Consumer Contracts Regulations
The “Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013” (SI:2013/3134) came into force on 13 June 2014 and applies to retailers, traders and passenger transport services.
Regulation 41 specifies for post-contract telephone calls, companies are no longer allowed to operate telephone numbers that are charged at more than the "basic rate". As a consequence, ringing customer service and complaints lines is now often at no incidental cost to the caller.
Regulation 41(2) gives callers the right to a refund of the call charges where high rate telephone numbers remain in operation in breach of the regulations.
Regulation 41 specifies for post-contract telephone calls, companies are no longer allowed to operate telephone numbers that are charged at more than the "basic rate". As a consequence, ringing customer service and complaints lines is now often at no incidental cost to the caller.
Regulation 41(2) gives callers the right to a refund of the call charges where high rate telephone numbers remain in operation in breach of the regulations.
Guidance
The Government has published guidance on the regulations detailing what is and what isn’t allowed.
Permitted number types include:
The guidance also sets out those which are not allowed:
Permitted number types include:
- Geographic-rate numbers, which means any number which starts 01, 02 or 03.
- A number which is free to call from all fixed and mobile telephone services, these start 0800 or 0808.
- For sole traders and small businesses, a standard mobile telephone number, which is normally prefixed 07 (except the 070 and 076 sub-prefixes), where this is the normal number for contacting the business.
The guidance also sets out those which are not allowed:
- High-rate numbers starting 084, 087 or 09 - all of which incur an additional Service Charge to the benefit of the called party and their telecoms provider, on top of the Access Charge to the benefit of the caller's telephone provider.
Refunds
Where high-rate telephone numbers remain in use in breach of the regulations, irrespective of whether they are currently promoted or not, Regulation 41(2) requires the excess call charges above the "basic rate" to be refunded by the non-compliant company. In most cases this will be the full cost of the call as the caller will have an inclusive allowance that would have otherwise covered any call to a compliant number at no incremental cost.
Complaints
Complaints about firms breaching the regulations should be made to the Citizen's Advice national Consumer Helpline on 0345 404 0506** for onward escalation to Trading Standards.
**Calls to 03 numbers count towards inclusive allowances on landlines and on mobiles, or are otherwise charged at "geographic rate" - the same as calling an 01 or 02 number.
**Calls to 03 numbers count towards inclusive allowances on landlines and on mobiles, or are otherwise charged at "geographic rate" - the same as calling an 01 or 02 number.
Compliance
Since 2007, all users of 084x and 087x numbers have been able to exchange the second digit, 8, for a 3, with the rest of the number remaining the same. This means that the number 0845 123 4567 is replaced by 0345 123 4567, for example. This type of number migration can be performed within a few days and makes for a simple to communicate number change.
Alternatively a new 030 (for public services and charities) or 033 (for everyone else) number can be used.
It is customary to also place a free-to-caller Changed Number Announcement on the old number telling all callers to hang up and re-dial the new number. This ensures no-one can incur a charge if they call the old number after seeing it on old official literature or on a third-party website or when using a previously stored entry in their phone book.
Alternatively a new 030 (for public services and charities) or 033 (for everyone else) number can be used.
It is customary to also place a free-to-caller Changed Number Announcement on the old number telling all callers to hang up and re-dial the new number. This ensures no-one can incur a charge if they call the old number after seeing it on old official literature or on a third-party website or when using a previously stored entry in their phone book.
Exemptions
The Consumer Contracts Regulations do not apply to all types of company. The following sectors are exempted:
Likewise, the regulations do not cover dedicated technical support helplines, pre-sales enquiry lines, or sales lines.
Offering an 084 or 087 number gains the called party a benefit of no more than 5.83 or 10.83p, respectively, per minute from incoming calls while forcing callers to make calls which fall outside of their inclusive allowance and which will cost them up to 72p or 78p per minute. As the major beneficiaries are the phone companies and HM Customs and Revenue we call this "greedy and foolish".
We think it’s wrong for businesses to use telephone numbers that charge customers more than the cost of a call to a normal number and are pleased to see many companies in the above categories have made changes and ditched their high rate telephone numbers.
The financial services sector isn’t covered by the Consumer Contracts Regulations. However, the FCA has decided that banks, insurance companies and other financial organisations should not be allowed to charge more than the basic rate. Since 26th October 2015 all firms regulated by the FCA have been required to use numbers that charge no more that the basic rate for customer service calls.
- financial services, including banks and insurance companies (now covered by FCA regulations from 26th October 2015)
- gambling
- construction, sale of immovable property and residential letting contracts
- package travel and timeshare
- roundsmen on a regular route
- purchases from vending machines
- single telecommunications connections such as public payphones and public Wi-Fi, including that provided in establishments such as cafés
Likewise, the regulations do not cover dedicated technical support helplines, pre-sales enquiry lines, or sales lines.
Offering an 084 or 087 number gains the called party a benefit of no more than 5.83 or 10.83p, respectively, per minute from incoming calls while forcing callers to make calls which fall outside of their inclusive allowance and which will cost them up to 72p or 78p per minute. As the major beneficiaries are the phone companies and HM Customs and Revenue we call this "greedy and foolish".
We think it’s wrong for businesses to use telephone numbers that charge customers more than the cost of a call to a normal number and are pleased to see many companies in the above categories have made changes and ditched their high rate telephone numbers.
The financial services sector isn’t covered by the Consumer Contracts Regulations. However, the FCA has decided that banks, insurance companies and other financial organisations should not be allowed to charge more than the basic rate. Since 26th October 2015 all firms regulated by the FCA have been required to use numbers that charge no more that the basic rate for customer service calls.
Amended: 2020-01-25
