Watchdogs call for crackdown on phone dodge

CONSUMER watchdogs are calling for a crackdown on telecom firms which deploy controversial "phone-slamming" techniques to snatch customers away from rival firms.

Citizens Advice Scotland (CAS) says hundreds of Scots have complained their phone or broadband contract has been moved without their knowledge, after they were cold-called by a sales representative.

In some cases, customers have only a few seconds' conversation with the cold caller, in which the identity of the potential customer is established. The caller then hangs up but the brief conversation is enough for the telecom firm to prove later that it had spoken to the customer.

Others customers have complained they repeatedly told sales reps that they did not wish to switch, but were moved regardless.

The techniques of phone slamming are outlined in a report published by CAS tomorrow. The report adds to evidence against a number of companies already under investigation by Ofcom for "slamming" and "mis-selling".

CAS insists stricter penalties are needed to stop it. CAS chief executive Lucy McTernan said: "There are increasing reports of telephone 'slamming', which continues to be an issue for CAB clients.

"Regulatory bodies need to enforce stricter penalties on telecom providers in order to eradicate telephone 'slamming' and incorrect billing."

In one case in the north of Scotland, an elderly woman refused to switch during a phone call with a company - and followed up with a letter reiterating this. When she began to receive bills from a new provider, she advised the company she had not agreed a contract but still had her phone cut off.

The CAS report also highlights companies which do not make customers - especially the elderly - aware that they are signing up for packages which may include charges for services which they do not need, such as wireless internet. Older people are most vulnerable as 94 per cent of all over-65s in Scotland use landlines, while more than two thirds of over-75s rely on their home phone as their only means of communication. BT, which operates most of the UK's telephone exchanges, said it receives around 2,000 complaints a month from customers who had been slammed.

BT Scotland spokesman Mitchell Reid said: "BT is disappointed that customers are continuing to suffer in this way."

A spokeswoman for Ofcom said the regulator, which is holding investigations into TalkTalk and smaller companies such as Continental Telecom, Plus Save and KCT, currently has powers to order companies to come into line with its rules over mis-selling and phone slamming. It is able to fine up to 10 per cent of a company's turnover if regulations have been breached.

"Ofcom takes consumer protection very seriously and considers slamming to be totally unacceptable," said a spokeswoman. "Tackling this issue in the communications market is an important priority."

The watchdog has taken action against around 18 companies over the past few years, including fining two firms the maximum 10 per cent.