Nov 16, 2018
Virgin Media and EE fined for overcharging customers
The telecoms regulator has levied fines of more than £13m against Virgin Media and EE after ruling the two companies charged customers that cancelled their contracts early an "Excessive" amount. Tom Mockridge, chief executive of Virgin Media, said: "We profoundly disagree with Ofcom's ruling. This decision and fine is not justified, proportionate or reasonable. A small percentage of customers were charged an incorrect amount when they ended one or more of their services early and for that we are very sorry." Ofcom said about 400,000 EE customers were overcharged when switching at an aggregate cost of £4.3m. The mobile company, over a six-year period, had miscalculated the early exit charges by failing to apply relevant discounts, it said. Almost 82,000 Virgin Media customers were also charged too much when exiting their contracts, some by as much as £100. Virgin has agreed to lower its early exit fees by between 30 and 50 per cent and will now not make customers who move house but stay with Virgin sign a new contract.
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