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Date: Wednesday, November 14, 2007

Regulations on switching broadband supplier to be relaxed

Switching broadband suppliers

A new set of regulations has been launched in the UK, which should make it easier for consumers to change from one broadband supplier to another. Until now the industry was notorious for charging customers for cancelling their accounts and making it difficult for them to switch. However, from 14 February 2007 this is set to change, with new rules to prevent suppliers from penalising its customers in this way.

Ofcom regulations

The regulations will be enforced by communications watchdog Ofcom, and companies could face heavy fines for infringement.

Getting your MAC code

Broadband usage is increasing continually, now accounting for over 75% of Internet connections. With the growth of the industry, there has been a great deal of competition and price wars between suppliers, resulting in many users wanting to switch to a cheaper deal. However, for many the experience has been much more difficult than they anticipated, with their supplier either attempting to charge them for leaving or withholding vital information that’s required to register with a new provider such as the ‘Migration Authorisation Code’ or ‘MAC’, the code that identifies the user’s phone line. Part of the problem has been that not all companies use the MAC system, but from 14 February it will be compulsory for all broadband suppliers to use it as well as illegal to withhold it or charge for releasing it.

Customers experiencing any problems with changing supplier will now be able to seek support from Ofcom, which enforces the rules and has the power to issues fines of up to 10% of a company’s turnover.