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Customers who took out mobile phone contracts before January 2017 may be paying too much for their services.
The Channel Islands Competition and Regulatory Authorities says it is continuing to work with Sure in particular to ensure that doesn't happen.
A UK report last year highlighted concerns raised by Citizens Advice nationally that some mobile phone customers were continuing to pay high costs for their mobile contract even after they have paid for the cost of their handset. CICRA says it used this UK report as an incentive to investigate the situation in the Channel Islands.
In a statement released now, CICRA says: "not all customers automatically have their payments reduced at the end of their minimum contract term (typically between 12 months and two years) and as a result could be paying more than if they switched to an equivalent sim-only tariff from the same provider".
Local mobile operators have already started to change this with Airtel moving first, five years ago; JT in 2013 and Sure one year ago.
CICRA accepts these contracts are no longer available to new customers, but it says a "significant number of Sure’s pay monthly customers remained on “handset inclusive” contracts beyond their minimum term and this may not be in their best interests".
Sure says it will write to all affected customers, letting them know they will be automatically moved onto rolling monthly sim-only plans, reducing their current monthly charge, unless they advise Sure otherwise.
Louise Read, director of CICRA, said: “We raised this issue with the operators because it is our responsibility to inform and protect local consumers and ensure that they are getting the best deal and not paying more than they need to. Having identified the impact on some Sure customers we welcome the steps it is taking to address the issue".
Alistair Beak, CMO of Sure, said: “Sure always puts our customers first and continues to innovate and lead the way in providing the best value for money communications through a combination of the best network and customer service in the Channel Islands".
He added: “As a result of our many proactive communication efforts by text and letter, which highlighted the possible savings that would come with changing price plan, just 2% of our mobile customers in the Channel Islands continue using the legacy tariffs highlighted by CICRA. We have worked with CICRA to decide upon the best route forward for this small number of customers and agree that the time has come to automatically move them onto one of our new SIM only plans.
“We would also like to reiterate CICRA’s call to encourage Channel Island mobile users to regularly check their tariffs and contract situation to ensure they receive the best value for money. Islanders can call us or visit our Sure stores to learn more about our price plans”.
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