Virgin Media has been slapped with a hefty £28 million fine for repeatedly obstructing customers from terminating their contracts. The telecommunications regulator Ofcom discovered that the company hindered or delayed millions of customers from switching to other providers through widespread and sometimes intentional mishandling of calls. This led to customers facing excessive effort and difficulties when attempting to cancel services over a nearly three-year period from January 2022 to September 2024.
Virgin Media employed various tactics such as pressuring customers to retain services, unnecessary call transfers, prolonged hold times, intentional call disconnections, and failure to process cancellations promptly. Additionally, the company failed to cooperate fully with Ofcom’s investigation, despite being fined previously in 2018 for the same offense.
Natalie Black, Ofcom’s group director for infrastructure and connectivity, emphasized that Virgin Media had made it challenging for customers to cancel contracts and lacked cooperation during the investigation. Consequently, Ofcom imposed its largest-ever fine under consumer protection rules to address the direct harm caused to consumers, sending a stern warning to providers acting against customer interests.
In response, a Virgin Media spokesperson stated that the company had revamped its customer service approach in recent years, rectifying past shortcomings through significant improvements. The spokesperson highlighted that Virgin Media now boasts the lowest complaint rates among broadband providers, with a drastic reduction in complaints related to cancellation difficulties.
Rocio Concha, Director of Policy and Advocacy at Which?, condemned Virgin Media’s deliberate efforts to impede customers from seeking better deals, labeling it a cynical tactic during challenging economic times. Concha praised the regulator’s decisive action through a substantial fine, signaling severe consequences for companies violating regulations.