Roaming charges - strong message given to mobile operators

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Strong heat is being applied to mobile phone companies in Europe and many other parts of the world over excessive charges for roaming and termination charges. Users are often the victim, with some extraordinary stories of "bill shock" for users who unwittingly used their mobile phones overseas with no idea of the likely cost.

Nick White reports that at the end of a recent Westminster eForum on mobile termination rates and roaming charges where he spoke as Executive Vice Chairman of INTUG, a story was told of one unsuspecting customer who received a bill for £30,000 for data roaming. This was reduced to £329 after his lawyer used the Consumer Credit Act in his defence, Lord Lucas gave the following message to mobile operators.


"I think sometimes some of the comments made by the industry just seem to me to be naive.  You are a regulated industry, you operate under a franchise from the government, regulation is always going to be there, sitting, waiting for you unless you behave perfectly, which is very hard to do.  As I said, charging customers £30,000, but just as importantly not providing business with the services that they need (a reference to Nick's presentation) is always going to bring regulation down on your head.  The only way of avoiding it is to be better and to be there ahead of the regulation, and that you haven't managed.  So I think you just have to live with what is coming your way, and I don't think it will change with the Conservative Government (a confident prediction of the result of the next UK election!).  I think the view is that this is an industry that needs some help to get it where we want to get it.  To prove us wrong is an opportunity which should have been taken over the last two or three years and hasn't been.  I'm, sorry if that is a bit bleak from the political point of view."

Ouch!  The mobile operators were duly admonished.

Categories: Regulatory | TUANZ policy | Wireless carriers

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