Ofcom has launched an investigation into allegations of mis-selling at Phones 4U. It is understood that the telecoms watchdog has received “many complaints” about the mobile phone retailer.
It is Ofcom’s first inquiry into a mobile phone company and it comes after a sharp rise in complaints over the past six months. It is understood that the complaints claim that Phones 4U staff have misrepresented terms of tariffs and mobile plans.
The regulator says: “Ofcom’s investigation will consider whether Phones 4U has engaged in conduct which infringes any relevant law and harms the collective interests of consumers.”
Ofcom is already developing a mandatory code of practice to make the mobile network operators more responsible for ensuring that retailers provide customers with all relevant facts when they are sold a mobile phone contract.
In a statement Phones 4U says it intends to “co-operate fully” with Ofcom and is in discussions with them.
The investigation began yesterday and could take up to six months to complete.