We’re moving home, the time of digging out utility contracts and organising switches. Water bill was instant, TV licence was instant, moving Council Tax took 5 minutes, transferring energy took 11 minutes, and the broadband is another story altogether. It’s 2016, isn’t it time that broadband services should be treated like any other utility provider?
With the rise of ‘generation rent’ as home ownership becomes an unaffordable luxury only achieved by those whose wealthy relatives kicked the bucket, surely Ofcom should protect tenants by introducing flexible contracts? The issue is most tenants face extortionate contract exit charges because their broadband contract doesn’t align with their tenancy agreement. Sometimes lining up dates can be beyond tenants’ control as landlords have the ability to serve notice early.
Facing extortionate cancellation charges with @BTCare for moving out of rental property. Will never spend money with them again.
— Michael White (@michaelwhite1) February 27, 2016
In the past a broadband contract may have been a luxury, unlike energy bills that are a necessity. Times have changed though. With at least 7 internet-connected devices in British homes, some of which only functional through constant connection, broadband has become just as crucial as utility contracts; it is a utility.
So with our BT broadband contract we had two choices:
- Let the contract reach the end, risking being liable for phone charges by new tenants moving into the property;
- Or, cancel the contract 13 days early.
As the BT adviser said on the phone, ‘You’re stuck between a rock and a hard place. If you don’t cancel then you will be liable for charges when the new tenants move in.’ The problem is that cancelling the contract costs £71, something we found crazy as the usual monthly payment is £35 – turns out an extra charge was put in to cover “equipment cost”.
I’ll admit that contractually BT are in the green, there should be exit charges and they have the right to make these ridiculous to keep customers locked in. The problem is applying these traditional contracts to the rental market, where it’s impossible foreseeing changes in the tenancy agreement. We would have stayed in our rental property but have had to move due to structural issues.
We’re luckier than most, whilst £71 is still a lot of money (especially when we’re getting nothing for it), it won’t break the bank. In our eyes we paid it to escape the contract in case the new tenants made us liable for £££s worth of calls abroad. I feel sorry for BT customers who are financially struggling, a quick search online shows people in tough situations where BT is fuelling its £2.6bn profits (2015) from unjust exit charges to tenants.
Something should be done to make broadband contracts as flexible as energy providers or switching current accounts. As long as the current system remains, tenants will continue to be charged giant exit fees, usually for no fault of their own. It’s 2016, let’s make internet access flexible and affordable.
Hey @Ofcom. Been charged £71 for cancelling @BTCare contract 13 days before expire (rental move). Now no BT service for 5 days. Fair?
— Michael White (@michaelwhite1) March 14, 2016
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