Ofcom forces BT to pay compensation for broadband service

Friday 21 March 2008

Regulators Ofcom has forced BT's wholesale division to improve the service it provides to operators and pay out compensation for bad service to customers. Affecting BT's Openreach service, the new rules will require BT to: · Pay compensation proactively without Openreach customers needing to make a claim should a fault be fixed or a line provided later. · Pay every time service or quality falls below the contractual threshold instead of paying out against performance stated as an "average over time". · Continue to pay compensation each time problems persist up to a capped limit. · For local loop unbundling, pay additional compensation for failing to activate "live" lines at double the current amount.

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Ofcom revealed that telecom companies had expressed concerns that Openreach was not sufficiently focused on meeting the needs of all its wholesale customers. The new rules will be enforced on 20th June 2008. Source: Computer Weekly

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