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<p>In 2019, new rules for mobile phones were created by Ofcom which required companies
to provide better upfront contract information on pricing for bundled handset and
airtime services, and several companies voluntarily agreed to reduce bills for out-of-contract
customers. In broadband, a number of major providers took steps to reduce the loyalty
penalty, including capping prices. An updated review was published by Ofcom in July
2020.</p><p> </p><p>Other telecoms interventions have been developed, including Ofcom’s
new rules which require communication providers to send a notification to their customers
when they are nearing the end of their contract. The Government and Ofcom continue
to work on ‘Open Communications’ as part of the Smart Data project to help consumers
access information and switch providers accordingly, for which Ofcom published a consultation
in July 2020.</p><p> </p><p>The Financial Conduct Authority conducted a mortgage market
study in 2019 which noted that they are working with lenders to make it easier for
borrowers to switch, where that is possible and would be of benefit, in light of the
‘loyalty penalty’. That work continues.</p>
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