New price cap on 118 numbers

People who call directory enquiry services will be protected from high prices under a new price cap on 118 phone numbers, announced by Ofcom today.

Ofcom have been concerned about directory enquiry prices rising steeply. Some providers charge almost £20 for an average 90-second call. The price charged by the most popular service – 118 118 – for a 90-second call is now £11.23.

Although there are cheaper services available, Ofcom’s research shows that consumers tend to call the numbers they most easily remember.

And while the number of calls being made to 118 services has been falling by around 40% every year, more than a million people in the UK – many of them elderly – still use these services.

The cost of calling many of these services is now well above what people expect to pay. Ofcom’s research estimates that around 450,000 consumers a year are paying £2.4m in total more than they expect for these calls, with some struggling to pay their bills.

So Ofcom is stepping in, by capping the maximum amount a 118 service can charge at £3.65 per 90 seconds. This will bring prices back to 2012 levels, and closer to what people expect to pay.

To allow providers time to adjust their prices and billing systems, the price cap will come into force on 1 April 2019.

A news release is available.

New rules to combat high call costs from 070 numbers

Ofcom have stated that phone users will be protected from high charges for calling ‘070’ numbers – which are often mistaken for mobiles, but cost much more to call.

Ofcom will be placing a cap on 070 numbers which will be aligned with the existing cap set by Ofcom for calls to mobile numbers – currently around 0.5 pence per minute.

Before the new price cap is introduced, providers who offer 070 number services may need to change the way they run their businesses, to comply with the new rules. This may include changing their billing systems and contacting their customers, or even moving to a different number range. So there will be a 12-month implementation period to make these changes before the new price cap comes into effect.

Full details from the Ofcom press release is available for information