The recently launched Telecoms Ombudsman service has been given the seal of approval by Oftel to resolve consumer complaints.

The service has met a rigorous set of criteria set out by Oftel to provide a free, independent and effective service to consumers who are unable to resolve complaints directly with their telephone company.

The Telecoms Ombudsman, known as Otelo, has been operating since January 2003 and has already dealt with a wide range of complaints including mis-selling, billing and customer service issues.

Nineteen companies have signed up to the Ombudsman service, representing 95 per cent of the fixed line market and 30 per cent of the mobile market.

Several other companies are in the process of signing up to the service. This will increase the number of consumers who are eligible to take advantage of the Ombudsman service.

David Edmonds, Director General of Telecommunications, said today:

"I am delighted that the Ombudsman service has been given a seal of approval by Oftel and the Government as a fair and speedy service for settling consumer complaints.

"This is excellent news for consumers who can use Otelo to help resolve disputes they are unable to resolve with their service provider.

"Otelo has been offering a first class service since it was launched earlier this year and has already achieved a number of successes for consumers.

"I am confident that the Ombudsman, Elizabeth France, and her team will build on this excellent start and continue to provide an invaluable service in the future.

"I want to see other companies sign up to Otelo or come forward with their own proposals to resolve consumer complaints, and which meet the same standards as Otelo."

Stephen Timms, e-commerce Minister, who jointly approved Otelo along with David Edmonds, added:

"The Communications Act laid the foundations for a dynamic and competitive communications industry, while also ensuring that consumers are safeguarded.

"One of those safeguards is the approval of the Office of the Telecommunications Ombudsman under the Act to help build and maintain the trust of consumers and small businesses by helping them to resolve any disputes with communications providers which they have not been able to resolve through the provider's normal complaints procedures.

"Elizabeth France and her team will play a vital role in a developing and growing industry."

Notes to Editors

1. The Office of the Telecommunications Ombudsman (Otelo) was launched in January 2003 with support from Oftel, consumer groups and the industry.

2. For further information of the work of Otelo, including its current members, contact Andrew Bradley on tel: 01925 430880, or visit www.otelo.org.uk. Otelo is also issuing a press release today which is available from www.otelo.org.uk/website/html/news.php or from Andrew Bradley. Oftel's press office can be contacted on tel: 020 7634 8991.

3. Under section 54 of the Communications Act, public communications providers are required to offer an alternative dispute resolution procedure to their customers, other than their own internal complaints system. These procedures must be approved by Oftel/Ofcom (in consultation with the Department of Trade and Industry).