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Virgin Media Fined Record £28M for Customer Sabotage
9 Jul
Summary
- Virgin Media received a record £28 million fine from Ofcom.
- Failures made it difficult for customers to cancel services.
- Company hindered cancellation efforts and failed to cooperate.
Communications regulator Ofcom has imposed a record £28 million fine on Virgin Media. This penalty stems from a pattern of call-handling failures between January 2022 and September 2024, which deliberately made it difficult for customers to cancel their services.
Customers experienced extended hold times, multiple call transfers, dropped calls, and unfulfilled cancellation requests. Virgin Media also reportedly pressured customers to reconsider leaving and did not fully cooperate with Ofcom's investigation, leading to a repeat offense following a similar fine in 2018.
Ofcom's investigation, prompted by nearly 2,000 complaints, revealed Virgin Media's retention team was split, with only certain agents authorized to process cancellations. This created a barrier for customers seeking to end their contracts. The company also allegedly incentivized staff to deter cancellations through its commission scheme.
Virgin Media O2, formed from Virgin Media's merger with O2 in 2021, has since implemented significant changes to its customer service operations. These improvements include enhancements to its commission scheme, training, and monitoring. The company stated that its customer service turnaround has been transformational, with recent data indicating it is the least-complained-about broadband provider.
