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Ofcom report misleading broadband speeds

UK consumers are still being sold "superfast broadband" that is only half as fast as advertised, according to the telecommunications regulator Ofcom.

Statistics shared by Ofcom show that although improvements in services have been made, with Britons benefiting from a 10% increase in average speeds around the UK in the six months to May 2011, the new 6.8 megabits per second (Mbps) speed still compares poorly to the average advertised 'up to' speed of 15Mbps. There has also been concern about the onerous use of the word 'unlimited' in broadband advertising where fair usuage policies and other constraints apply. Calculate your broadband usage

In September 2011, in response to Ofcoms concerns and those of other consumer groups, The Committee of Advertising Practice (CAP) issued new guidance regarding the advertising of broadband services. It is hoped that this new guidance will bring clarity to consumers about the service that they can realistically expect to receive. The new guidance will come into effect in April 2012.

In summary the new changes will mean that:

1) If a maximum speed claim is made, advertisers should be able to demonstrate that the speed is achievable for at least 10% of customers.

2) The use of  the term 'Unlimited' in broadband advertising is only acceptable if the legitimate user incurs no additional charge or suspension of service as a consequence of exceeding any usage threshold associated with a fair usage or traffic management policy. A 'legitimate' user is someone who subscribes to a suitable service and operates legally (i.e. a business that signs up to a home consumer package / someone who uses the service to illegally download copyrighted material would be considered illegitimate).

3) Where exclusions e.g. streaming multimedia apply to broadband services that are advertised as 'Unlimited', they should be clearly and prominently stated.

What does this mean for the average consumer?

This new guidance should mean that 'unlimited' broadband packages are unlimited in the case of  the average consumer and that customers will not be misled into signing up for packages expecting speeds that are, in reality, attainable by very few users.