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Virgin Media fined £28m for preventing customer cancellations

Virgin Media fined £28m for preventing customer cancellations

Key Takeaways

  • Ofcom levies largest-ever consumer protection fine on Virgin Media.
  • Firm found to have deliberately mishandled millions of phone calls over three years.
  • Tactics included call drops, unnecessary transfers, and prolonged hold times.

Virgin Media has been fined £28 million by the UK telecoms watchdog Ofcom for repeatedly preventing customers from cancelling their contracts. The fine is the largest ever issued under consumer protection laws in the UK.

Ofcom’s investigation revealed that Virgin Media likely mishandled millions of phone calls between January 2022 and autumn 2024, employing tactics such as call drops, unnecessary transfers to other departments, and putting customers on hold for no reason. These actions were found to be deliberate and aimed at hindering customer cancellations.

The company’s handling of these calls was described by Ofcom as ‘likely mishandled’ with a significant impact on consumer rights. Virgin Media has faced criticism from both regulators and consumers, who have accused the firm of prioritizing profits over customer satisfaction.

In response to the fine, Virgin Media stated that they are committed to improving their customer service standards. A spokesperson for the company said: 'We take this matter very seriously and are working closely with Ofcom to address any issues identified.'

The fine is part of a broader trend in the UK telecoms industry where companies have faced increased scrutiny over their treatment of customers. Other firms, including BT and TalkTalk, have also been fined for similar practices.

Consumer advocates welcomed the decision, stating that it sends a strong message to other companies about the importance of respecting customer rights. A spokesperson from Which? said: 'This fine is a significant step towards ensuring telecoms providers treat their customers fairly.'

The case highlights the ongoing challenges in protecting consumer interests in the digital age, where complex service agreements and automated systems can often lead to misunderstandings or difficulties for customers seeking to terminate services.

Going forward, Virgin Media faces the task of not only addressing the immediate issues but also implementing long-term changes to ensure better customer experience. The company will need to demonstrate a commitment to transparency and accountability in its dealings with consumers.

'We take this matter very seriously and are working closely with Ofcom to address any issues identified.'

Virgin Media spokesperson, Company spokesperson

'This fine is a significant step towards ensuring telecoms providers treat their customers fairly.'

Which? spokesperson, Consumer advocacy group representative