In the past consumers had the right to exit a telecoms contract without penalty when price increases were announced, as such revisions amounted to a material change of the terms and conditions. Under the proposed changes, any price increases will be considered a change to the terms and conditions that will allow a consumer to exit the contract without any financial penalty. He said “any proposal to legislate to prevent retail telecoms and broadband providers from offering variable priced contracts based on the CPI would require careful consideration”. The proposed changes are likely to be met with resistance from the providers. However, Government sources expressed confidence that the measures would be quickly implemented and could be in place before the next round of price increases next spring.
