Orange increase in monthly plan charge 4.34% (8th Jan 2012). Unfair but apparently legal due to their T&C's.
Orange have alerted it's customers today that it plans to increase the monthly plan charge by 4.34% on the 8th Jan 2012. The message they sent is as follows: "Hi from Orange. We’re increasing the price of your monthly plan by 4.34% from 8 January 2012″.
Orange’s T's&C’s allow them to adjust prices by up to the national inflation rate, which currently sits at 5.4% per 12 months).
The customer is locked into contract with no legal rights to cancel it. It seems ridiculous that companys like Orange can write up contracts which are clearly unfair. Most people don't possess the legal know how to understand many of the contracts they sign with large coporations and instead do so on trust; assumption being that if that company were to do something unfair / unjust then the weight of public opinion will win through.
think this warrants a parliamentary discussion. While this might only result in a £1 rise per monthI rise for most people it still comes at a time when people are struggling. Orange are not a company who are struggling to make a profit, and I think their actions are hightly irresponsible.
I would be surprised if this doesn't snowball with other companys seeing this as an opportunity to apply unfair conditions they have put in place in their T&C's. If this remains unchecked then the public might find their finances are pinched further in the New Year.
At the first opportunity switch providers if you signed an agreement that's all you can do.
David Crna commented
Surley they should not use the 5.4% rate of inflation which also includes tax increases and the like, and should be using the CPI rather than RPI. CPI also does not included increases in payments such as mrotgages etc which in my opinion should NOT affect retail prices...
Well I voted for this but I take this back now as I called them and they put me on a new contract tariff keeping my existing minutes, messages and data. So I will not be affected by this, I basically explained to them that I agreed with the lady on the phone that I did not want to pay more than £30 pounds a month and everytime the advisor spoke I said but I agreed I did not want to pay more than £30. :)