Knowledge Base
Community

13 June 2014 - an important date for phone users

Started by: ian011
On: 14/05/2014 | 07:41
Replies: 23
Reply

Go to best answer
by: martins5649
on: 16/05/2014 | 19:31
really good info. great community spirit, thank you!
Message 11 of 24
by: ma2013
on: 16/05/2014 | 19:48
Wow this is great news for us phone users! Thanks for sharing and the detailed post. :-)
If I've been helpful, feel free to award Kudos / Mark As Accepted Solution to posts. Get a free giffgaff Sim
Message 12 of 24
by: scoobydoo10uk2000
on: 16/05/2014 | 23:42
Yhanks for the update m8
Message 13 of 24
by: billylinn
on: 17/05/2014 | 13:16
Many thanks, I'll put that on my calender. It's funny isn't it, that a lot of these numbers are for government agencies.I used to phone the job centre that was on an 0845 number and it used to cost me a fortune by the time I eventually got to the correct department. My sister once had to phone on my behalf, and I'm afraid she let them know at het displeasure at the cost. They did however inform her that they were discontinuing it shortly. Just another way the government gets money out of us. Never mind, the end of an era.
Message 14 of 24
by: ian011
on: 17/05/2014 | 14:25

The clear guidance from the Cabinet Office in December 2013 is likely to result in the vast majority of 084 and 087 usage by government departments ending by the close of 2014. Most departments are already well on the way. The remainder are likely to receive increasingly negative attention from the media, especially after 13 June 2014.

Message 15 of 24
by: cj2000gg
on: 17/05/2014 | 17:38
Not before time this, the craziest thing was that 0870 started off as National Rate and 0845 Local Rate years ago, then when telecom companies effectively stopped distinguishing between local and national rates, the 0870 became cheaper than 0845 which seems to be far more widely used.
Get a free Giffgaff Sim
Message 16 of 24
Highlighted
by: ian011
on: 17/05/2014 | 17:59 edited: 17/05/2014 | 22:02

@cj2000gg wrote:
Not before time this, the craziest thing was that 0870 started off as National Rate and 0845 Local Rate years ago, then when telecom companies effectively stopped distinguishing between local and national rates, the 0870 became cheaper than 0845 which seems to be far more widely used.

0845 stopped being "local rate" and 0870 stopped being "national rate" in 2004. That was when BT abolished the price differential based on distance when calling 01 and 02 numbers and moved their customers onto inclusive call plans. Thereafter, calls to 01 and 02 numbers, each of up to one hour long, attracted no further incremental charge. This is what the note is referring to.

 

The changes in 2004 instantly made 084 and 087 calls relatively expensive compared to calling (inclusive) 01 and 02 numbers. This is one of the reasons Ofcom introduced 03 numbers in 2007. However, these were not adequately promoted and uptake was quite low.

 

Calls to 0870 numbers from landlines became cheaper in 2009 when Ofcom suspended revenue sharing. However, mobile operators, in the main, did not drop their prices. Many users simply migrated to 0844 and 0871 numbers in order to continue receiving revenue share payments. Consumers had gained nothing. Upon seeing this, Ofcom held back from removing revenue sharing from 0845 numbers. They realised it would prompt a similar migration.

 

Consumers were also becoming confused. 0845 and 0870 calls were cheap from landlines and expensive from mobiles and all other 084 and 087 calls were expensive from landlines and from mobiles. In 2010, Ofcom instigated a major review of all 084, 087 and 09 numbers. Several consultations and four years later, work is proceeding on the "unbundled tariff" system which comes into effect on 26 June 2015. One of the changes is that revenue sharing returns to 0870 numbers on that date. The Service Charge is likely to be around 10p/min. At the same time, calls to 080 numbers will become free from all mobile phones and the provisions of the "NTS Retail Condition" will be lifted from BT.

 

A large number of 0845 numbers are still promoted as "local rate" even though this has not been true for a decade. Ofcom's new tariff system, where users of 0845 numbers will be required to declare the 2p/min Service Charge, should go a long way in eradicating this issue. In the meantime other legislation, regulation, guidance and policy is moving large numbers of 084 and 087 users over to cheaper numbers, often in the 03 range. One crucial part of that is the new law coming into force on 13 June 2014.

Message 17 of 24
by: brulaw
on: 17/05/2014 | 18:17

@ ian011 ,

 

Excellent post / thread ..... has the potential to save a lot of people money .... thanks for sharing   thumbup.gif .

Message 18 of 24
by: bluenose5
on: 18/05/2014 | 16:12

thanks for the info.

Get a free Giffgaff Sim
Message 19 of 24
by: richardski
on: 18/05/2014 | 22:46

Hi Ian,

 

Nice work. Very well presentedSmiley Happy

 

Richard

 

 

 


Get a free giffgaff Sim
Message 20 of 24