media has been penalized with a £28 million fine after Ofcom determined that millions of customer calls were likely mishandled, preventing them from cancelling their contracts as desired. This obstruction reportedly stopped customers from switching to more favorable deals for broadband, landline, and pay-TV services.
According to the BBC, Ofcom stated that Virgin Media employed tactics such as agents hanging up on customers or placing them on hold unnecessarily. The penalty was reduced by 30% due to Virgin Media acknowledging its failings and agreeing to a settlement. The company has since apologized to the "small number of customers who have experienced difficulties when contacting us to end their contract or to part ways with their service in the past."
This represents the third-largest fine ever imposed by Ofcom and the largest to date concerning consumer protection rules. Ofcom's investigation covered millions of phone calls made between January 2022 and September 2024, revealing that Virgin Media incentivized call center agents for delaying or preventing customers from switching to competitors.
"As soon as this problem emerged, several years ago in 2022, we tried to resolve it amicably. But the willingness was not there," stated Natalie Black, Ofcom's Director of Infrastructure and Connectivity. "The facts are clear. Virgin Media made it difficult for customers to cancel their contracts and then did not fully cooperate with our investigation. Consequently, we are imposing the largest fine ever levied under our consumer protection rules for direct harm caused to consumers."
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