BT scraps Friends & Family discount scheme

BT admitted earlier this week that it has had to write off £340million linked to its global business.

In possibly not unconnected moves, the company has now announced that it is dropping the 17 year-old domestic discount scheme, Friends & Family as well as its BestFriend scheme.

Friends & family offers BT’s 14million customers 10% off all calls made to up to 15 landlines. Chopping the scheme is said to ‘save’ – meaning gain -  BT £250 milion. That is, of course, if all of its customers stay on.

Mark Hunter MP, who fights for consumer interests against  rising telecom charges, says: ‘It is clearly unfair to ask customers to pay for the mistakes of the management’.

BT says that the increases in these phone charges are being offset by £200million a year in other discounts – but unlike the Friends & Family type of discount, BT’s new offers will require a monthly subscription.

Experience teaches that any offer by BT is invariably of less benefit to its customers that the company’s promotions suggest – and that savings in one area will be clawed back in another. In this instance there is to be a 45% – yes, a 45% – increase in the cost of caller services siuch as ring back, call waiting, call barring and caller display and an increase in line rental charges.

Caveat emptor indeed.