Ofcom (the communications regulator) has started a consultation into a proposal to outlaw contracts which automatically renew at the end of their term and which tie the customer into a minimum repeated contract term.
The idea behind these contracts is that the customer has to "opt out" otherwise renewal takes place automatically. Once automatic renewal has occurred then there is usually a penalty to terminate the contract early.
BT is the main provider of "rollover contracts" although several other suppliers also use them, and Ofcom estimates that 15% of UK consumers are subject to these contracts at present.
The consultation ends in May this year so with luck we might see the end of these sorts of arrangements shortly after!
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