Thanks for requesting a Free IT Health Check
One of our team will contact you directly to make the necessary arrangements to get the process started. We are looking forward to working with you. If you need to speak to us in the meantime feel free to give us a call on 01794 830326.The dark side of VoIP: Unethical telephone contracts
Some IP phone (VoIP) providers lock customers - especially SMEs - into long, expensive deals with murky terms and nasty exit fees. Moving to IP phones should cut costs and add flexibility (softphones and remote work). But the contract behind that shiny handset can quietly drain cash, limit portability, and create operational risk.
UK consumer law gives strong protection to individuals, but those protections don’t usually extend to SMEs.
Here is an example: Small businesses tell of crippling costs of telecoms services - BBC News
Unethical practices typically appear in these places
- Long term contracts: 36 - 72 month.
- “Evergreen” auto-renewals: These will roll you into another long term contract unless you give notice during a short window, sometimes via recorded post to a specific address. Miss it and you renew.
- Promotional discounts: They often expire mid-term without clear total cost of ownership (TCO).
- Bundled finance: Handsets supplied via third-party leasing. You may think you are buying service but you have actually signed a separate equipment finance agreement.
- “Free install” that isn’t: Waived setup recouped through higher monthly fees.
Red flags you can spot before you sign
- The sales person says “cancel any time,” the Ts &Cs say 60-month term + 6-month notice.
- “Free phones” but there’s a separate finance or lease agreement in a different company’s name.
- Quotes omit call charges (“you won’t exceed your bundle”) and the contract sets high out-of-bundle rates.
- No mention of ADR membership or a formal complaints process.
- Pushback when you ask for coterminous end dates or a price breakdown.
At HBC, we are committed to keeping our contracts clear, simple, and transparent.
If you have any questions, feel free to get in touch with Ed on 01794 830326 or email ed@hampshirebusiness.co.uk - we are here to help.
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