Ofcom orders BT to refund EE and Plusnet customers

EE and Plusnet, which are owned by BT, failed to apply new consumer protection rules, according to Ofcom's investigation. 

The rules, which came into force in 2022, state that customers must be given clear contract information, including the price and length of the contract, the speed of the service and any early exit fees before signing up for a new deal. 

Below, we explain what action the regulator is taking against BT and what will happen if you’re one of the customers affected.

EE and Plusnet broke Ofcom rules

An investigation by Ofcom found that, since 17 June 2022, EE and Plusnet made more than 1.3m sales without giving customers the required contract information.

This was even though BT told Ofcom it was ready for the incoming contract changes four months before they came into force.

Ofcom also found that, in some cases, BT was aware that some of its sales channels would not meet the deadline for contract changes and that it deliberately chose not to comply with the rules on time.

The regulator has issued BT with a £2.8m fine for breaching the rules.

As well as paying the hefty fine, BT must also:

• identify and refund customers who were charged early exit fees.
• contact the remaining customers who are affected and offer them their contract information and allow them to walk away without facing any penalties.
• amend current sales processes to comply with the required contract information.

What to do if you’re affected

BT has contacted the majority of those affected between 26 June and 30 September 2023 and given them the opportunity to request the required information as well as cancel their contract without charge.

However, Ofcom has said that some of BT’s sales channels are still not compliant with contract changes, so some customers are still not receiving the required information when signing up for a service with Plusnet or EE.

Ofcom rules state that a contract isn’t binding if you haven’t been given the information required by the regulator to make an informed decision.

If you believe you weren’t given the required information when your contract with Plusnet or EE began, you should contact your provider requesting this information.

If you don’t receive a satisfactory outcome, you can escalate your complaint to the Communications Ombudsman or Ofcom.