Broadband adverts must now show real cost of deal
New rules have come into effect to stop misleading broadband adverts that don't include line rental.
New rules come into effect today (October 31) to curb misleading fixed broadband advertising.
The Advertising Standards Authority says that suppliers will now have to show upfront and monthly costs without separating line rental prices.
The rules were originally going to be implemented in May, but companies needed more time to comply.
What can we expect?
Broadband providers are now required to:
- Show all-inclusive, upfront and monthly costs without separating line rental prices;
- Give greater prominence to upfront costs like delivery fee, activation fee and installation;
- Give greater prominence to the contract length and any post-discount pricing.
For example, this advert from TalkTalk would no longer be acceptable as it separates the monthly broadband from the line rental prices while other upfront fees are buried in the small print.
Image credit: Advertising Standards Authority
And it's a similar story with this Virgin Media advert from a couple of years ago.
Source: Virgin Media / YouTube
‘Misleading’
The ASA carried out joint research with Ofcom earlier this year and found that the presentation of pricing in fixed pricing broadband ads was likely to confuse and mislead people about the cost of broadband services.
A shocking 81% of participants were unable to correctly calculate the total cost of a broadband contract when asked to do so after watching an advert.
Commenting on the announcement, ASA chief executive Guy Parker, said:
“Broadband is a service we all take for granted. That’s why some people can get frustrated when they sign-up to a package after seeing an ad, only to find their bills are higher than expected.
“Our research found people are likely to be confused and misled by the fixed broadband price claims in ads. From today, we expect to see a change in how broadband providers advertise their prices. The effect should be a real positive difference in how consumers understand and engage with ads for broadband services.”
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