Virgin Media fined £28m by Ofcom after call agents blocked cancellations with dropped calls and delays. See what the record penalty covers.
Virgin Media has been fined a record £28 million by Ofcom after regulators found the broadband company repeatedly made it difficult for customers to cancel their contracts. The penalty, the largest ever issued by Ofcom for direct consumer harm, follows an investigation into how the company's call agents handled cancellation requests between January 2022 and September 2024.
At a Glance
- Ofcom fined Virgin Media £28 million, its biggest ever penalty for direct consumer harm
- Nearly 2,000 customer complaints prompted the investigation
- Tactics included deliberate call dropping and unnecessary hold times
- A two tier agent system forced many callers to repeat cancellation requests
- The fine includes a 30 percent reduction after Virgin Media agreed to settle
Why Virgin Media Got Fined by Regulators
The investigation centered on how customer service agents responded when people called to cancel or switch providers. Ofcom concluded that call handlers were likely mishandling large volumes of calls on purpose, creating what it described as unreasonable effort, hassle and difficulty for anyone trying to leave. Millions of calls fell under scrutiny across the nearly three year window examined.
Tactics That Kept Customers on the Line
Investigators pointed to specific behaviors baked into how Virgin Media routed calls. Agents allegedly dropped calls on purpose and left customers waiting on hold without cause. The company also ran a two tier support structure in which only the second tier could actually process a cancellation. That meant more than a million callers had to explain their request all over again to a different agent just to have a real shot at ending their service.
Some people gave up on calling altogether and simply cancelled their direct debit instead. That workaround backfired for plenty of them, triggering missed payments that dinged their credit scores.
Commission Structure Under Scrutiny
Ofcom also flagged Virgin Media's commission scheme for agents, arguing it gave staff a financial incentive to stall or block cancellations rather than process them smoothly. The regulator framed this as a structural problem, not just isolated bad behavior by individual employees.
Quick Facts
- Nearly 2,000 formal complaints were logged with Ofcom over cancellation difficulties
- The fine reflects a 30 percent discount for Virgin Media's admission and settlement
- Ofcom must confirm affected customers received compensation within six months
- New one touch switch rules took effect in 2024 to simplify provider changes
What Ofcom and Virgin Media Are Saying
Natalie Black, Ofcom's head of infrastructure and connectivity, said the facts were clear: Virgin Media made cancelling harder and did not fully cooperate with the investigation. She said the fine sends a message that providers acting against customers' interests will pay a heavy price, and pointed to the one touch switch process as a safeguard against a repeat.
A Virgin Media spokesman apologized to the small proportion of customers who experienced problems and said the company has since redesigned its customer service operations, resolving all formal complaints tied to that period and providing compensation where warranted. The company also noted it is now the least complained about broadband provider based on Ofcom's latest data.
New Rules Aim to Simplify Switching
Ofcom's one touch switch rules, introduced in 2024, let phone and broadband customers switch by only contacting their new provider, removing the need to negotiate an exit with the old one. As part of the ruling, Ofcom also ordered Virgin Media to verify within six months that every customer who complained has received the compensation or remedy they were owed. Whether that follow through satisfies regulators, and whether the industry's broader complaint numbers keep falling, will shape how much trust customers place in switching processes going forward.
Frequently Asked Questions
Why was Virgin Media fined?
Ofcom found that Virgin Media made it unreasonably difficult for customers to cancel their contracts, using tactics such as deliberate call dropping and a two tier agent system that forced repeated requests.
Why has Virgin Media been fined?
The company failed to properly handle cancellation calls between January 2022 and September 2024, and Ofcom said it also did not fully cooperate with the investigation into these practices.
How much did Virgin Media get fined?
Virgin Media was fined £28 million, the largest penalty Ofcom has ever issued for direct harm to consumers, after a 30 percent reduction for admitting the failing and settling.
Why does Virgin Media keep cutting out?
Ofcom's investigation found that some call disruptions were deliberate, with agents dropping calls or placing customers on hold without reason specifically when they tried to cancel their service.
