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UK CURRENT SURVEY                                                           16[2006/2007]4 ULR  191


                                                      customers whether their service includes access to emergency services. Four types of
                                                      VoIP service exist:

                                                      •  Peer-to-peer services that make and receive calls to other PCs and connected devices;
                                                      •  VoIP out services that allow users to call ordinary phone numbers but not receive
                                                         them;
                                                      •  VoIP in services that allow users to receive calls from ordinary phone numbers but
                                                         not make them; and
                                                      •  Full service VoIP, which allows users to make and receive calls to and from ordinary
                                                         numbers.

                                                      VoIP is not bound by national borders.



                      Mis-selling in mobile market    Ofcom has published a new code of practice for the mobile phone industry which aims to
                      31 July 2007                    stamp out misleading sales and marketing practices in the market.  Five mobile network
                                                      operators exist in the mobile phone market and Ofcom currently receives 400 complaints
                                                      per month.  The new code sets out:

                                                      •  minimum business standards including prohibited sales and marketing practices,
                                                      •  how retailers must comply, including details of proactive monitoring of mobile network
                                                         operators and potential sanctions,
                                                      •  due diligence exercises to determine which retailers should be engaged, and
                                                      •  how complaints to mobile network operators should be monitored and handled.

                                                      If there is no significant reduction in the number of mis-selling complaints, more formal
                                                      regulatory options will be put in place.


                                                      Financial Services Authority
                                                      http://www.fsa.gov.uk/

                      Call centre outsourcing         The FSA recently carried out a thematic review into general insurance telephone sales
                      14 June 2007                    practices within outsourced and captive call centre operations.  The review provides
                                                      examples of good and bad practice for outbound and inbound sales calls, covering areas
                                                      such as call quality, systems and controls, training and competence regimes, outsourcing
                                                      and sales staff remuneration.  The overall quality of inbound sales for general insurance was
                                                      ‘generally acceptable’, but the quality of outbound sales was found to be ‘unacceptably low’
                                                      and the FSA criticised the lack of oversight of team leaders and supervisors, finding common
                                                      systems and controls weaknesses in both inbound and outbound call centres. Sales of
                                                      payment protection insurance were not specifically included within the scope of the review
                                                      because the FSA thematic work has already taken place in this area, but the majority of the
                                                      FSA’s findings are also relevant to the payment protection industry.



                                                      TRANSPORT

                                                      GENERAL

                                                      Office of Fair Trading
                                                      www.oft.gov.uk

                      Misleading holiday and travel pricing  The deadline for compliance with the OFT’s warning to holiday and travel suppliers to
                      72/07  11 May 2007              include all fixed non-optional costs in the basic advertised prices of their holidays has
                                                      expired.  While most airlines have agreed to review their pricing practices and some have
                                                      agreed to change their pricing to make it more transparent, a minority of airlines have
                                                      failed to comply.  The OFT therefore intends to bring enforcement proceedings against
                                                      these airlines.








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