It has been announced today by BillingScore (www.billingscore.com) that the mobile phone industry in the UK is losing a colossal £140m every year thanks to premium rate fraud. Thanks to the UK networks not addressing this problem, they are exposing themselves to this fraud and it is the retailers and customers who are paying the price for it.
These fraudsters are blatantly cheating the UK mobile phone industry out of more money than has ever been won on the Euromillions draw, and they are doing it every year. If this money wasn’t disappearing into their back pockets the mobile networks could be improved and the customers would benefit from lower monthly bills.
It isn’t only the networks which are being affected; everyone in the industry is losing money through the frauds. From the wholesalers and aggregators right down through the content providers and ultimately the customer. Operators take a significant cut of 30% from the billing to cover fraud and bad debt, but it isn’t coming close to covering it. The simple fact is that the industry needs to get its act together and eradicate this fraud, and stop making their customers bear the brunt.
It is haemorrhaging money at such a scary rate that to keep the technology up to date and in optimum working order the inevitable is going to happen, prices are just going to keep increasing. Every single person in the UK who owns a mobile phone is affected by this fraud, and still the major networks seem to be burying their heads in the sand. The problem is that they know we have become so dependent on our mobile phones that we will keep using them, and continue to pay through the nose for the privilege.