Ofcom issues record telecoms fine of £4.6m on Vodafone
The sleeping tiger of Ofcom has bitten and taken a £4,620,000 chunk out of Vodafone. The fine is the result of two investigations run by the national telecoms regulator.
Some 10,452 pay-as-you-go customers who tried to top up their mobile service but Vodafone failed to credit the accounts lost £150,000 in total over a 17 month period. Vodafone has chased down all but 30 of these accounts and refunded people. As a result of this failure a fine of £3,700,000 was handed out. Apparently a new billing system is at fault and the size of the fine reflects the fact that apparently Vodafone only acted once Ofcom intervened. For the 30 where they are not able to identify the customer a sum of £100,000 has been donated to charity.
The smaller fine of £925,000 was handed down for failures in how Vodafone handled complaints, with customer service staff not having clear guidance to help them identify what constitutes a complaint and a failure to escalate complaints in a fair and timely manner.
The fines come with a 20 day notice to pay and the money once paid to Ofcom will be passed onto HM Treasury.