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Ofcom opens investigation into Post Office phone service

LONDON - The Post Office is to be investigated by Ofcom after complaints from consumers saying they have been mis-sold the HomePhone fixed-line telephone service.

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Ofcom said today that it would be looking at whether the Post Office has complied with its obligations under consumer protection legislation.

The regulator is allowing consumers who believe they have been mis-sold the HomePhone service to register a complaint online. It has already been contacted by people who have concerns over the way the service were sold or saying that they had had their service switched without their consent.

Alan Cook, managing director of the Post Office, said: "The Post Office has worked alongside Ofcom in recent months to implement a number of new measures to improve its HomePhone sales processes. As a result of this vigorous action, which includes a validation call to each customer before the service goes live, we have seen a significant reduction in the number of mis-selling complaints. We are therefore disappointed to learn of Ofcom's decision but we will of course fully assist with its investigation."

HomePhone was launched by the Post Office at the beginning of last year. It was the Post Office's first foray into telecoms since BT was created in 1981.

The investigation comes as Ofcom takes a wider look at mis-selling in the fixed-line telecoms market. Complaints can be made online.

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