Services and Billing
I’m moving house and my provider wants to extend my contract for another 12 months – are they allowed to do this?
Following the end of an initial minimum contract period, most contracts will continue indefinitely until either the consumer or the supplier terminates it - in which case the minimum notice period will apply.
However, there are a number of circumstances which will trigger the commencement of a subsequent minimum contract period - either during the initial minimum contract period, or after it has ended.
For fixed line, broadband and pay TV, the main triggers are upgrading/downgrading the service level and moving house.
In our view, a subsequent minimum contract period – like one that applies when a consumer moves home - is likely to be fair where:
- the terms explaining the events (such as a decision to upgrade or move house), that will trigger a requirement for a subsequent minimum contract period are transparent to consumers in the contract at the point of sale;
- the terms say the supplier will make it very clear to the consumer that a new minimum contract period will apply, and the length of it, at the time the consumer is considering changing the service or moving home;
- and the costs incurred by the supplier and the benefits to the consumer are in line with the subsequent minimum contract period.
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