Communications provider Entanet says that new Ofcom proposals to curb mis-selling in the telecoms industry do not go far enough and is calling on the regulator to ensure that the rules are strictly enforced or face the prospect of continued malpractice.
In the latest article on its opinions web page (http://opinion.enta.net/), the company says that while the new proposals are to be welcomed, they will only be effective if the regulator gets tough on offenders.
Following the announcement of the proposals, BT and the TSI (Trading Standards Institute) have suggested introducing a new PIN based system. The new service provider would need to submit the PIN obtained by the customer from their existing provider before any transfer would be authorised. This is similar to the Migration Access Code (MAC) system that is used for broadband transfers.
In the article, Neil Watson, Entanet’s Head of Operations, states: “Whilst I agree with BT and the TSI that this PIN system is likely to minimise the amount of blatant opportunistic mis-selling, I don’t believe that this alone will be enough to tackle the harder-faced offenders. Even the similar MAC process for broadband can and has been abused. There have been cases of slamming reported where the MAC has been fraudulently obtained without the customer’s knowledge. What we really need to tackle this problem is enforcement.”
With significant levels of public concern now being voiced about slamming and mis-selling, the new rules give the regulator a chance to re-invigorate its reputation, Watson adds. “In the past Ofcom has been accused of being a ‘toothless tiger’. This is the perfect opportunity for them to prove their critics wrong and step up to the mark by actively hunting down the offenders and enforcing their new powers to their full potential.”