Virgin Media Faces £23.8M Fine for Neglecting Vulnerable Customers

Virgin Media has been fined £23.8 million by the UK’s communications regulator, Ofcom, for failing to protect vulnerable customers during the transition from analogue to digital landline services. The penalty stems from the company’s oversight that left thousands of users, particularly elderly and disabled individuals relying on lifesaving telecare alarms, without proper support during this critical change.

Transition to Digital Services

As the telecom industry shifts from analogue to digital, Ofcom has been vocal about the need to phase out the copper-based network, which it deems “beyond its intended lifespan and increasingly unreliable.” Despite this necessary transition, Ofcom’s investigation found that Virgin Media did not adequately identify telecare customers. Consequently, many were disconnected from alarm monitoring centres, which could have dire consequences for those in need of immediate assistance.

The telecare systems are designed to provide users with an emergency button that calls for help when pressed. Ofcom highlighted the risk posed to these users, stating that any disruption in connectivity could severely impact their safety. During the switchover, Virgin Media’s approach led to the disconnection of users who did not actively engage in the transition process, leaving them vulnerable.

Company Response and Regulatory Actions

In November and December 2023, Virgin Media reported several serious incidents to Ofcom related to the migration of telecare customers. Ofcom determined that the fine of £23.8 million was justified due to the vulnerability of the affected customers, the duration of their exposure to risk, and the potential harm that could result from the company’s actions.

Ian Strawhorne, Ofcom’s enforcement director, emphasized the seriousness of the situation, stating, “It’s unacceptable that vulnerable customers were put at direct risk of harm and left without appropriate support during what should have been a safe and straightforward upgrade to their landline services.” He added that the fine serves as a warning to other companies that neglecting the safety of vulnerable customers will not be tolerated.

In response to the findings, Virgin Media acknowledged that it fell short during the transition. A spokesperson stated, “We recognise that we didn’t get everything right and have since addressed the migration issues identified by Ofcom.” The company has initiated a comprehensive package of improvements aimed at enhancing support for vulnerable customers, which includes better communication, additional in-home assistance, and thorough post-migration checks.

To further bolster its efforts, Virgin Media is collaborating with industry partners and the government on a joint national awareness campaign to ensure that vulnerable customers are better informed and supported during future transitions.

The majority of migrations to digital services have reportedly been completed “without issue,” according to Virgin Media. Nonetheless, the company’s recent challenges underscore the importance of safeguarding vulnerable populations during significant technological shifts.