BT Facing £600m Claim Over ‘Historic charges’

Action relates to overcharging of landlines

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BT £600m lawsuit
Unified CommunicationsLatest News

Published: January 18, 2021

Tom Wright

Managing Editor

BT is facing a £600m lawsuit over claims it failed to compensate overcharged customers.

Ofcom found in 2017 that BT was charging customers too much for its landline-only service, with BT ultimately reducing its landline prices by £7 a month.

But this lawsuit claims that BT should compensate customers who had been paying too much in the years prior to the reduction.

The lawsuit is specifically focused on the period from 1 October 2015 onwards.

A high proportion of affected customers are over 75, according to law firm Mishcon de Reya.

Rob Murray, Partner at the firm, said: “The claims of customers directly harmed by BT’s exploitative behaviour are precisely the type of claims the collective actions regime is designed to deal with.

“We hope very much that a settlement can be reached to resolve them in line with BT’s acceptance of the need to avoid overcharging when investigated by Ofcom”

Mishcon de Reya is working on behalf of Justin Le Pataourel – a telecoms expert who previously worked for Ofcom.

They hope to represent over two million affected BT customers, via the Collective Action on Land Lines (CALL) campaign group.

The BBC reported that BT rejects the claims, arguing that it was never actually found guilty of anti-competitive behaviour and therefore should not have to pay out.

A BT spokesperson said: “We take our responsibilities to older and more vulnerable customers very seriously and will defend ourselves against any claim that suggests otherwise.

“For many years we’ve offered discounted landline and broadband packages in what is a competitive market with competing options available, and we take pride in our work with elderly and vulnerable groups, as well as our work on the Customer Fairness agenda.”

CALL said it believes 2.3 million customers could be owed up to £500 each in compensation.

 

 

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