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3-Year Contracts Removed In The UK, Canada Next Up?

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This is one of those Cinderella stories for Canada, that is if it comes true would be a dream.

News this week comes from Ofcom, the UK independent communications regulator, who has stated that wireless contracts must be limited to a maximum of 24 months.

With this in place, 3-year wireless phone contracts are effectively eliminated. Moreover, Ofcom states that consumers and businesses must be offered the option of a contract lasting no longer than 12 months.

The reason for the policy change is that shorter contracts may work to promote more competition and provide options to consumers to switch between company’s for better prices and services.

Recent Canadian wireless entrants such as WIND, Mobilicity and Public Mobile have all introduced no-contract offerings in an attempt to “free” Canadians. However the existing, larger carriers such as Rogers, Bell and Telus continue to use 3-year contracts.

If such a contract policy change was introduced in Canada, I’m sure Canadians would unanimously rejoice. The USA uses 2-year contracts and now the UK as well. Let’s go Canada, wake up.

[via IntoMobile]

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