Following high inflation rates in the past years in Europe, national regulatory authorities (NRAs) have started paying attention to price indexation clauses in retail contracts.
In a selection of 15 European countries, Cullen international’s research found that three NRAs in Italy, Malta and the UK recently adopted or proposed specific rules on the use of such clauses in telecoms contracts.
In Italy, indexation clauses cannot apply during the first 12 months following the conclusion of the contract.
In Malta, the maximum commitment period of contracts including an indexation cannot exceed six months.
In the UK, the NRA proposed to ban inflation-linked price rises.
In the three countries, NRAs have also focused on enhanced transparency for consumers to be duly informed about the inclusion of such clauses in their contracts.
To find out more about these initiatives and the approach towards indexation clauses in 12 other European countries, please click on “Access the full content” - or on “Request Access”, in case you are not subscribed to our European Consumer Protection (in Telecoms) service.
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