Customer complaints prompts another inquiry into TalkTalk

The broadband provider TalkTalk has suffered its second run-in with the telecoms watchdog in a month, following a series of complaints from the public.

Ofcom announced yesterday it had launched an investigation over claims that customers had been mis-sold fixed-line telephone services while some complained they had been switched to TalkTalk without their consent.

The investigation is expected to take about six months, and should the group have breached regulations could be hit with a fine of up to 10 per cent of the relevant turnover.

TalkTalk has been in talks with the regulator for some time over the issue. A spokesman admitted that while there were "a limited number" of complaints, recently the number was "ticking up". He added: "Occasionally there will be such instances on a systems level or an agents level."

Ofcom already officially warned TalkTalk over a separate issue that emerged following an investigation. It warned the group faces a fine if it continues to bill customers for services they had cancelled.

Claudio Pollack, Ofcom's director of consumer affairs, called the situation "unacceptable" and ordered the provider to clean up its act.