Ofcom has formally adopted responsibility for regulating premium-rate services (PRS), which were previously regulated by the Phone-Paid Services Authority (PSA).
Until now, Ofcom and the PSA worked together to oversee the PRS market with the PSA responsible for day-to-day regulation, and Ofcom maintaining oversight for making sure the sector is effectively regulated.
Today’s handover follows a period during which we have worked with the PSA to ensure a smooth transition of regulatory responsibilities.
What are premium-rate services?
People can access a range of interactive services via their landline and mobile phones, computers and digital TV. When they pay for these services via their telephone bill, they are known as ‘phone-paid’ or ‘premium rate services'.
These services can include charity donations by text, music streaming, broadcast competitions, directory enquiries, voting on TV talent shows and in-app purchases.
What does today’s news mean for consumers?
As we take on these responsibilities, we are introducing our own set of rules under the Communications Act.
Crucially, there will be minimal changes for consumers under the new system, including:
- consumer protection standards and, specifically, requirements relating to transparency, fairness, customer care, vulnerable consumers and prevention of harm and offence;
- organisational standards and, specifically, requirements relating to registration, due diligence and risk assessment and systems; and
- other responsibilities and obligations, including funding, information requirements and records retention.