BT has issued a message to 2.5 million TalkTalk customers after a rescue deal was agreed for the firm. It was confirmed on Monday (October 5) that BT is stepping in to save both TalkTalk and its wholesale PlatformX Communications (PXC) business from collapse. The move comes as 2.5 million customers were set to have their telecoms impacted.
Deal protects service and jobs
According to BT, the deal will 'protect continuity of service for its 2.5 million customers, avoiding the risk of material harm to vulnerable customers and key emergency services'. It is reported that 900 employees at TalkTalk's consumer and broadband business and PXC will transfer to BT.
Experts have said that TalkTalk customers should leave direct debits in place and continue paying as normal to avoid missed payments and disruption to service. They are also being urged to be wary of scammers.
What customers should do now
If someone calls them out of the blue, customers are being encouraged to get in touch with TalkTalk directly. Allison Kirkby, chief executive of BT Group, said TalkTalk customers will remain as such and 'do not need to do anything differently'.
In spite of the move, customers can continue to use all services as usual and all prices and contracts will remain unaffected, Ms Kirkby said. Additionally, the Department for Culture, Media and Sport, which has helped pave the way for the sale, noted that services should continue as normal while the acquisition process is taken forward. Customers will be contacted directly if there are any changes they need to know about.
Expert advice on payments and scams
Ernest Doku, communications spokesman at Uswitch, said: "BT has said TalkTalk will keep operating separately while regulators review the deal, so your broadband and landline carry on as normal, and there is nothing you need to do right now."
He added: "BT should set out quickly and plainly what this means for contracts, prices and service in the future, so nobody is left guessing.
"In the meantime, keep paying as normal and leave your direct debit running, as missed payments could put your service at risk. Scammers thrive on moments like this, so if anyone contacts you out of the blue about the sale, hang up and get in touch with TalkTalk yourself through My Account on its website.
"If you or someone in your home relies on the landline or broadband for a care alarm or a medical reason, tell TalkTalk now so you're registered for extra support such as priority fault repair. It's still your provider for the time being, and it can only look after you properly if it knows who you are.
"If the new owner puts up your price beyond what was set out in your contract, or makes other significant changes to it, Ofcom's rules mean you should be able to leave without an exit fee. For now, carry on as normal. If you're out of contract, you're free to look around as you always were, and it's worth checking you're still on the right deal."
Contract and switching considerations
According to Ofcom's rules, customers are allowed to leave without an early termination charge if their provider increases prices beyond what was agreed at sign-up or makes other material changes to the contract.
Alex Tofts, from Broadband Genie, said of the news: "For customers, both TalkTalk and BT Group currently sit at the pricier end for mid-contract price increases on broadband-only deals, though both are signatories to Ofcom's voluntary codes on speed and automatic compensation.
"It is also worth noting Ofcom data shows TalkTalk has consistently drawn the highest customer complaint levels per 100,000, while BT sits in line with the industry average.
"If you signed or renewed a TalkTalk contract within the last two years, you won't be able to switch right now without early termination fees. But if you're out of contract, or past that two-year mark, now is the time to shop around. Customers who regularly switch their broadband provider stand to save up to £452 a year."
