Ofcom to be blamed for pay as you go price rise Orange and Vodafone

The latest rule that will come into force in April has done a lot of change the mobile phone deals. People who are in favor of Pay as you go deals, have to pay a little bit more for their call and their texts, if they pick Orange or Vodafone networking services.

As a result of Ofcom- mandated cut in mobile termination rates, two networking companies in Uk, Orange and Vodafone are going to hike the call rates and the rates for texts. The new call rates for the Orange pay as you go customers will be 25p per minute 5p higher than earlier call rates and for text you have to pay 12p than 10 like earlier. While if you are a Vodafone customer the call rate will raise 4p more that is up to 25 p and txt will charge you 12p and not 10p like before. While the other networking companies like T mobile, Virgin, O2 seem to be unaffected from the news and are not planning to take the price higher like their competitor networking companies.

MTR or the mobile termination rate is actually is a charge that one operation has to pay to other operator, to connect the call of customer of second operator to the first operator’s customer. If there would be any cut in mobile termination rates, the result will only be the cheaper call rates, from land line to mobile phone.

Vodafone expressed in a discussion that it has already made it clear to Ofcom that if there will be any dramatic change in MTR the pay as you go call rates will also be changed as a consequence. While Ofcom spokes person urged to the consumers that a user needs to look for the best mobile phone deal in this increasing competition.

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