BT facing compensation claim related to overcharging fixed line customers

18 Jan 2021

UK-based BT Group is reportedly facing a claim for almost GBP600 million (USD815 million), after a consumer campaign group lodged a case with the Competition and Appeals Tribunal (CAT) over the telco’s alleged failure to compensate fixed line customers for overcharging.

According to Reuters, Collective Action on Land Lines (CALL) – the group that has brought the matter to the CAT – alleges that BT failed to make up for price increases over several years, despite the fact its costs were declining. Although the telco did agree to reduce fixed line prices in March 2018 by GBP7 per month, following an Ofcom review of the retail market for standalone fixed line services, CALL has argued that BT has yet to properly address past overcharging. The report notes that as per the consumer group’s claim it is seeking payments of up to GBP500 for each of BT’s fixed voice subscribers.

For its part, BT said it strongly disagreed with the claim, with it cited as saying in a statement: ‘We take our responsibilities to older and more vulnerable customers very seriously and will defend ourselves against any claim that suggests otherwise.’

United Kingdom, BT Group (incl. Openreach), Ofcom