The UK's media regulator has issued a substantial penalty to Virgin Media for serious failings that left thousands of vulnerable customers at risk during a major technological upgrade.
Serious System Failures During Digital Switchover
Ofcom has fined Virgin Media £23.8 million after finding the company endangered people who rely on telecare alarms. The investigation focused on the period between August 2022 and December 2023, when Virgin Media was migrating customers from traditional analogue landlines to new digital services.
The regulator identified "serious system failures" in the company's processes. Crucially, Virgin Media failed to properly identify and record which of its customers used telecare devices. These alarms, which allow elderly or vulnerable individuals to call for help, can malfunction when connected to digital phone lines without appropriate support.
The situation escalated when Virgin Media disconnected telecare customers who had not engaged with the switchover process. This action "prevented their devices from connecting to alarm monitoring centres" while the disconnection was active, directly putting their safety in jeopardy.
Self-Reporting and Regulatory Action
The investigation began after Virgin Media self-reported a series of "serious incidents" in November and December 2023. Following its probe, Ofcom determined that the company's approach had put vulnerable users "at direct risk of harm" during what should have been a routine service upgrade.
Ian Strawhorne, Ofcom's Director of Enforcement, stated: "It's unacceptable that vulnerable customers were put at direct risk of harm and left without appropriate support by Virgin Media. Today's fine makes clear to companies that, if they fail to protect their vulnerable customers, they can expect to face similar enforcement action."
The final penalty of £23.8m includes a 30% discount because Virgin Media reported the issues, admitted its failings, and cooperated fully with the investigation. The company must pay the fine within the next four weeks, with the sum being passed directly to the Treasury.
Remedial Measures and Industry-Wide Challenge
In response to the ruling, a Virgin Media spokesperson said: "While historically the majority of migrations were completed without issue, we recognise that we didn't get everything right and have since addressed the migration issues identified by Ofcom."
The company outlined a comprehensive package of improvements implemented since 2023. These include enhanced communications with customers, additional in-home support, and extensive post-migration checks. Virgin Media has also conducted manual reviews of customer service records and contacted its nearly 43,000 telecare users to ensure they receive proper support.
This case highlights the broader challenges facing the telecommunications industry as it phases out the old analogue telephone network. All major providers are moving customers to digital landlines, a process that requires careful management to ensure telecare devices and other essential equipment continue to function reliably.
Virgin Media added that it is now "working closely with Ofcom, telecare providers and local authorities" to identify customers needing extra help and is confident its revised processes allow for safe migrations.
