Ofcom Urges ISPs To Up Speed Transparency

Ofcom today said Internet Service Providers (ISPs) are still not being transparent enough about providing information on their broadband speeds in accordance with the regulator’s Voluntary Code of Practice on Broadband Speeds.

Although Ofcom acknowledged that improvements had been made, it said more had to be done by the likes of BT, TalkTalk and Virgin following the latest round of the regulator’s mystery shopping tests.

Can do better

The code was introduced in 2008 in an effort to ensure customers were aware what their likely broadband speeds would be from an ISP before they sign up to a service. This was then strengthened in 2011 when the UK ISPs agreed to provide this information as soon as possible in the sales process.

Ofcom said that in their tests, this information was provided 93 percent of the time, although 72 percent of the time this was provided in the form of a range. However, just 59 percent of sales agents said these estimates without being prompted.

The most likely ISP to volunteer this information without begin prompted was Karoo, with 76 percent, closely followed by Sky with 72 percent and Plusnet with 67 percent. TalkTalk fared much worse with 48 percent with BT only slightly better at 48 percent. Both companies have agreed to improve staff training following the results.

The code will be reviewed next year, along with another round of mystery tests.

More transparency

“It is vital that as the choice of broadband services expands, UK consumers get the best possible information when choosing a broadband provider,” said Claudio Pollock, consumer group director at Ofcom. “Our mystery shopping shows that, while consumer information about broadband speeds has improved in important areas, there is still more to be done.”

“We are working with internet providers to improve information that consumers receive when they sign up to a new service and will continue to monitor this area closely,” he added.

Ofcom has frequently criticised ISPs for not being transparent enough about speeds. It performed a round of mystery shopper tests in 2010, which revealed that although 85 percent of sales agents revealed speed information, 42 percent had to be prompted. In February, Ofcom reiterated its concerns about ISPs misleading customers in its latest report in broadband performance.

Research from the London School of Economics (LSE) suggested that the government faces a £1.1 billion funding shortfall which must be addressed if the UK is to harness the social and economic benefits of superfast broadband.

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