Virgin Media has been handed a substantial £28 million fine by the communications regulator Ofcom for systematically hindering customers who attempted to cancel their contracts. The penalty follows an extensive investigation that revealed widespread issues over a nearly three-year period, during which millions of customer calls were likely mishandled.
Ofcom's inquiry uncovered a range of concerning practices, including call centre agents deliberately ending calls, placing customers on hold without valid reason, and excessive transferring between departments. These tactics were found to have delayed or actively prevented customers from switching to alternative broadband, landline, or pay-TV providers, potentially costing them better deals. The regulator also highlighted that Virgin Media's commission structure effectively encouraged and financially rewarded agents for engaging in this behaviour.
The investigation focused on calls made between 1 January 2022 and 11 September 2024. Ofcom stated that Virgin Media's actions likely acted as a significant disincentive for customers seeking to terminate their service. The regulator's rules clearly stipulate that telecommunications providers must not impose conditions or procedures that deter customers from cancelling their contracts.
Despite the severity of the findings, the fine was reduced by 30% after Virgin Media acknowledged its failures and agreed to settle the matter. A spokesperson for Virgin Media apologised to the "small proportion who experienced an issue when contacting us to agree a new deal or cancel their service in the past," stating that the company had "completely redesigned" its customer service approach. Ofcom has mandated that Virgin Media must ensure all affected customers who complained receive the compensation or remedies they are entitled to within the next six months.
Ofcom's group director for infrastructure and connectivity, Natalie Black, described Virgin Media's actions as "pretty shocking" and indicative of "poor behaviour." She noted that earlier attempts to resolve the issue informally in 2022 were unsuccessful. The regulator has since introduced new safeguards, including the "One Touch Switch" process launched in 2024, designed to simplify changing broadband or landline providers for consumers.