BT Group PLC's (LSE:BT.A) mobile arm, EE, is being investigated by telecoms regulator Ofcom over concerns about the clarity of its customer contracts.
The regulator expressed concern that EE may have “failed to comply” with rules that require telecoms providers to provide new customers with clear and simple contract information before they sign up to a new deal.
Under the new rules, introduced in June this year, companies must give customers a brief summary of the main contract terms before entering a contract, including clear examples of how any price increases will affect the price they pay.
“Ofcom has received information which gives it reason to suspect that EE may have failed to comply with these requirements,” the regulator said in a statement, adding that it will gather further information and provide updates as the investigation progresses.
While still reacting to the pressure from newly combined Virgin Media O2, EE could soon be facing a big change in the UK mobile market after Vodafone confirmed reports that it is in talks with the owner of Three UK about combining their operations.