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The “People’s Millions” - donated to the telephone companies

25/11/2013

1 Comment

 
The fair telecoms campaign accepts that there may be situations where a "Service Charge" on a relatively cheap telephone call may be acceptable. One example is where the caller is KNOWINGLY paying the cost of handling their call, rather than having this carried as an expense by the person they are calling.

We wholeheartedly support the Ofcom proposal for the "unbundled tariff"
because this enables both the Service Charge and also the telephone company's "Access Charge" to be seen.

This news release makes a number of points, but is primarily aimed at highlighting the danger of imposing a (potentially justifiable) Service Charge under the current arrangements.
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1 Comment
Ian
25/11/2013 08:37:52 am

Just to clarify what's happening on these 0871 626 numbers...

When calling from a landline the caller pays 10.32p per call, the voting company receives 8.60p to run the voting service and the VAT man receives 1.72p.

When calling from a mobile the caller pays substantially more (e.g. 35p/call), the voting company receives 8.60p as before, the VAT man receives 5.8p, and the caller's mobile phone company creams off 20.6p profit.

Is that an accurate summary of where the money goes?

If so, the level of markup creamed off by mobile phone companies seems quite unreasonable. Ofcom's proposed scheme to force this charge to be declared seems very reasonable.

Additionally, of the hundreds of thousands of pounds spent on this voting system by callers over the few days that it is running, not one penny of it appears to be passed on to any charity. It would be a shame if the voting process was itself costing callers more than the total sum of money that was being considered for distribution.

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