Ofcom confirms ban on ‘rollover’ contracts from December 2011

legal updates

We receive a continual trickle of complaints about utility companies holding businesses to ransom.

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We receive a continual trickle of complaints about utility companies holding businesses to ransom over the abusive process of ‘rollover’ contracts or Automatically Renewable Contracts (ARCs). 

The malpractice arises since it requires the business to opt out of renewal rather than opt in, consciously.  This is very good news for small business customers.  Providers can face penalties of up to 10% of turnover if they flout the requirement.

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